The rise of AI is reshaping the global digital infrastructure landscape, entailing an urgent need for smarter, more energy-efficient power solutions. As AI models grow in complexity, so does their appetite for energy.As data centers continue to drive global electricity consumption, with a current share of 2% and a projected increase to 7% by 2030, the industry is under mounting pressure to balance performance scaling with sustainability..
Infineon Technologies is meeting this need with a clear and comprehensive strategy: power AI from the grid to the core. At its recent “We Power AI Day” in Taipei, the company reinforced its position as a global leader in power systems by unveiling new technologies and articulating a vision grounded in energy efficiency, power density, reliability, and decarbonization.
“If the AI server/data center industry uses the latest power management technology from companies like Infineon, we can save 22 million tons of CO2,” says Infineon Division President of Power & Sensor Systems Adam White. “That’s equivalent to removing 7.5 million combustion cars from the roads or the entire annual energy consumption of Portugal.”
Unlike most semiconductor companies, Infineon is one of the few suppliers worldwide with the ability to deliver power solutions covering the complete power conversion chain within the AI datacenter, using silicon (Si), silicon carbide (SiC), and gallium nitride (GaN) solutions. This mastery across materials enables the company to tailor system solutions at every level of AI infrastructure, from grid-connected power supplies down to the core of advanced processors.
Among the innovations showcased in Taipei was Infineon’s 12kW battery backup unit (BBU), which delivers four times the power density of standard units while enabling both peak shaving and system-level redundancy. The company also introduced the latest OptiMOSTM TDM2454xx quad-phase power modules. These modules offer true vertical power delivery (VPD) – a significant evolution from conventional lateral architectures. With an industry-leading current density of 2A/mm2, the modules are purpose-built to meet the demands of today’s high-performance AI systems.
“We’re moving away from brute-force power architectures and toward smarter, more integrated solutions,” says Senior Vice President & General Manager of Power ICs and Connectivity Systems Athar Zaidi. “By shifting from lateral to vertical power delivery and embedding capacitors directly into the modules, we reduce resistive losses and thermal inefficiencies, ultimately increasing reliability and freeing up board space.”
Infineon has also extended its XDPTM digital protection family with the XDP711-001 hot swap controller, designed for high-power AI servers. With high-precision telemetry and programmable safe operating area (SOA) control, this controller enhances system safety, protects against failure, and improves cost-efficiency – all while enabling faster, more robust power-up sequences.
Beyond its product portfolio, Infineon’s real advantage lies in its ecosystem integration. The company has cultivated close partnerships with top AI chipmakers, global cloud providers, and system manufacturers. Taiwan, in particular, plays a strategic role. With approximately 90% of the world’s AI servers either manufactured or assembled in Taiwan, Infineon continues to strengthen relationships with the region’s leading PSU suppliers and ODMs.
“Taiwan plays a critical role in this journey,” says White. “We’re proud to work hand in hand with the region’s top innovators to build a sustainable AI future.”
Manufacturing resilience is another cornerstone of Infineon’s approach. Thanks to its vertically integrated supply chain, the company maintains full control over quality, from wafer to finished module. Infineon’s recent breakthroughs include the launch of the world’s first 300mm GaN wafer and its proprietary ultra-thin 20-micrometersilicon wafers, which offer significant advantages in vertical power flow and thermal performance. These innovations are backed by decades of investment in fabrication capacity across Europe and Asia, as well as partnerships with foundries across the globe.
As AI continues to evolve, Infineon’s role in shaping the infrastructure that supports it is only growing more central. The shift toward high-voltage direct current architectures, the need for denser and more efficient power modules, and the importance of system-level fault tolerance all point to a future where power management is not just an engineering concern, but a strategic enabler of AI performance and sustainability. With a robust roadmap, a full-stack technology portfolio, and an ecosystem-driven mindset, Infineon is proving that powering AI is not just about wattage – it’s about intelligence, efficiency, and responsibility.
