Electronic Packaging Market Synopsis

Electronic Packaging Market Size Was Valued at USD 2980.56 Million in 2023 and is Projected to Reach USD 15611.26 Million by 2032, Growing at a CAGR of 20.2% From 2024-2032.

Electronic packaging is the design and production of enclosures for electronic devices ranging from individual semiconductor devices to complete systems.

• Packaging of an electronic system is considered as a protection from mechanical damage electronic packaging is widely used in consumer electronics like smartphones, tablets, laptops, TVs, and gaming consoles to safeguard fragile internal parts and guarantee their correct operation.
• It is used in the automotive industry which contains different electronic components such as engine control units, infotainment systems, sensors, and navigation systems. It offers safety from vibrations, changes in temperature, and other severe conditions.
• It is widely utilized in the aerospace and defense sectors to safeguard vital electronic systems in aircraft, satellites, missiles, radars, and communication devices. It helps to ensure reliable and if any interrupted performance.
• It helps to maintain sterility and protect against moisture and contaminants for medical devices like pacemakers, insulin pumps, diagnostic tools, and implantable devices that need electronic packaging to ensure safe and dependable functioning. electronic packaging is essential for protecting industrial machinery and equipment, control systems, robotics, and factory automation systems from dust, vibrations, electrical interference, and temperature variations.

Top Active Players Involved Are:

“ASE Group (Taiwan), Amkor Technology (USA), Samsung Electronics (South Korea), Intel Corporation (USA), Texas Instruments (USA), Qualcomm Technologies (USA), Broadcom Inc. (USA), IBM Corporation (USA), STMicroelectronics (Switzerland), Infineon Technologies (Germany), NXP Semiconductors (Netherlands), Renesas Electronics (Japan), Toshiba Corporation (Japan), Sony Corporation (Japan), TSMC (Taiwan), Micron Technology (USA), Analog Devices (USA), ON Semiconductor (USA), Cypress Semiconductor (USA), Fujitsu Limited (Japan), Hitachi High-Tech (Japan), TE Connectivity (Switzerland), Lam Research Corporation (USA), Applied Materials, Inc. (USA), KLA Corporation (USA) and Other Active Players.”

Electronic Packaging Market Trend Analysis

Increasing Demand for Electronics

• The increase in the need for consumer electronic items like smartphones, tablets, laptops, smart wearables, and home appliances. This increase in need has led to a requirement for creative electronic packaging solutions that can safeguard, make smaller, and improve the features of these devices.
• The automotive industry has witnessed a huge transformation with the integration of advanced electronic systems, including infotainment systems, collision avoidance systems, and autonomous driving technologies this has led to safeguarding these intricate electronic components.
• The Rise of the Internet of Things and smart devices has significantly increased which requires compact, efficient, and durable packaging solutions to accommodate miniaturized electronics and withstand environmental conditions.
• The increase in the aerospace and defense sectors where the preparation of advanced aircraft, satellites, and unmanned aerial vehicles is increasing the demand. The increasing use in solar and wind power generation, demands electronic packaging solutions for effective energy. Hence in this way Increasing demand for Electronics acts as a driver in Electronic Packaging Market.

Opportunity

Technological Development

• The Increase in technology has resulted in electronic components becoming smaller, allowing for the creation of more compact devices this makes electronic packaging manufacturers create packaging solutions that provide optimal protection and functionality.
• The development of advanced materials with improved properties, such as enhanced thermal conductivity, electrical insulation, and mechanical strength, these materials can be used for packaging where it offers electromagnetic shielding, helping in better heat dissipation that helps to protect against moisture and environment.
• The integration of multiple functionalities into a single electronic device. This integration helps to accommodate various components and subsystems and also maintains efficient thermal management, signal integrity, and overall performance of the system.
• By enabling the integration process, the flexible electronics and wearable devices in which conformal and bendable packaging designs can be done which will be effective. Precise and efficient production of electronic packaging which involves rapid prototyping, customization, and cost-effective manufacturing can be done.
• The reliability and lifespan of electronic packaging can be improved by advanced sealing techniques, and improved shock and vibration resistance from moisture, and sunlight which helps to protect from rust. Hence in this way, Technological Advancement can act as an opportunity in the Electronic Packaging Market.

Electronic Packaging Market Segment Analysis:

Electronic Packaging Market Segmented on the basis of Material, Technology, End-User.

By Material, Plastic Segment Is Expected to Dominate the Market During the Forecast Period

• Plastic materials are extremely flexible and can be shaped into a wide range of sizes and forms, that are ideal for housing a variety of electronic components and devices. Customizing plastic packaging enables electronics to be protected and integrated effectively, meeting the demands and needs of various industries.
• The production and manufacturing processes for plastic packaging are Cost-effective, which is a better choice for the industries for high-volume production. These are lightweight, which is beneficial for numerous electronic applications. Lighter packaging contributes to an overall weight reduction of devices, making them more portable and increasing their use of it.
• These materials have electrical insulation characteristics that safeguard electronic parts from electrical dangers. Effective electrical insulation helps avoid short circuits, electromagnetic interference, and other disruptions that may impact the functionality and dependability of electronic gadgets.
• They display different levels of chemical resistance, which enables them to safeguard electronic components against contact with moisture, solvents, oils, and other potentially harmful substances. Hence, in this way, the Plastic Segment acts as a dominating segment in the Electronic Packaging Market.

Source: Company Database

• Approximately 143 million metric tons of plastics were used globally in the production of packaging in 2019. The use of plastics for packaging is projected to be 152.5 million metric tons in 2023, surpassing an increase of around 10 million metric Tons.

By End-User, Consumer Electronics Segment Held the Largest Share In 2023

• The consumer electronics sector has experienced substantial expansion as a result of the rising desire for smartphones, tablets, laptops, televisions, gaming consoles, and other electronic gadgets among consumers.
• The advances in technology, bring in new features and functionalities to improve user experience. The continuous advancement raises consumer curiosity and promotes regular updates, resulting in sustained expansion within the consumer electronics industry.
• The increase in connected gadgets and the idea of smart homes have driven the need for consumer electronics. The incorporation of gadgets like smart speakers, smart appliances, and home automation systems has established a smooth digital environment in households.
• The growth of e-commerce platforms and online retailing has made consumer electronics more easily accessible to consumers, where these platforms provide a wide range of products with doorstep delivery which is making more demand. Hence, in this way end users of Consumer Electronics acts as a dominating segment in the Electronic Packaging Market.

Electronic Packaging Market Regional Insights:

Asia Pacific is Expected to Dominate the Market Over the Forecast Period

• In the Asia Pacific Region countries like China, Japan, South Korea, and Taiwan are among the leading electronics manufacturers. These nations have raised their positions as important contributors to the worldwide electronics supply network, raising the expansion of the electronics sector in the area.
• This region has a large and growing consumer base with increasing purchasing power. The region's population has a strong demand for consumer electronics such as smartphones, tablets, and home appliances.
• This region also has built a strong manufacturing infrastructure and supply chain networks that effectively aid in the production of electronic devices. Skilled labor, advanced manufacturing technologies, and established supplier networks make it possible to smoothly integrate electronic packaging solutions into the production process.
• The technological advancements, in the electronics and semiconductor sectors and the raise in attractive packaging in the e-commerce and Retail sectors is also increasing the market growth. Hence, in this way, Asia-Pacific is expected to dominate the Electronic Packaging Market.

Electronic Packaging Market Active Players

• ASE Group (Taiwan)
• Amkor Technology (USA)
• Samsung Electronics (South Korea)
• Intel Corporation (USA)
• Texas Instruments (USA)
• Qualcomm Technologies (USA)
• Broadcom Inc. (USA)
• IBM Corporation (USA)
• STMicroelectronics (Switzerland)
• Infineon Technologies (Germany)
• NXP Semiconductors (Netherlands)
• Renesas Electronics (Japan)
• Toshiba Corporation (Japan)
• Sony Corporation (Japan)
• TSMC (Taiwan)
• Micron Technology (USA)
• Analog Devices (USA)
• On Semiconductor (USA)
• Cypress Semiconductor (USA)
• Fujitsu Limited (Japan)
• Hitachi High-Tech (Japan)
• TE Connectivity (Switzerland)
• Lam Research Corporation (USA)
• Applied Materials, Inc. (USA)
• Kla Corporation (USA) and Other Active Players.

Key Industry Developments in the Electronic Packaging Market:

• In February 2024, Intel Corp. (INTC) launched Intel Foundry as a more sustainable systems foundry business designed for the AI era and announced an expanded process roadmap designed to establish leadership into the latter part of this decade. It also confirmed that its ambitious five-nodes-in-four-years (5N4Y) process roadmap remains on track and will deliver the industry’s first backside power solution.
• In January 2024, The Styrenics Company INEOS Styrolution announced the launch of a new grade of methyl methacrylate butadiene styrene, which is called Zylar Which is designed for carrier tapes used in packaging electronic components because it offers a balance between stiffness and toughness. This extrusion-grade material also provides flexibility as well as optimal Protection and support for the electronic components.