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Super-lattice thin-film thermoelectric coolers (TEC) are emerging as a promising technology for hot spot mitigation in microprocessors. This paper studies the prospect of on-demand cooling with advanced TECs integrated at the back of the heat spreader inside a package (integrated TEC). The thermal compact models of the chip and package with integrated TECs are developed and used for steady-state and transient temperature analysis. The control principles for TEC assisted transient cooling are presented and their impact on reducing thermal violations in microprocessors and TEC energy dissipations are discussed.