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    Moore's Law

    Reading time: 2 min.Editorially reviewed on:

    Definition

    Moore's Law describes a historical trend of chip integration.

    Gordon Moore observed and predicted strong growth in the number of transistors on integrated circuits. The well-known doubling rule is a technological trend, not a natural law.

    Simply explained

    More and more tiny switches fit on a chip over a long period.

    Why it matters in practice

    The trend shaped expectations for computing power and costs also for AI.

    Example from business

    Hypothetical example: A team compares old capacity assumptions with today's hardware offerings.

    Limits and pitfalls

    • More transistors do not automatically mean double application performance or halved costs.

    Origin & history

    Moore formulated the original observation in 1965 and later adjusted the time horizon.

    Use in mid-sized companies

    • SMEs should base hardware decisions on real measurements rather than blanket progress assumptions.

    Frequently asked questions

    Does the law still apply unchanged?

    Technical and economic limits change the trend.

    Sources

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