Banner Year For OSATS
The top OSATs (Outsourced Semiconductor Assembly and Test) saw 15-20% increase in 2020 revenue compared to 2019 and 2021 is expected to shape up as a “Banner Year” for OSATs, says Yole Developpement.
Advanced packaging revenue is expected to grow at 7.9% CAGR between 2020 and 2026.
The FCCSP (Flip Chip Chip Scale Package) market segment will reach more than $10 billion in 2026. Those packaging solutions are mainly used for baseband, RF transceivers, memory, and some PMIC applications.
The FCCSP packaging market share is controlled mainly by top OSATs such as ASE, Amkor, JCET, and memory suppliers such as Samsung, SK Hynix, and Micron.
FCCSP packages are mainly used in baseband, RF transceivers, memory, and some PMIC applications.
Memory DRAM packages used in PC/Datacenter/Automobile are primarily FCCSP based manufactured by top memory makers such as Samsung, Micron, SK Hynix and Winbond,” says Yole’s Vaibhav Trivedi.
FCCSP packages find their place in mobile and consumer markets mainly in smartphone APUs, RF components and DRAM devices used in PC, servers, and automotive applications.
FCCSP packages are used as they provide low cost and reliable solution like WLCSP (Wafer-Level Chip Scale Package) without incurring higher cost of fan-out type packages.
FCCSPs are typically single die with few passive components with less than 13mm x 13 mm BD size and are typically over molded and use molded underfill for solder joint protection.
The FCCSP packaging market share is controlled mainly by top OSATs such as ASE, Amkor, JCET, and memory suppliers such as Samsung, SK Hynix, and Micron.
In the race for heterogeneous integration, key players, such as ASE (w/SPIL & USI), TSMC, Intel, Amkor, and JCET, have announced unprecedented CapEx investment in 2021:
TSMC is planning to spend an estimated $2.5-$2.8 billion CapEx in 2021 to gear up new advanced packaging factories with InFO based devices, CoWoS, and SoIC-based product lines. TSMC generated an estimated $3.6 billion revenue through its advanced packaging offering in 2021 and is poised to reach new heights in the cluster of top OSATs.
ASE has also announced an estimated US$2 billion CapEx investing specifically in the booming system-in-package business through EMS activities, as well as its wafer-level packaging business. ASE remains a top OSAT after the acquisition of SPIL and USI.
Intel will invest $3?5 billion in advanced packaging as it expands its Foveros/EMIB “hybrid” packaging manufacturing in its Arizona and Oregon factories.
