Burlingame, CA, Aug. 20, 2025 (GLOBE NEWSWIRE) — Advanced Chip Packaging Market to Reach USD 50.38 Billion in 2025 as Demand for High-Performance and Miniaturized Devices Rises
The Global Advanced Chip Packaging Market is estimated to be valued at USD 50.38 billion in 2025 and is expected to reach USD 79.85 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.8% from 2025 to 2032. The advanced chip packaging market is experiencing growth driven by the rising demand for smaller, faster, and more efficient electronic devices. The expansion of high-performance computing, 5G networks, and the Internet of Things (IoT) is further accelerating this trend. Moreover, the increasing adoption of advanced packaging technologies—such as 2.5D and 3D packaging—is expected to significantly contribute to market growth over the forecast period.
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Global Advanced Chip Packaging Market Key Takeaways
According to Coherent Market Insights (CMI), the global advanced chip packaging market size is expected to grow significantly over the assessment period, totalling USD 50.38 Bn in 2025 and USD 79.85 Bn by 2032.
Global advanced chip packaging demand is slated to rise at a CAGR of 6.8% between 2025 and 2032.
Fan-out wafer-level packaging remains the most widely used type, accounting for 58.6% of the global advanced chip packaging market share in 2025.
Asia Pacific, with an estimated market share of 53.2% in 2025, is expected to dominate the global advanced chip packaging industry.
North America is poised to record fastest growth, capturing 29.3% of the global market share in 2025.
Rising Demand for Advanced Compact Devices Spurring Market Growth
Coherent Market Insights’ latest advanced chip packaging market analysis outlines major factors fueling industry growth. One such key growth driver is the increasing demand for high-performance and miniaturized electronic devices.
Modern consumers and industries seek smaller, faster, and more energy-efficient electronic devices. This is expected to boost growth of the advanced chip packaging market during the forecast period.
Advanced packaging technologies like fan-out wafer-level packaging (FOWLP) and 3D/2.5D packaging are preferred over traditional packaging as they allow for heterogeneous integration. They are increasingly used to integrate multiple semiconductor chips or components into a single package.
Advanced packaging technologies have the tendency to enhance device performance, reduce power consumption, and minimize physical size of electronic devices. As demand for compact, high-performance electronic devices rises, so will adoption of advanced chip packaging.
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High Costs and Complex Manufacturing Processes Hampering Market Growth
The global advanced chip packaging market outlook looks bright, owing to growing demand for powerful and miniaturized electronic devices. However, high cost …