Intel, Samsung, TSMC to drive chip packaging forward

September 08, 2020 //By Peter Clarke
Intel, Samsung, TSMC to drive chip packaging forward
Yole Developpement has provided advanced packaging technology roadmaps, market estimates and a ranking of packaging companies.

The advanced chip packaging market was worth about $29 billion in 2019 out of a total packaging market worth $68 billion. Advanced packaging will grow at a compound annual growth rate (CAGR) of 6.6 percent between 2019 and 2025, according to the market analyst.

The adoption of advanced packaging is being driven by a slow down in Moore’s Law and heterogeneous integration along with megatrends including 5G, AI, high-performance computing and the Internet of Things. It is also driven by those chip makers closest to the leading-edge, TSMC, Samsung and Intel. As result advanced packaging will represent about 50 percent of the packaging market by 2025.

Advanced packaging market growth by wafers and by technology 2019 to 2025. Source: Yole Developpement.

Of the advanced packaging total in 2019, ICs or consumer and mobile applications were responsible for 85 percent but it will grow at a slightly lower than average rate – 5.5 percent – as other sectors are drawn in to take the benefits of advanced packaging at lower volumes.

Next: Ranking of OSATs


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