Fan-Out Packaging Market Size, Share, Opportunities, And Trends By Type (Core Fan-Out, High-Density Fan-Out, Ultra-High-Density Fan-Out), By Carrier Size (300mm, 600mm, Others), By Material Type (Substrate Materials, Encapsulation Materials, Redistribution Layer (RDL) Materials, Others), By End-User (Foundries, Integrated Device Manufacturers (IDM), Outsourced Semiconductor Assembly And Test (OSAT)), And By Geography – Forecasts From 2025 To 2030

  • Published : Mar 2025
  • Report Code : KSI061614978
  • Pages : 148
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Fan-Out Packaging Market Size:

The Fan-Out Packaging Market will grow at a CAGR of 9.78% during the forecast period of 2022-2030.

Any package with connections fanning out from the chip surface to accommodate more external I/Os is referred to as fan-out packaging. The dies are completely submerged in an epoxy mold compound with conventional fan-out packaging rather than placed on a substrate or interposer. They are rapidly replacing the older, more established package-on-package (PoP), memory-on-logic systems. Additionally, the market's adoption of high-performance computing has expanded due to the growing use of artificial intelligence and machine learning in several industries.

The packaging trend will be influenced by cloud infrastructure, 5G, autonomous driving, and the artificial intelligence revolution over the forecast period, supporting the Fan-out Packaging Market. With potential in the foundry, outsourced semiconductor assembly and testing (OSAT), and integrated device manufacturer (IDM) businesses, the fan-out packaging industry has a bright future.

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Fan-Out Packaging Market Overview & Scope:

The Fan-Out Packaging Market is segmented by:

  • Type: The use of ultra-high-density packages for High-Performance Computing and networking is fueling the fan-out packaging industry’s expansion.
  • Carrier Size: By carrier size, the market is segmented into 300mm, 600mm, and others.
  • Material Type: A popular packaging technique now is to build packages with standard Fan-Out type Redistribution Layer (RDL) Materials, thus, it is witnessing growth.
  • End-User: Fan-out wafer-level packaging is a cost-efficient method in the semiconductor industry, where numerous dies are encapsulated together. 
  • Region: By geography, the fan-out packaging market is segmented into North America, South America, Europe, the Middle East and Africa, and Asia Pacific. 

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Top Trend Shaping the Fan-Out Packaging Market:

A substantial part will be held by high-density fan-out, which will upsurge the market.

  • Mega pillar plating and redistribution layer (RDL) metal are key structural components for this technique. Applications with a greater pin count, including application processors, are the focus of this technology (AP). Companies intend to include inFO-Antenna-in-Package (AiP) and inFO-on-Substrate technology in its FO-WLP sector. Cars, servers, and cell phones all utilize these packages. Moreover, companies are improving the fabrication process for High-Density Fan-Out Wafer Level Packaging (FOWLP). 
  • In addition to increasing reliability, energy efficiency, device speed, and multi-function integration, solutions are being explored to minimize chip size and height and cut production costs. For example, SPTS Technologies provides leading semiconductor packaging firms with various plasma etch and deposition process technologies for cutting-edge packaging schemes, including high-density fan-out wafer-level packing.
  • Moreover, high-density fan-out (HDFO) packages, which can fabricate at the wafer level and can build three-dimensional (3D) structures employing through-mold interconnects such as tall copper (Cu) pillars and through package vias (TPVs), can fulfill these demands of shrinking.

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Fan-Out Packaging Market: Growth Drivers vs. Challenges:

Drivers:

  • The market will be stimulated by the inclusion of ECP (Encapsulated Chip Package) technology in the Fan-Out Packaging Solution: 
  • Throughout the anticipated period, the market for Fan-Out Packaging Solutions is expected to be driven by the introduction of ECP (Encapsulated Chip Package) technology. Since the introduction of the Internet and multimedia, electronic downsizing in the form of integrated circuits has become a necessary component of our lives. 
  • To ensure its long-term functioning and dependability, chip packaging improvements are also necessary to support the fast development of integrated circuits. ECP technology is a cutting-edge chip-first and face-down packaging method, in contrast to traditional packaging procedures that employ wafer reconstitution molding materials. The laminating molding film used in the ECP technique replaces the customary liquid or powder molding compound. Additionally, it efficiently reduces chip offset and achieves small-size, high fan-out ratio packing as compared to liquid or powder compounds for wafer molding.

Challenges:

  • Availability of alternatives: The fan-out packaging market faces challenges such as complex integration and competition from other packaging technologies.

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Fan-Out Packaging Market Regional Analysis:

  • Asia-Pacific: The major economies like China, Japan, India, and South Korea dominate the Asia-Pacific region. The region’s largest semiconductor production firms are based in Taiwan, boosting demand for sophisticated semiconductor packaging, particularly in PLPs. The Semiconductor Industry Association (SIA) estimates that Asia-Pacific accounts for over 50% of global semiconductor sales, allowing Taiwanese manufacturers to offer FOWLP for growing semiconductor applications. Most businesses in the nation are increasing their ability to produce fan-out packaging, boosting exports and fostering local market growth.

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Fan-Out Packaging Market: Competitive Landscape:

The market is fragmented, with many notable players, including TSMC Limited, Powertech Technology Inc, Amkor Technology Inc, ASE Inc, INTEVAC, Camtek, NXP Semiconductor, Deca Technologies, and JCET Global, among others:

A few strategic developments related to the market:

  • New Partnership: In December 2024, YES (Yield Engineering Systems, Inc.) announced that SkyWater Technology had chosen the YES RapidCure polymer dielectric curing systems for their implementation of the M-Series FOWLP technology in partnership with Deca Technologies 'Deca'.

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Fan-Out Packaging Market Size:

Report Metric Details
Growth Rate CAGR of 9.78%
Study Period 2020 to 2030
Historical Data 2020 to 2023
Base Year 2024
Forecast Period 2025 – 2030
Forecast Unit (Value) USD Billion
Segmentation
  • Type
  • Carrier Size
  • Material Type
  • End-User
  • Geography
Geographical Segmentation Americas, Europe, Middle East, and Africa, Asia Pacific
List of Major Companies in the Fan-Out Packaging Market
  • TSMC Ltd.
  • Powertech Technology Inc.
  • Amkor Technology Inc.
  • ASE Inc.
  • INTEVAC
Customization Scope Free report customization with purchase

 

Fan-Out Packaging Market Segmentation: 

  • By Type
    • Core Fan-out
    • High-density Fan-out
    • Ultra-high-density Fan-out
  • By Carrier Size
    • 300mm
    • 600mm
    • Others
  • By Material Type
    • Substrate Materials
    • Encapsulation Materials
    • Redistribution Layer (RDL) Materials
    • Others
  • By End-User
    • Foundries
    • Integrated Device Manufacturers (IDM)
    • Outsourced Semiconductor Assembly and Test (OSAT)
  • By Region
    • Americas
      • USA
    • Europe, Middle East, and Africa
      • Germany
      • Netherlands
      • Others
    • Asia Pacific  
      • China
      • Japan
      • Taiwan
      • South Korea
      • Others

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Frequently Asked Questions (FAQs)

The fan-out packaging market is expected to grow at a CAGR of 9.78% during the forecast period.

The fan-out packaging market growth is driven by rising demand for compact devices, 5G adoption, and advanced semiconductor technology.

The Asia-Pacific region is anticipated to hold a significant share of the fan-out packaging market.

The fan-out packaging market has been segmented by Type, Carrier Size, Material Type, End-User, and Geography.

Prominent key market players in the fan-out packaging market include TSMC Ltd., Powertech Technology Inc., Amkor Technology Inc., ASE Inc., INTEVAC, Camtek, NXP Semiconductors, and among others.

1. EXECUTIVE SUMMARY 

2. MARKET SNAPSHOT

2.1. Market Overview

2.2. Market Definition

2.3. Scope of the Study

2.4. Market Segmentation

3. BUSINESS LANDSCAPE 

3.1. Market Drivers

3.2. Market Restraints

3.3. Market Opportunities 

3.4. Porter’s Five Forces Analysis

3.5. Industry Value Chain Analysis

3.6. Policies and Regulations 

3.7. Strategic Recommendations 

4. TECHNOLOGICAL OUTLOOK 

5. FAN-OUT PACKAGING MARKET BY TYPE

5.1. Introduction

5.2. Core Fan-out

5.3. High-density Fan-out

5.4. Ultra-high-density Fan-out

6. FAN-OUT PACKAGING MARKET BY CARRIER SIZE

6.1. Introduction

6.2. 300mm

6.3. 600mm

6.4. Others

7. FAN-OUT PACKAGING MARKET BY MATERIAL TYPE

7.1. Introduction

7.2. Substrate Materials

7.3. Encapsulation Materials

7.4. Redistribution Layer (RDL) Materials

7.5. Others

8. FAN-OUT PACKAGING MARKET BY END-USER

8.1. Introduction

8.2. Foundries

8.3. Integrated Device Manufacturers (IDM)

8.4. Outsourced Semiconductor Assembly and Test (OSAT)

9. FAN-OUT PACKAGING MARKET BY GEOGRAPHY

9.1. Introduction

9.2. Americas

9.2.1. USA

9.3. Europe, Middle East, and Africa

9.3.1. Germany

9.3.2. Netherlands

9.3.3. Others

9.4. Asia Pacific

9.4.1. China

9.4.2. Japan

9.4.3. Taiwan

9.4.4. South Korea

9.4.5. Others

10. COMPETITIVE ENVIRONMENT AND ANALYSIS

10.1. Major Players and Strategy Analysis

10.2. Market Share Analysis

10.3. Mergers, Acquisitions, Agreements, and Collaborations

10.4. Competitive Dashboard

11. COMPANY PROFILES

11.1. TSMC Ltd.

11.2. Powertech Technology Inc.

11.3. Amkor Technology Inc.

11.4. ASE Inc.

11.5. INTEVAC

11.6. Camtek

11.7. NXP Semiconductors

11.8. Deca Technologies

11.9. JCET Global

12. APPENDIX

12.1. Currency 

12.2. Assumptions

12.3. Base and Forecast Years Timeline

12.4. Key benefits for the stakeholders

12.5. Research Methodology 

12.6. Abbreviations 

LIST OF FIGURES

LIST OF TABLES

TSMC Ltd.

Powertech Technology Inc.

Amkor Technology Inc.

ASE Inc.

INTEVAC

Camtek

NXP Semiconductors

Deca Technologies

JCET Global