Flip Chip Market to Reach $46 Billion, Globally, by 2022

A new report published by Allied Market Research, titled, "Flip Chip Market - Global Opportunity Analysis and Industry Forecast, 2014 - 2022", the flip chip market is expected to garner $46 billion by 2022, growing at a CAGR of 9% from 2016 to 2022. In the year 2015, Asia-Pacific dominated the global flip chip market and contributed over half of the market share owing to thriving market for semiconductors and electronic devices.

Flip chips majorly differ from each other on the basis of bumping technology used in them. Currently, copper bumping is extensively used in market owing to its advantages such as considerably low cost than other methods, high efficiency and compatibility with bond pads. Furthermore, impending need of circuit miniaturization, thriving portable devices industry and technological superiority over wire bond connections are major factors expected to propel the growth in global flip chip market. However, availability of less customization options as well as high capital investment requirements for setting up a new plant are the limitations that restrict the market growth.

2.5D IC packaging technology dominated the overall market in 2015 owing to its several advantages such as enhanced capacity, improved performance, and reduced system space requirements and low power consumption. 3D IC is expected to register highest CAGR as it is equipped with all the advantages of 2.5D IC as well as some additional advantages.

In bumping technology segment, copper bumping held over 50% in the year 2015 due to its exclusive advantages of low cost, compatibility with bond pads and applications in technologies such as transceivers, embedded processors, application processors, power management, baseband, ASICs and SOCs. However, Tin-lead eutectic solder is expected to witness low growth rate due to government initiatives to ban toxic substances that have impacted its market heavily.

Electronics industry contributed over 45% of the overall flip chip...