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It will shorten the lifespan by some, but gaming laptops are not expected to last decades anyways.
The MSI setting could either be the same as the Windows one or it might be a overclock setting, since these laptops are $2000-$3500. I wouldn't touch the one in the MSI control panel.
Also most Gaming Laptops have a much easier way to toggle this, via some sort of "Stealth" vs "Speed" hotkey on the laptop itself, allowing users to switch the Windows Power Profile directly from that. If your Laptop does not have this, you can easily click the AC Power / Battery Icon in lower notification bar and then toggle the mode. Try to only switch between two modes (like Power Saving and High Performance) as the pop-up menu there for quick switching of the profiles will only show the last two you used.
If you do not see "High Performance"
Then go into Control Panel > Power Options and there is a drop-down arrow button under where it shows the two default Balanced and Power Saving preset toggles.
There's no reason to unless your have another program controlling the CPU
Its to avoid issues with Gaming in general, some games experience issues when the normal core parking is taking place when the OS is under Power Saving or Balanced. AMD even created their own version of the High Performance profile, and gets injected with AMD Chipset Drivers, as needed for Ryzen to work properly, things of that sort.
IDK why folks think they are actually saving power just because that when on say Balanced, this allows the CPU Clock to auto downclock to around 800Mhz, this DOES NOT save you any power what so ever. The clock alone does not dictate power used from the wall.
BALANCED Power Profile:
Idle: 41 watts avg
Streaming 1440p video: 45 watts avg
XCOM Enemy Within (60 mins game time): 120 watt hours (120 watts bing consumed continuously for 1 hour)
Total War Warhammer Benchmark: 77.7 FPS
HIGH PERFORMANCE Power Profile:
Idle: 55 watts avg
Streaming 1440p video: 62 watts avg
XCOM Enemy Within (60 mins game time): 140 watt hours (140 watts bing consumed continuously for 1 hour)
Total War Warhammer Benchmark: 77.8 FPS
DELTA:
Idle: 14 watts saved
Streaming Video: 17 watts saved
Gaming (XCOM): 20 watts saved
Measurable performance difference: 0 FPS
Note that a game that is not turn-based would have less of a discrepancy in power consumption as the clock speed in the balanced system would be running near max frequency most of the time because the processor would be loaded more often. I also benched GTA V and noticed no difference in performance.
If you extrapolate the power savings on an annualized basis, it does make a noticeable cost difference. Assuming a PC is used 20 hours per week for gaming, 10 hours per week streaming video, and 20 hours idling at a $0.10 USD kilowatt hour cost, we have the following results:
ANNUALIZED BALANCED PROFILE RESULTS:
Power Consumption:
Idle: 42.64 Killowatt hours (Kwh = 1000 watts being consumed continuously per hour)
Streaming Video: 23.4 Kwh
Gaming (XCOM): 124.8 Kwh
Total Consumption: 190.84 Kwh
Total Cost ($0.10 USD/Kwh): $19.08 USD
ANNUALIZED HIGH PERFORMANCE RESULTS:
Idle: 57.2 Kwh
Streamoving Video: 32.24 Kwh
Gaming (XCOM): 145.6 Kwh
Total Consumption: 235.04 Kwh
Total Cost ($0.10 USD/Kwh): $23.50 USD
DELTA:
Power Consumption Saved: 44.2 Kwh
Power Cost Savings: $4.42 USD
-----------------------------------------------------
Note that the biggest difference in power consumption and therefore cost with the power plan differences comes when the system is idle or under very low loads, so if you leave your PC in such states more oten, you will save more power. If your Kwh power costs are more than $0.10 USD, you will also save more money. In this scenario, $4.42 obviously isn't a lot of money, but it's still a cost saving with no perceivable performance cost and you're being marginally more ecofriendly with your power-expensive PC gaming hobby. :)