AI power demand surges; TSMC says energy efficiency is key to chip development

A TSMC executive stated on the 28th that the surge in power demand driven by artificial intelligence (AI) has made energy efficiency, rather than computing power, the primary constraint for future computer chip development. Kevin Zhang, Senior Vice President of Business Development at TSMC, told media at a conference in Amsterdam that customers are increasingly prioritizing 'improving performance without increasing power consumption' as operators face pressure from electricity costs and availability. TSMC estimates that from its current 2nm process to the A14 generation expected around 2028, chip power consumption can be reduced by up to 30% while increasing computing performance by over 20%.