Increasing demand for semiconductor assembly and testing services (SATS) in communication and packaging solutions, limitations of electronics outsourcing services, and rapid growth of semiconductor packaging landscape are expected to propel growth of semiconductor assembly and testing market in the forecast period of 2019 - 2029. The market is projected to witness significant growth over the forecast period, due to several factors such as growing penetration of smartphones and solid-state drives (SSDs), and increasing adoption of semiconductor assembly & testing services to meet customer expectations.
Increasing Preference for (WLP) Interconnecting Technology
Wafer-level packaging (WLP) interconnecting technology is an advanced packaging technology wherein die interconnects are manufactured and tested on the wafer. These interconnects have wider pitch and larger ball structures as compared to associated flip chip structures. WLP is rapidly replacing traditional packaging technologies with growing adoption of wireless portable applications that demand small form factor, low thermal and power ratings, and light weight. Expanding assembly & packaging services and the gradual increase in demand from end use industries such as consumer electronics and communication and automotive, especially in developing regions such as Asia Pacific, Latin America, and the MEA is projected to boost demand for semiconductor assembly and testing services.
Advantageous Features over In-house Testing and Packaging Capabilities
Semiconductor assembly and testing services offers different features such as flexibility for varying performance requirements utilizing multilayer organic build-up substrates, well-established process equipment expertise, proven construction, and lower stress on active area. Flip chip facilitates a higher number of interconnects as compared to packaging solutions employing wire bonding technology, as it uses the entire surface area of the die, and sometimes the perimeter as well. The reliability of such features drive growth of the semiconductor assembly and testing services market.
Increasing Application in Automobile Electronics Sector
Advancements in automotive electronics in next-generation cars equipped with electronic components and systems to enhance car safety and management systems are a prime factor driving the growth of the semiconductor assembly and testing services market. Rising adoption of advanced electronics in sophisticated engine and safety controls, navigation, audio/video systems, hybrid electric drives, and LED lighting creates significant opportunities for players in the semiconductor assembly and testing services market.
Lucrative Growth Opportunities Abound in Asia Pacific
The semiconductor assembly and testing services market is witnessing rapid growth in the Asia Pacific region due to increasing adoption of tablets and wearable devices. Semiconductor assembly and testing services market providers strive to expand their operations in China, South Korea, and India to unlock new growth avenues, attributable to growing demand for consumer electronics and vast expansion of electronic industries in these countries.
Semiconductor Assembly and Testing Services Market – Competition Landscape
Introduction of new services and partnerships & collaborations are key strategies followed by top players in the market to increase their business revenue. Semiconductor assembly and testing service providers focus on innovation in products/services to improve their market positions.
Some leading players in the semiconductor assembly and testing services market are Powertech Technology Inc., STATS ChipPAC Ltd. (JCET), ASE Group, Silicon Precision Industries Co. Ltd., Amkor Technologies Inc., and Chipbond Technology Corporation.
Over the last few years, emergence of 3D semiconductor assemblies and increased demand for outsourced semiconductor assembly and testing services (OSATS) are creating significant growth opportunities for players in the semiconductor assembly and testing services market. Among various regions, Asia Pacific excluding Japan is the most prominent region and holds a market share of 34%.
Persistence Market Research (PMR) recently published a report on the semiconductor assembly and testing services market for the assessment period of 2019-2029. PMR’s report on the semiconductor assembly and testing services market offers a close look at evolving aspects of the semiconductor assembly and testing services market as well as dynamics impacting market growth. The report provides insights into key developments that have made their mark on the semiconductor assembly and testing services market, and anticipated developments. The report includes various macroeconomic and microeconomic factors responsible for an impact on the growth of the semiconductor assembly and testing services market.
A direct market overview provides growth scenarios and market potential with maximum precision, which are adjudged with suitable assumptions. The report features relevant factors that are likely to have a significant impact on the semiconductor assembly and testing services market during the forecast period. It includes a detailed and comprehensive information to help new manufacturers establish themselves in the semiconductor assembly and testing services market.
Several stakeholders in the semiconductor assembly and testing services market can rely on the data offered in this report for effective decision-making. Moreover, the information offered in the semiconductor assembly and testing services market report will help new market entrants in expanding their bases in the semiconductor assembly and testing services market.
The report elaborates historical and current trends molding growth of the semiconductor assembly and testing services market. The performance journey of the semiconductor assembly and testing services market is drawn and analyzed in to make the lucrative side of the market evident to readers. The competitive landscape presented in the semiconductor assembly and testing services market report gives a detailed outlook of profiles of key companies operating in the market, along with their differential strategies and key focus areas.
Semiconductor Assembly and Testing Services Market: Segmentation
PMR’s report on the global semiconductor assembly and testing services market offers a detailed market segmentation, wherein key segments have been discussed in detail. This report by PMR carefully examines the semiconductor assembly and testing services market at a global as well as regional level, through market segmentation on the basis of multiple parameters such as service, application, and region. Every segment has been analyzed in detail, and data pertaining to the growth of each segment has been included in the report.
Semiconductor Assembly and Testing Services Market: Key Questions Answered in Report
Semiconductor Assembly and Testing Services Market: Research Methodology
A unique and promising research methodology forms the base of the semiconductor assembly and testing services market report. This report has been prepared after a comprehensive analysis of market happenings, and riveting insights have been compiled meticulously. The research methodology used to compile the semiconductor assembly and testing services market report was a two-step process that comprises primary and secondary research. Key stakeholders, which include semiconductor assembly and testing services manufacturers, suppliers, and distributors, and experts of several designations, including executive vice presidents, directors, service engineers, technical advisors, GM marketing professionals, and sales professionals have been interviewed to obtain accurate data.
Secondary sources referred by our analysts to obtain report findings include investor presentations of manufacturers, World Bank, and other credible sources.