3D IC and 2.5D IC Packaging Market Report 2025

The 3D IC And 2.5D IC packaging market size has grown rapidly in recent years. It will grow from $53.51 billion in 2024 to $59.28 billion in 2025 at a compound annual growth rate (CAGR) of 10.8%. The growth in the historic period can be attributed to miniaturization of electronic devices, demand for improved power efficiency, demand for improved signal integrity, demand for consumer electronics and gaming devices, performance enhancement.

The 3D IC And 2.5D IC packaging market size is expected to see rapid growth in the next few years. It will grow to $88.9 billion in 2029 at a compound annual growth rate (CAGR) of 10.7%. The growth in the forecast period can be attributed to emergence of wearable and portable devices, growing need for energy efficiency, rising demand for high-performance computing (HPC), shift toward system-on-chip (soc) designs, increasing complexity of semiconductor devices, IoT proliferation. Major trends in the forecast period include 5G technology advancements, advanced interconnect technologies, industry collaboration and standards, technological advancements in semiconductor technology, innovation in packaging materials.

The rising demand for consumer electronics is anticipated to fuel the expansion of the 3D IC and 2.5D IC packaging market in the future. Consumer electronics encompass electronic devices designed for purchase and personal, non-commercial use by consumers. 3D IC (Integrated Circuit) and 2.5D IC packaging represent advanced packaging technologies that deliver improved performance, expanded functionalities, and the downsizing of electronic gadgets. The upsurge in demand for consumer electronics and gaming devices is propelled by technological advancements, increased disposable income, the expansion of the gaming industry, digital transformation, remote work trends, entertainment preferences, evolving lifestyles, and the impact of social media and content consumption. As an illustration, LG, a South Korea-based consumer electronics company, reported a 12.9% growth in sales for 2022 in its annual financial report released in January 2023, surpassing approximately $52.7 billion in sales from the previous year. Moreover, the LG Home Appliance & Air Solution Company experienced a remarkable year, generating a revenue of $22.5 billion in 2022, marking a 10.3% surge from the preceding year. Consequently, the escalating demand for consumer electronics is a driving force behind the growth of the 3D IC and 2.5D IC packaging market.

The increasing acceptance of electric vehicles (EVs) is projected to drive the growth of the 3D IC and 2.5D IC packaging market in the foreseeable future. Electric vehicles are automobiles powered, either partially or entirely, by electricity stored in rechargeable batteries. Within electric vehicles, 3D IC technology is utilized to vertically stack integrated circuits, optimizing space and facilitating the integration of power management, motor control, and communication systems in a compact layout. For instance, as per the Global Electric Vehicle Outlook report by the International Energy Agency (IEA) released in May 2022, electric vehicle sales doubled in 2021 compared to the previous year, reaching approximately 6.6 million units. Furthermore, the first quarter of 2022 witnessed a further increase with 2 million electric cars sold globally. Thus, the growing adoption of electric vehicles stands as a key driver behind the expansion of the 3D IC and 2.5D IC packaging market.

Technological advancements stand as a prominent trend gaining traction within the 3D IC and 2.5D IC packaging market. Leading firms engaged in this sector are embracing novel technologies to maintain their market standing. A prime example occurred in June 2022 when ASE Technology Holding Co. Ltd., a semiconductor manufacturing services provider based in Taiwan, introduced VIPack. This cutting-edge packaging platform, an evolution in 3D heterogeneous integration architecture, broadens design parameters while delivering exceptionally high performance and density. VIPack empowers companies to achieve unparalleled innovation by integrating multiple chips into a single package. It leverages advanced redistribution layer (RDL) technologies, embedded integration, and 2.5D and 3D technologies. VIPack encompasses six fundamental packaging technology pillars, complemented by a comprehensive co-design ecosystem. These pillars encompass ASE's high-density through Silicon Via (TSV)-based 2.5D and 3D IC, Co-Packaged Optics processing capabilities, along with Fanout Package-on-Package (FOPoP), Fanout Chip-on-Substrate (FOCoS), Fanout Chip-on-Substrate-Bridge (FOCoS-Bridge), and Fanout System-in-Package (FOSiP)-based technologies.

Major companies in the 3D IC and 2.5D IC packaging market are innovating new technologies, such as next-generation 2.5D technologies, to achieve a competitive advantage. 2.5D packaging technology refers to an advanced semiconductor integration method where multiple integrated circuit (IC) components, including logic dies and memory dies, are stacked on a single substrate or interposer. For example, in June 2024, Siemens Digital Industries Software, a US-based computer software company, launched Innovator3D IC, a new software solution that provides a rapid and reliable approach for planning and integrating ASICs and chiplets using the latest advanced semiconductor packaging technologies, including 2.5D and 3D substrates. Innovator3D IC offers a centralized platform for creating a digital twin, encompassing a unified data model for design planning, prototyping, and predictive analysis of the entire semiconductor package assembly. This platform streamlines implementation, multi-physics analysis, mechanical design, testing, signoff, and manufacturing release.

In January 2024, Cadence Design Systems Inc., a US-based electronic design automation (EDA) software and engineering service company, acquired Invecas Inc. for an undisclosed sum. This acquisition aligns with Cadence's strategy to bolster its capabilities in advanced packaging solutions, particularly in the areas of 3D IC and 2.5D IC packaging. By integrating Invecas' skilled system design engineering team, Cadence intends to provide custom solutions that address the evolving needs of its customers in chip design, product engineering, and embedded software development. Invecas, Inc. is a US-based product engineering company that offers custom solutions for the semiconductor industry, including 3D IC and 2.5D IC packaging solutions.

Major companies operating in the 3D IC and 2.5D IC packaging market include Samsung Electronics Co. Ltd., Siemens AG, Intel Corporation, Taiwan Semiconductor Manufacturing Company Limited, SK Hynix Inc., Broadcom Inc., Fujitsu Limited, Toshiba Corporation, ASE Technology Holding Co. Ltd., Texas Instruments Incorporated, STMicroelectronics NV, Infineon Technologies AG, Renesas Electronics Corporation, United Microelectronics Corporation, GlobalFoundries Inc., Amkor Technology Inc., Unimicron Technology Corporation, Jiangsu Changjiang Electronics Technology Co. Ltd., Cadence Design Systems Inc., Siliconware Precision Industries Co. Ltd., Powertech Technology Inc., Ansys Inc., STATS ChipPAC Pte. Ltd., Synopsys Inc, UTAC Holdings Ltd., Tessolve Semiconductor Private Limited, Invensas Corporation, National Center for Advanced Packaging Co. Ltd., Tohoku-MicroTec Co. Ltd, TechSearch International Inc.

Asia-Pacific was the largest region in the 3D IC and 2.5D IC market in 2024. It is expected to be the fastest-growing region in the forecast period. The regions covered in the 3d ic and 2.5d ic packaging market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the 3d ic and 2.5d ic packaging market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

3D Integrated Circuit (IC) and 2.5D IC packaging represent advanced technologies within the semiconductor industry, aimed at enhancing chip density and overall performance. In 3D IC packaging, multiple integrated circuits are vertically stacked, facilitating heightened interconnect density and shorter interconnect lengths. On the other hand, 2.5D IC packaging achieves connectivity among multiple chips through an interposer, typically a silicon substrate.

The principal categories of 3D IC and 2.5D IC packaging encompass 3D wafer-level chip-scale packaging, 3D Through-Silicon Via (TSV), and 2.5D technology. 3D wafer-level chip-scale packaging entails integrating numerous dies or chips into a singular package at the wafer level. This technology finds applications across diverse sectors such as logic, memory, imaging, optoelectronics, MEMS or sensors, LEDs, and others. It caters to various end-users including telecommunications, consumer electronics, automotive, military and aerospace, medical devices, smart technologies, among others.

The 3D IC and 2.5D IC packaging market research report is one of a series of new reports that provides 3D IC and 2.5D IC packaging market statistics, including 3D IC and 2.5D IC packaging industry global market size, regional shares, competitors with a 3D IC and 2.5D IC packaging market share, detailed 3D IC and 2.5D IC packaging market segments, 3D IC and 2.5D IC packaging market trends and opportunities, and any further data you may need to thrive in the 3D IC and 2.5D IC packaging industry. This 3D IC and 2.5D IC packaging market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The 3D IC and 2.5D IC packaging market consists of revenues earned by entities by providing ultra-high routing density, AI accelerator for AI training, and power or optics integration. The market value includes the value of related goods sold by the service provider or included within the service offering. The 3D IC and 2.5D IC packaging market also includes sales of memory modules, system-on-chip devices, graphics processing units (GPU), electronic components, and single semiconductor wafer. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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