Advanced semiconductor packaging demand is accelerating, driven primarily by AI, data centers, automotive ADAS, and RF applications. Market growth is projected at 8–10% annually, supported by 2.5D and 3D integration, silicon interposers, and hybrid bonding. While advanced packaging enables higher functionality density and performance, costs are significantly higher than traditional lead frames. Key challenges include material shortages, yield constraints, equipment lead times, and geopolitical risks. Optimization through design-for-manufacturability improves yields and cost efficiency in high-volume production.
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