According to Publisher’s latest study, the global Chip Packaging market size was valued at US$ 30470 million in 2023. With growing demand in downstream market, the Chip Packaging is forecast to a readjusted size of US$ 48120 million by 2030 with a CAGR of 6.7% during review period.
Market Overview
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The research report highlights the growth potential of the global Chip Packaging market. Chip Packaging are expected to show stable growth in the future market. However, product differentiation, reducing costs, and supply chain optimization remain crucial for the widespread adoption of Chip Packaging. Market players need to invest in research and development, forge strategic partnerships, and align their offerings with evolving consumer preferences to capitalize on the immense opportunities presented by the Chip Packaging market.
Installation of semiconductor integrated circuit chips with shell, plays a put, fixed, sealing, protection chip and enhance the effect of electrical performance, and is the communication bridge of the internal and external circuit chip, chip the contacts with wire is connected to the encapsulation of the shell on the pin of the pins and wires on the PCB and other devices connected. Therefore, encapsulation plays an important role for both CPUs and other LSI integrated circuits. Chip packaging technology has experienced several generations of changes, from DIP, QFP, PGA, BGA, to CSP and then to MCM, technical indicators generation by generation advanced, including chip area and packaging area ratio is more and more close to 1, the application frequency is more and more high, temperature performance is better and better. The number of pins is increased, the pin spacing is reduced, the weight is reduced, the reliability is improved, the use is more convenient and so on
The global chip package market reached $25,007.3 million in 2019 and is expected to reach $35,419.2 million in 2026, with a compound annual growth rate (CAGR) of 6.72%.
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Manmayi Raval
Research Consultant
Key Features:
Market Drivers: Growing Need for Semiconductor Devices: One of the main factors propelling the chip packaging market is the rising need for semiconductor devices across a range of industries, including consumer electronics, automotive, healthcare, and telecommunications.
Developments in Packaging Technologies: The performance and capabilities of semiconductor devices are being improved by advancements in packaging technologies, such as wafer-level packing, system-in-package (SiP), and 3D packaging.
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Increase in the Use of Consumer Electronics The demand for sophisticated semiconductor packaging solutions is being driven by the explosive rise of consumer electronics, which includes wearables, tablets, laptops, and smartphones.
IoT and AI expansion: As Internet of Things (IoT) and artificial intelligence (AI) technologies gain traction, they demand sophisticated semiconductor devices with dependable and efficient packaging.
Growth of the Automotive Industry: As the automotive sector moves toward electrified and driverless vehicles, there is an increased need for cutting-edge semiconductor devices and packaging.
Government promote and efforts: Investments in chip packaging are being driven by government policies and efforts that promote the semiconductor sector and technological breakthroughs.
Challenges: High Costs of sophisticated Packaging Technologies: For smaller semiconductor companies in particular, the high costs of sophisticated packaging technologies can be a deterrent to market expansion.
Technical Complexity: Developing and producing cutting-edge chip packaging solutions calls for a high level of skill and capital.
Supply Chain Disruptions: Production and market expansion may be impacted by supply chain disruptions for components and raw materials that are made worse by international crises and geopolitical unrest.
Regulatory Compliance: It can be difficult for manufacturers to navigate the complicated regulatory environment pertaining to semiconductor devices and packaging materials.
Environmental Concerns: There is rising concern about how packing materials and procedures affect the environment, particularly with regard to waste management and energy use.
Market Forecasts and Future Outlook: The rising need for sophisticated semiconductor devices, the widespread use of consumer electronics, and improvements in packaging technologies are all predicted to fuel the worldwide chip packaging market's strong growth between 2024 and 2030. Sustained expansion will need addressing issues like high costs and regulatory compliance. There are plenty of chances in this sector to innovate, grow into new markets, and create environmentally friendly and sustainable packaging.
Opportunities: Eco-Friendly and Sustainable Packaging Solutions: Developing eco-friendly and sustainable packaging materials and procedures can draw in customers who care about the environment and help businesses meet legal requirements.
Entry into Emerging nations: There is a lot of room for expansion in emerging nations, where the electronics and semiconductor sectors are expanding.
Technological Innovations: Semiconductor device performance and capabilities can be improved by utilizing packaging technology breakthroughs like 3D packaging and SiP.
Emphasis on Customization and Personalization: Creating packaging solutions that are both customizable and individualized in accordance with particular client needs will improve customer satisfaction and market distinctiveness.
Strategic Alliances: Establishing alliances with electronics firms, semiconductor producers, and technology suppliers can increase market share and spur innovation.
Improved Aftermarket Services: Long-term market growth and customer happiness can be increased by providing full aftermarket services, such as maintenance, support, and upgrades.
Market Segmentation:
Chip Packaging market is split by Type and by Application. For the period 2019-2030, the growth among segments provides accurate calculations and forecasts for consumption value by Type, and by Application in terms of value. By type breakdown, all markets for chip packages can be divided into the following categories:
The first category is mainly traditional packaging, which occupies a relatively large share of the global market, accounting for about 56%.
The other major category is advanced packaging, and for many companies, advanced packaging technology is very attractive, advanced packaging workers. Technology is at the heart of all semiconductor manufacturing processes today. For all semiconductor companies, advanced packaging technology is responding to the direct impact of big trends such as 5G, artificial intelligence and the Internet of Things. Advanced packaging occupies 45% of the market share.
1. Segmentation by type
• Traditional Packaging
• Advanced Packaging
2. Segmentation by application
• Automotive and Traffic
• Consumer Electronics
• Communication
• Other
Regional Insight: Asia-Pacific: Due to its high semiconductor production, substantial technological investments, and concentration of large electronics firms, the Asia-Pacific area is the market leader. Three important markets with significant room for expansion are China, Japan, and South Korea.
North America: This region is closely behind, with the United States playing a significant role. Leading semiconductor companies are heavily represented in the region, which places a high emphasis on innovation, research, and development.
Europe: With France, Germany, and the United Kingdom in the forefront, Europe is a large market. The area is leading the use of innovative semiconductor packaging solutions with an emphasis on regulatory compliance and technological developments.
Latin America: The region's market is expanding gradually due to factors including rising investments in the electronics and automotive industries, rising urbanization, and economic development. The two largest markets are Mexico and Brazil.
Middle East and Africa: Due to economic diversification, urbanization, and rising investments in technological initiatives, the Middle East and Africa region offers growth prospects. Notable markets with substantial potential are South Africa and the United Arab Emirates.
From the regional point of view, Taiwan market output market share is larger, the market accounted for 44%, the next few years will maintain a stable growth. China and the US, with 34 per cent and 11 per cent of the output market respectively, will continue to play a significant role. Any change in China, Taiwan may affect the development trend of chip packaging.
1. Americas
• United States
• Canada
• Mexico
• Brazil
2. APAC
• China
• Japan
• Korea
• Southeast Asia
• India
• Australia
3. Europe
• Germany
• France
• UK
• Italy
• Russia
4. Middle East & Africa
• Egypt
• South Africa
• Israel
• Turkey
• GCC Countries
Competitive Landscape: The chip packaging market consists of a group of well-known brand manufacturers and new entrants. The leading global players in the chip packaging market are ASE Group, Amkor Technology, JCET, SPIL,Powertech Technology, Tong Fu Micro Power, Tianshui Huatian Technology, UTAC, Chipbond Technology, Hana Micron and so on. These top 10 companies now account for more than 78% of the total market share.
The below companies that are profiled have been selected based on inputs gathered from primary experts and analyzing the company's coverage, product portfolio, its market penetration.
• ASE Group
• Amkor Technology
• JCET
• Siliconware Precision Industries
• Powertech Technology
• TongFu Microelectronics
• Tianshui Huatian Technology
• UTAC
• Chipbond Technology
• Hana Micron
• OSE
• Walton Advanced Engineering
• NEPES
• Unisem
• ChipMOS
• Signetics
• Carsem
• King Yuan ELECTRONICS
Table of Contents
1 Scope of the Report
1.1 Market Introduction
1.2 Years Considered
1.3 Research Objectives
1.4 Market Research Methodology
1.5 Research Process and Data Source
1.6 Economic Indicators
1.7 Currency Considered
1.8 Market Estimation Caveats
2 Executive Summary
2.1 World Market Overview
2.1.1 Global Chip Packaging Market Size 2019-2030
2.1.2 Chip Packaging Market Size CAGR by Region 2019 VS 2023 VS 2030
2.2 Chip Packaging Segment by Type
2.2.1 Traditional Packaging
2.2.2 Advanced Packaging
2.3 Chip Packaging Market Size by Type
2.3.1 Chip Packaging Market Size CAGR by Type (2019 VS 2023 VS 2030)
2.3.2 Global Chip Packaging Market Size Market Share by Type (2019-2024)
2.4 Chip Packaging Segment by Application
2.4.1 Automotive and Traffic
2.4.2 Consumer Electronics
2.4.3 Communication
2.4.4 Other
2.5 Chip Packaging Market Size by Application
2.5.1 Chip Packaging Market Size CAGR by Application (2019 VS 2023 VS 2030)
2.5.2 Global Chip Packaging Market Size Market Share by Application (2019-2024)
3 Chip Packaging Market Size by Player
3.1 Chip Packaging Market Size Market Share by Players
3.1.1 Global Chip Packaging Revenue by Players (2019-2024)
3.1.2 Global Chip Packaging Revenue Market Share by Players (2019-2024)
3.2 Global Chip Packaging Key Players Head office and Products Offered
3.3 Market Concentration Rate Analysis
3.3.1 Competition Landscape Analysis
3.3.2 Concentration Ratio (CR3, CR5 and CR10) & (2022-2024)
3.4 New Products and Potential Entrants
3.5 Mergers & Acquisitions, Expansion
4 Chip Packaging by Regions
4.1 Chip Packaging Market Size by Regions (2019-2024)
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