The chip company Infineon has announced a significant advancement in power supply technology for AI data centers.

This innovative technology significantly reduces power losses in the power supply of data centers, motor controls, and computing applications. Compared to conventional silicon wafers with a thickness of 40 to 60 micrometers, power losses can be reduced by more than 15 percent. This increase in efficiency substantially contributes to optimizing energy use in highly frequented AI data centers.

Infineon emphasized that the new technology has already been qualified by customers. The 20-micrometer process is set to replace conventional silicon wafers for low-voltage power supplies in the next three to four years. Another advantage: integrating the new wafers into the existing production chain requires no additional investment, making it easier for customers to adopt.

Adam White, Head of the Power & Sensor Systems division at Infineon, stated: "As the energy demand for AI data centers increases rapidly, energy efficiency is becoming increasingly important." He added that Infineon expects the AI business to reach a volume of one billion euros in the next two years.

Despite these positive developments, investors reacted with skepticism on Tuesday. The Infineon stock temporarily fell by 1.45 percent to 30.53 euros on the XETRA after-hours trading. This could be due to the high expectations for the new technology and its market penetration, which have not yet been fully realized.