Why are Semiconductor Markets Targeting Servers Chip Development?

The recent spurt in demand for server chips has the potential to realign the semiconductor market.

FREMONT, CA: There has been a marked surge in the innovations within the server chip segment as the semiconductor industry is focused on taking advantage of evolving markets. Conventionally, semiconductors makers always gave preference to developing smaller chips that have found applications in smartphones and other smart devices. The mobile revolution has contributed significantly to the growth of the semiconductor markets. Now the tides might be shifting as there are several instances of innovations in larger chips for bigger systems, including servers. 

The demand for high-performance servers has grown steadily. With computing prowess becoming essential in almost every sector, the age of digitalization is changing the market dynamics for semiconductor manufacturers. The advancements in Artificial Intelligence and machine learning require powerful hardware. It is through the development of semiconductor chips for servers that various industries can leverage the advantages of these technologies.   

An extensive article published in Techspot recently talks about several developments that are proof to the fact that server chip development has become highly valuable for semiconductor companies. Leading semiconductor players are introducing a new range of chips that are creating records in server performance. The article Techspot talks about the Epyc 7002 series, which uses a Zen 2 microarchitecture and a chiplet design. Such designs, as has been created by Epyc, are expected to become the norm going forward.

Enhanced manufacturing capabilities have proved to be the major facilitator as semiconductor companies are now able to leverage innovative processes to increase product properties. It is becoming easier to manufacture the next generation of server chips that assist in enhanced compute performances. Servers are central to facilitating the increasing workloads, and by creating better server chips, the semiconductor industry is supporting enterprise-level technology upgrades.  

See also: Top Semiconductor Technology Solution Companies