3DIC 2.5D TSV Interconnect for Advanced Packaging Market - Forecast(2024 - 2030)

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Overview

The Global 3DIC 2.5D TSV Interconnect for Advanced Packaging market size is forecast to reach $65.3 billion by 2026, growing at a CAGR of 15.1% from 2021 to 2026. 3DIC 2.5D TSV interconnect based advanced packaging technologies have gained wide popularity across optoelectronic devices, field programmable gate arrays, and others, compared to flip chip ball grid array semiconductor packaging. Growing trends like shift towards heterogeneous 3D integration, hybrid memory cube, high end computing applications along with rising adoptability of 3D IC TSV packages for complementary metal oxide semiconductor, MEMS, image sensors and others, have been attributing to its market growth. In addition, growing investment on autonomous vehicle development along with rising shift towards HPC clusters for high-end computing in data center servers or related applications is further set to boost the market growth in the long run.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Report Coverage

The report: “3DIC 2.5D TSV Interconnect for Advanced Packaging Industry Outlook – Forecast (2021-2026)”, by IndustryARC covers an in-depth analysis of the following segments of the 3DIC 2.5D TSV Interconnect for Advanced Packaging industry.

By Packaging Technology: 3D TSV, 2.5D
By Application: Memory Devices, MEMS Devices & Sensors, LED, Logic Devices, Imaging & Optoelectronics, Others
By End Users: Telecom, Consumer Electronics, Automotive, Aerospace & Defence, Industrial, Medical & Healthcare, Others 
By Geography: North America (U.S, Canada, Mexico), Europe (U.K, Germany, Italy, France, Spain, Others), APAC (China, Japan, South Korea, India, Australia & New Zealand, Others), South America (Brazil, Argentina and Others) and RoW (Middle East, Africa)

Key Takeaways

• Consumer Electronics sector is anticipated to grow with the highest CAGR in the global 3DIC 2.5D TSV Interconnect for advanced packaging market during 2021-2026, attributing to factors like growing demand for large bandwidth and low power consuming consumer products as well as shift towards miniaturization trends of electronic products.
• APAC held the largest 3DIC 2.5D TSV Interconnect for Advanced Packaging market share in 2020, due to growing smartphone user penetration as well as adoption of AI, 5G and related advanced technologies.
• Rising investment on autonomous vehicle development along with growing shift towards HPC clusters for high-end computing in data center servers or related applications is analyzed to significantly drive the global 3DIC 2.5D TSV Interconnect for Advanced Packaging market during the forecast period 2021-2026.  

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Segment Analysis- By Packaging Technology

Based on packaging technology, 3D IC TSV segment is analyzed to witness the fastest growth in the global 3DIC 2.5D TSV interconnect for advanced packaging market with a CAGR of 10.2% during the forecast period 2021-2026. With rapid advances in semiconductor design and manufacturing processes, the adoption of 3DIC TSV packaging has emerged as a popular alternative by the chipmakers capable of meeting packaging challenges encountered while production of high-performance chips. Due to various advantages of 3D IC TSV interconnect packaging, including low power consumption, high performance capacity, space constraint component designing and many others, they have been gaining wide popularity across different end use applications areas overtime. In October 2019, Samsung Electronics Co., Ltd. announced about the launch of its first 12 layer 3D TSV (through silicon via) technology, as a part of substantial advancement towards advanced component designing. This development was done to offer highest DRAM performance majorly for data intensive applications or those in need of extremely high-speed. Such factors have eventually helped in positively impacting the market growth of 3D IC TSV packaging technology.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Segment Analysis- By End Users

Consumer Electronics sector is analyzed to account for the highest CAGR of around 9.5% in the global 3DIC 2.5D TSV Interconnect for Advanced Packaging market during 2021-2026. Growing demand towards increased bandwidth and power efficient consumer electronic devices along with rising trends like miniaturization of electronic products owing to technological advancements have been attributing to the market growth. Leveraging 3DIC and 2.5D TSV interconnects for advanced packaging in semiconductor chips help in polishing up the user experience through dynamic thermal management, high-speed data management, low power consumption, high memory capability and so on. This in turn, act as some of the vital factors contributing to its market growth within the consumer electronic applications. Additionally, growing adoption of smart or connected wearables as well as rising penetration of smartphones, gaming devices, tablets and related consumer devices can also help in driving the market growth forward overtime. In August 2020, Samsung Electronics Co., Ltd. had revealed about the availability of its silicon proven 3D IC packaging technology, named eXtended-Cube (X-Cube), designed for serving most advanced process nodes applications. Development of X-Cube was done to address the rigorous performance demands for next-generation applications, including mobiles, wearables, high-performance computing and others, through enabling significant leaps within speed as well as power efficiency. Such factors are further set to boost the market growth within the consumer electronics sector in the long run.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Segment Analysis- By Geography

APAC region accounted with the largest share of around 51% in the global 3DIC 2.5D TSV Interconnect for Advanced Packaging market in 2020, and is also analyzed to maintain a significant market growth during 2021-2026. Growing penetration of smartphone users along with adoption of advanced technologies including artificial intelligence, 5G and others have been attributing to the growth of advanced IC packaging technologies in the region. Rising investment on semiconductor foundry or manufacturing facilities, growing development towards high density and large bandwidth electronic products, as well as adoption of IoT from telecom operators can also drive the market growth forward. In September 2019, GSMA APAC IoT partnership programme was expanded as a part of bringing mobile operators as partners including developers, manufactures as well as system integrators towards boosting IoT development in APAC region. Additionally, high investments from some of the key market players such as Taiwan Semiconductor Manufacturing Company Ltd., Samsung Electronics and many others towards R&D activities, rising shift towards miniaturization trends, as well as rising investment on autonomous vehicles are set to fuel the market demands for 3DIC 2.5 TSV interconnects for advanced packaging in the long run. In October 2021, Thalamus Irwine and Triton EV had announced about their collaboration on development of autonomous vehicles in India by the year 2023, with plans of setting up a factory in Telangana, India through an investment of Rs. 2100 Crore (around 27.9 USD). Such factors are further set to assist the market growth for 3D IC or 2.5 D TSV interconnect based advanced packaging in the coming time.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Drivers

• Growing shift towards HPC clusters for high-end computing in data center servers or related applications positively impacting its market growth

Growing shift towards HPC clusters for high-end computing in data center servers or related applications act as one of the major drivers boosting the market growth of 3DIC 2.5D TSV interconnect for advanced packaging.  With technological advances like AI, deep learning and others, need for heterogeneous IC packaging have become highly essential to serve data center networking applications with high-performance CPU, servers and others. Leveraging 3D IC or 2.5D packages, help in designing data center networking switches, server CPUs and others with capabilities of offering high-performance graphics, as well as increased routing density compared to other available packaging substrates. This in turn, have helped in gaining wide popularity of 3D IC and 2.5D based packaging technologies across high-end computing data center applications overtime. In October 2020, Synopsys Inc. announced about the launch of its 3DIC compiler solution, in order to help Samsung Foundry towards designing, implementing as well as taping out a complex 5 nm SoC, under a single package. This development was meant to help Samsung’s multi-die integration, based on silicon interposer technology, scale out complexities as well as capacity regarding new SoC designs for high performance computing applications. In November 2020, Northern Data AG had revealed about commissioning of a HPC data center facility in Maastricht, making it one of the largest GPU clusters on global level. Such factors can be considered crucial in accelerating design productivity along with reduced turnaround time for the chip designers, which is set to fuel the market growth in the long run.

• Rising rate of investments on development of autonomous vehicles drives the market growth forward

Rising rate of investments on development of autonomous vehicles can be considered as a major factor analyzed to drive the market growth towards 3DIC 2.5D TSV interconnect for advanced packaging. Factors including governmental initiatives supporting the transitional shift from traditional vehicles to self-driving automobiles, technological advances towards reducing collision or road accidents along with growing shift towards innovative and advanced automotive technologies have been attributing to the market growth. Development of autonomous vehicles rely highly on high performance computing (HPC) simulation owing to requirement of lidar, camera as well as radar systems requiring high performance and safety. Adoption of 3D IC or 2.5 D TSV based packaging designs help the automakers to accelerate designing process of autonomous vehicle systems through faster and simultaneous HPC simulation, which aids its market growth. Since development of autonomous vehicles or self-driving vehicles involve requirement of high-end computing systems, its market growth will face a significant surge owing to continuous investments from major automakers including Ford, Tesla, and so on.  In September 2021, Tesla had revealed about its plans on development of $25,000 fully autonomous electric cars by the year 2023. Such factors are bound to drive the need for TSV semiconductor chipsets, memory devices, sensors, and many others used in the high end computing systems of autonomous cars in the coming time.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Challenges

• Complexities related to wafer or substrate fabrication, IC packaging or designing hinders its market growth:

Complexities related to wafer or substrate fabrication, IC packaging or designing act as a major factor impeding the market growth of 3DIC 2.5D TSV interconnect for advanced packaging. Leveraging advanced packaging technologies like 3D IC and 2.5D TSV incurs additional costs in terms of highly skilled expertise, designing complexities for optimum accuracy, wafer fabrication and others, which creates its lesser adoptability in the end use markets. Combining benefits including low power consumption, high thermal resistivity, minimal space constraints and so on, raise operational costs for these kind of advanced packaging technologies. Such factors eventually creates an adverse impact on the growth of 3DIC 2.5D TSV interconnect for advanced packaging market.

3DIC 2.5D TSV Interconnect for Advanced Packaging Market Landscape

Product launches, acquisitions, and R&D activities are key strategies adopted by players in the 3DIC 2.5D TSV Interconnect for Advanced Packaging market. The 3DIC 2.5D TSV Interconnect for Advanced Packaging top 10 companies include:

1. Taiwan Semiconductor Manufacturing Company Limited
2. Samsung Electronics Co., Ltd.
3. Amkor Technology Inc.
4. ASE Group
5. Intel Corporation
6. United Microelectronics
7. Broadcom
8. Toshiba Corporation
9. STMicroelectronics NV
10. Cadence Design Systems

Acquisitions/Technology Launches/Partnerships

·         In November 2020, Intel and CEA-Leti entered into a collaboration in order to support 3D packaging technologies for processors as a part of advancing chip designs. This will help in focusing on assembling of smaller chipsets, optimizing interconnection technologies across varied microprocessor elements, meant for serving high performance computing applications.

·         In March 2020, TSMC had collaborated with Broadcom to launch an enhanced chip on wafer on substrate, named 2.5D IC TSV interposer packaging technology. This development was meant to serve as an ideal choice for memory-intensive applications including deep learning, 5G networking workloads, as well as power-efficient data centers, with additional space and flexibility within ASIC designs.

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