Category Archives: A New Advanced IC Packaging Report

Strong Markets for ICs and Their Packaging

Handheld electronic gadgets such as smart phones and tablets are driving the demand for ICs in the consumer electronics industry, as is the return in demand for automobiles which are laden with ICs.  Smart phones and tablets require Internet connectivity and increasing amounts of bandwidth due to the large amount of information and images being shared.  Increased demand for product functionality is driving up the IC packaging revenue faster than IC unit growth.  IC packaging revenue is expected to have a compound annual growth rate (CAGR) of 9.8 percent, versus a CAGR of 7.3 percent for unit shipments through 2016.  IC revenue growth is shown below, which includes both device and packaging components.
IC Device and Packaging Revenue Forecast ($M), 2010–2016

2010
2011
2012
2013
2014
2015
2016

IC Revenue ($B)
267.7
262.5
273.2
299.9
326.5
347.4
381.8

Packaging Revenue (%)
14.6
14.3
14.7
15.0
15.1
15.6
15.7

 
The growth in handheld gadgets, which are increasingly digital in design, will boost the growth of special purpose logic (SPL) communications chips by 16.7 percent CAGR for device revenue through 2016, versus of 13.5 percent CAGR in units.  The packages for these devices are varied, but FBGA and QFN package solutions are the most in demand, which pull at either end of the pricing structure.  QFPs are ranked third as a package solution, but are decreasing in demand over time.  These devices are expected to have a 14.8 percent CAGR in revenue through 2016.
Wireless infrastructure products are also in high demand, which is helping boost consumption for standard cell and PLD chips.  These devices will grow at a CAGR of 16.1 percent CAGR in terms of revenue through 2016, while the device units are projected at 15 percent.  High I/O BGAs are by far the package solution of choice over the forecast period, so that the package revenue growth is projected to be slightly higher, at 16.3 percent CAGR through 2016.
Logic chips are in demand for a host of products, therefore 32-bit MCUs are expected to have an 11.1 percent CAGR unit demand, although only 4.7 percent device revenue CAGR through 2016.  QFPs and BGAs have the highest demand of the package solutions, although the QFP is waning in favor of the BGA.  Thus, the package revenue is growing at a CAGR of 12.8 percent through 2016 for 32-bit MCUs.
This information is included in the newly released report “The Worldwide IC Packaging Market, 2012 Edition”, from New Venture Research and is the most comprehensive report available on the global IC packaging industry. Highlights of this report include:
Worldwide IC Packaging Market Forecasts, 2010–2016
– Units
– Package Prices
– Packaging Revenue
– By Semiconductor Product
– By Package Family
– By I/O Range
 
Contract IC Packaging Market Forecasts, 2010–2016
– Units
– Package Prices
– Packaging Revenue
– Competitive Rankings
– Company Profiles

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A New Advanced IC Packaging Report

While the economy has been faltering, demand for low-cost electronics such as tablets, smart cell phones, and more pulled the semiconductor industry ahead of the rest of the economy in the second half of 2009. What has been the role of IC packaging in this?
Advancements in IC packaging have allowed the final product to become smaller, cheaper, and thus more desirable to the final customer. In the newly published report, Advanced IC Packaging Technologies and Markets by NVR, (www.newventureresearch.com), the following areas of advanced IC packaging are discussed in length, including forecasts of units, pricing, and revenue.
• Stacked IC Packaging
• Through Silicon Vias (TSVs)
• System in Package (SiP)
• Wafer Level Packages (WLPs) including Fan-out WLPs
• Staggered Inner-Row QFNs
• Interconnection, including Flip Chip
Through silicon vias, while still a ways off in terms of implementation, have promise in a number of markets, including DRAMs, MPUs, PLDs, special purpose logic communications chips, CMOS image sensors, and graphics chips. Flash is another potential market for this technology. TSVs and the market size potential are discussed in length in this report.
Other findings in this report include:
― Stacked packages will grow from 2.6 billion in 2009 to 5.5 billion in 2014
― SiPs will grow from 1.4 billion in 2009 to nearly 3 billion in 2014
― WLPs will grow from 6.8 billion in 2009 to 16.8 billion in 2014;
― Fan Out WLPs will expand from 2.9 percent of that in 2009 to 6 percent in 2014
― QFNs will grow from 10 billion in 2009 to 22 billion in 2014;
― Staggered inner-row QFNs will expand from less than 1 percent in 2009 to 6 percent in 2014
For more information see www.newventureresearch.com, or contact Karen Williams, at kwilliams@newventureresearch.com, phone (408) 244-1100, fax (408) 864-2138, or the principal analyst Sandra Winkler, at slwinkler@newventureresearch.com, phone (650) 299-9365.

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