What phenomenon describes the performance of computer chips doubling every 18 months?

The phenomenon that describes the performance of computer chips doubling approximately every 18 months is known as Moore's Law. This observation, made by Gordon Moore in 1965, states that the number of transistors on a microchip would roughly double every two years, leading to enhanced computing power and efficiency, while simultaneously decreasing costs. This exponential increase in chip performance has driven much of the technological advances observed in the computing industry, enabling faster and more compact devices.

The significance of Moore's Law lies in its influence on the pace of innovation in electronics and computer science, impacting everything from personal computers to mobile devices and data centers. Understanding Moore's Law is crucial for IT management, as it highlights both the opportunities for leveraging advanced technology and the need for continual adaptation to rapid changes in the technological landscape. Other options, while relevant in different contexts related to technology and computing, do not pertain to the specific observation about the performance of computer chips.