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Flip Chip Market to Generate $39.67 Bn, Globally, by 2027 at 6.1% CAGR, Allied Market Research
Friday, November 27, 2020

Technological superiority of flip chips over wire bonding, thriving portable electronic market, and rising popularity of Internet of Things (IoT) drive the growth of the global flip chip market.

PORTLAND, Ore., Nov. 19, 2020 /PRNewswire/ -- Allied Market Research recently published a report, "Flip Chip Market by Packaging Technology (3D IC, 2.5D IC, and 2D IC), Bumping Technology (Solder Bumping, Gold Bumping, and Others), and Industry (Electronics, Industrial, Automotive & Transport, Healthcare, IT & Telecommunication, Aerospace & Defense, and Others): Global Opportunity Analysis and Industry Forecast, 2020-2027". According to the report, the global flip chip industry was pegged at $24.76 billion in 2019, and is projected to hit $39.67 billion by 2027, growing at a CAGR of 6.1% from 2020 to 2027.

Major determinants of the market growth

Technological superiority of flip chips over wire bonding, thriving portable electronic market, and rising popularity of Internet of Things (IoT) drive the growth of the global flip chip market. Moreover, usage in graphic cards and processors used in real world solder bumping supplemented the market growth. However, higher cost and less customization options available in comparison to wire bonding hamper the market growth. On the contrary, impending need of high frequency in electronic gadget creates new opportunities for the market players in the coming years.

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Covid-19 scenario: The widespread of Covid-19 has adversely affect the global flip chip industry.

    --  Although a complete impact of Covid-19 is still unknown, negatively
        affected supply chain would lead to shortfall of raw materials.
    --  China contributes to more than 50% of global semiconductor consumption
        and the lockdown in several countries would hamper the market growth.

The copper pillar segment held largest share

By bumping technology, the copper pillar segment held the largest share in 2019, accounting for more than half of the global flip chip market, owing to its lower cost, decent performance, easy availability, and enhanced durability as compared to other bumping technologies. However, the gold bumping segment is expected to register the highest CAGR of 7.5% from 2020 to 2027, due to its use in mobile phones and other RF applications.

Get detailed COVID-19 impact analysis on the Flip Chip Market

The IT and telecommunication segment to portray the highest CAGR through 2027

By industry, the IT & telecommunication segment is expected to manifest the highest CAGR of 9.0% during the forecast period. This is owing to companies operating in IT and telecommunication industry have incorporated flip chip as the packaging technology in their products to increase their efficiency and reliability of their products. However, the electronics segment held the lion's share in 2019, contributing to more than two-fifths of the global flip chip market, due to increased use of flip clips in smartphones, digital camera & camcorders, laptops & tablets, wearable electronics, and household electronics.

Asia-Pacific, followed by North America, dominated the market

By region, the global flip chip market across Asia-Pacific held the largest share in 2019, accounting for more than half of the market. Moreover, the region is expected to manifest the highest CAGR of 7.0% during the forecast period, due to the vast presence of fabrication facilities and extensive research and development by the key players such as TSMC ltd., Fujitsu amongst others. The market across North America held the second-largest share in 2019.

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Major market players

    --  3M
    --  Amkor Technology
    --  Advanced Micro Devices, Inc.
    --  Fujitsu Limited
    --  Apple Inc.
    --  International Business Machines Corporation
    --  Intel Corporation
    --  Taiwan Semiconductor Manufacturing Company Limited
    --  Samsung Electronics Co., Ltd.
    --  Texas Instruments Incorporated

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About Us:

Allied Market Research (AMR) is a full-service market research and business-consulting wing of Allied Analytics LLP based in Portland, Oregon. Allied Market Research provides global enterprises as well as medium and small businesses with unmatched quality of "Market Research Reports" and "Business Intelligence Solutions." AMR has a targeted view to provide business insights and consulting to assist its clients to make strategic business decisions and achieve sustainable growth in their respective market domain.

We are in professional corporate relations with various companies and this helps us in digging out market data that helps us generate accurate research data tables and confirms utmost accuracy in our market forecasting. Each and every data presented in the reports published by us is extracted through primary interviews with top officials from leading companies of domain concerned. Our secondary data procurement methodology includes deep online and offline research and discussion with knowledgeable professionals and analysts in the industry.


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