The battlefields of fan-out packaging – Published on Chip Scale Review

“Although the inflated excitement has started to plunge after few years of hype, Fan-Out technologies are still very well established in low-end and high-end applications”, asserts Favier Shoo, Technology & Market AnalystYole Développement (Yole), the market research & strategy consulting company is following the fan-out business for a while and proposes valuable technology & market analyses all year long. Favier Shoo and Santosh Kumar, Director & Principal Analyst at Yole, had the opportunity to give an detailed overview of the fan-out business to Chip Scale Review (CSR) readers last summer. Discover today this article!

In 2019, all the key outsourced semiconductor assembly and test suppliers (OSATS), foundries, and integrated device manufacturers (IDMs) have fan-out (FO) packaging solutions in the market. In a megatrends-driven era, fan-out platforms are viewed increasingly as one of the top options among leading package technologies. Inevitably, key players with different business models are penetrating and competing in the same market space with different FO technologies and strategies. This has resulted not only in an increasingly divided market from high-end to low-end applications of FO packaging, but also an unavoidable battle of cost vs. performance trade-off between panel level vs. wafer-level processing

Market perspective on fan-out packaging

Fan-out packaging market value is expected to grow at a 19% compound annual growth rate (CAGR) from 2019- 2024, reaching a market size of $3.8B. Core FO market confirmed its stability with substantial new entrants joining via fan-out panel-level packaging (FOPLP). Although existing FOWLP players have a long history of established qualifications, mid-end devices may be too costly for FOWLP players.

Amkor Portugal (NANIUM, S. A.) and JCET Group (STATS ChipPAC) used to have almost 80% of the market prior to 2016, thanks to their strong start with embedded wafer-level ball grid array (eWLB) FOWLP. Furthermore, with a strong track record of FOWLP production maturity and time-to-market, FOWLP technology has proven its quality and gained trust from customers. The situation changed drastically with the entrance of TSMC with integrated fan-out (InFO), which attained more than 50% of the market in 2017, thanks to Apple A10, A11 and A12 packaging. These products have become the highend benchmark of FOWLP technology.

Fan-out success and growth are well confirmed in the “core” standard FO market and made possible in the high-density FO (HDFO) market as well. Consequently, numerous other FO providers are trying to enter the game and the competitive landscape is changing…

Full article on Chip Scale Review website

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The Battlefields of Fan-Out Packaging

All key players with different FO technologies are facing an unavoidable battle of cost and performance trade-off between panel-level vs. wafer-level... To watch the recorded version, click here.


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