The semiconductor industry is entering a new growth cycle driven by the rise of AI tools and applications, with the next wave of growth expected to come from AI hardware.
To overcome challenges in traditional chip scaling, the industry is adopting chiplet-based architectures and heterogeneously integrated packaging approaches for continued performance scaling.
Advanced packaging technologies play a crucial role in supporting high-performance compute devices for AI systems, with companies like Saras exploring innovative solutions like embedded capacitive module technology for improved power delivery.
European Union boosts semiconductor industry with new chip pilot lines led by CEA-Leti and Imec to drive R&D and explore advanced technologies.
European Chips Act aims to strengthen EU's semiconductor ecosystem with a $47 billion program and increase Europe's share of semiconductors from 8% in 2021 to 20% by 2030.
Initiatives like these are crucial due to the global importance of semiconductors in various products, the geopolitical vulnerabilities in current chip production regions, and past disruptions like the Covid-19 pandemic.
Semiconductor companies in the U.S., like Intel, Micron, Samsung, and TSMC, are receiving government funding to boost chip production and reverse the decline in manufacturing capacity.
The U.S. semiconductor industry has seen a decrease in worldwide fab capacity share, and the CHIPS Act aims to increase domestic production to enhance national security and reduce dependence on other regions like Asia.
The funding from the CHIPS Act is helping companies build new fabs, expand existing facilities, and increase chip production capacity, but challenges like shortages in skilled labor and the high cost of building fabs still remain.
IC-packaging is a crucial element in the semiconductor industry where chips are protected in enclosures for specific applications.
Advanced packaging is crucial for complex chips like server chips or AI processing units to save space and reduce latency between components.
Generative AI, datacenters, and edge computing benefit from advanced packaging to handle large amounts of data efficiently, despite challenges such as high power consumption.