Advanced Packaging: Unpacking Growth Opportunities and Market Trends for the Decade Ahead

What Drives the Demand for Advanced Packaging?

The necessity for superior performance in forthcoming technologies such as Artificial Intelligence (AI), 5G, Internet of Things (IoT) and autonomous vehicles has amplified interest in Advanced Packaging. The field, characterized by advanced interconnection technologies beyond traditional wire bonding and flip chips, promises enhanced chip performance and reduced power consumption. Economies of scale driven by these high-growth end markets are making advanced packaging cost-effective, encouraging its adoption across various segments.

What are the Emerging Trends in This Market?

Significant trends delineating the contours of the advanced packaging market include consolidation of suppliers, shift towards multi-chip modules and three-dimensional integrated circuits (3D ICs), and increased use of wafer-level packaging. These trends, coupled with relentless pursuit of miniaturization and efficiency, have been relentlessly fueling the innovation engine.

What Does the Future Hold for Advanced Packaging?

Upcoming decade promises a flourishing landscape for advanced packaging, underscored by innovation, growth, and competitive shifts. With Moore's Law diminishing in relevance, the industry witnesses a strategic priority shift towards More than Moore technologies, where advanced packaging plays a central role. Rising end-market diversity, advancing technology node, and escalating complexity would invariably underscore the value narrative of advanced packaging, rendering it indispensable in the semiconductor value chain.