Advanced packaging industry poised for transformative growth

Techniques such as system-in-package (SiP), fan-out wafer-level packaging (FOWLP), heterogeneous integration, 2.5D, and 3D-IC architectures are at the forefront of advanced packaging. By placing chips closely, these methods optimise power consumption, improve operational speed, and integrate multifunction components.

Industry players like Intel, Samsung, and TSMC have huge stakes in the sector with innovative platforms tailored for advanced packaging. These platforms, each offering distinct features and benefits, are shaping the future of the semiconductor industry.

The rise in the usage of smartphones, wearables, and Internet of Things (IoT) devices has fuelled the need for advanced semiconductor solutions. These devices require smaller, more efficient components capable of supporting technologies like 5G, artificial intelligence (AI), and the IoT. Advanced packaging techniques are pivotal in meeting these demands.

The transition to electric vehicles (EVs) and autonomous driving systems highlights the importance of semiconductor miniaturisation. Advanced packaging supports the integration of sensors and processing units essential for safe and efficient autonomous systems. MEMS sensors, powered by sophisticated packaging, are key components in enabling vehicle intelligence.

With the increasing demand for cloud computing and data centre operations, energy-efficient semiconductor designs are critical. Advanced packaging enables smaller, high-performance chips that consume less power and generate less heat, making them ideal for modern data centres.

AI is transforming industries with its ability to analyse massive data sets and execute complex algorithms in real-time. Generative AI is capable of creating new solutions autonomously, which relies on robust hardware infrastructure provided by advanced packaging.

The rollout of 5G technology demands compact, energy-efficient devices with enhanced thermal management. Advanced packaging techniques, including WLCSP and fan-out packaging, address these needs while enabling smaller form factors and reduced power consumption.

Innovation in advanced packaging is the adoption of glass core substrates. These materials offer unparalleled performance and scalability for next-generation chip designs. Although challenges remain, the potential applications of glass substrates in AI chips, servers, and other high-demand areas are significant.

From multi-camera systems and OLED displays to 3D sensing and AR/VR technologies, advanced packaging plays a vital role in the development of modern consumer devices. Each smartphone incorporates approximately 20 SiPs, showcasing the extensive adoption of advanced packaging solutions.

As cars evolve into connected, autonomous systems, advanced packaging facilitates the integration of numerous sensors, processors, and communication modules. The automotive industry is a significant contributor to the growth of MEMS packaging techniques.

Advanced packaging optimises performance in data centres by enabling compact, high-efficiency semiconductor designs. These innovations are critical for managing the rising demand for cloud-based services and applications.

The advanced packaging industry is at the heart of technological progress, driving innovations across diverse sectors. From enabling AI-powered applications to supporting the miniaturisation of automotive components, advanced packaging is a key enabler of the future. Regional advancements in North America and Asia-Pacific further underline the global momentum of this dynamic industry.

As new technologies like 5G and glass-core substrates emerge, the potential for advanced packaging continues to expand. The industry’s growth trajectory is marked by continuous innovation, collaborative efforts, and an unwavering commitment to addressing global technology demands.

This story is based on a report by Towards Packaging.