May 22, 2024
Memory Packaging Market

Driving Forces and Trends in the Global Memory Packaging Market Insights and Projections

The “Memory Packaging Market” has been seeing increased demand due to the continuous digitalization of the global economy. Memory packaging protects integrated circuits from external environmental factors and enables proper interconnection to circuit boards. The global memory packaging market is used in various consumer electronics devices where components are assembled using wire bonding and flip chip technologies. Key applications include smartphones, personal computers, servers, network equipment, solid state drives, USB drives, and more.

The Global Memory Packaging Market is estimated to be valued at US$ 32.35 Mn in 2024 and is expected to exhibit a CAGR of 5.6% over the forecast period 2024 to 2030.

Key Takeaways

Key players operating in the Memory Packaging Market are 3M, Aremco, Creative Materials Inc., Dow, H.B. Fuller Company, Henkel AG & Co. KGaA, HITEK Electronic Materials Ltd, Master Bond Inc., MG Chemicals, Panacol-Elosol GmbH, Parker Hannifin Corp., Permabond LLC, and Bostik. Key players are developing advanced materials with miniaturized packaging designs to increase chip performance.

The growing demand for consumer electronics is driving the Memory Packaging Market. Increased uptake of smartphones, laptops, smart home devices, and other connected gadgets globally has increased the demand for packaged memory chips. Emerging technologies like 5G, AI, and IoT will continue bolstering market growth.

Majr companies are actively expanding into developing regions to leverage rising electronics consumption from countries like India, Brazil, Southeast Asia and Africa. Market leaders are investing in new packaging facilities, while acquisitions and partnerships are increasing globally to ensure stable supply chains.

Market Key Trends

One of the major trends in the Memory Packaging Market Demand is miniaturization and thin film packaging solutions. Leading packaging material developers are innovating materials and manufacturing techniques to reduce chip footprints. This helps solve challenges of limited PCB area availability due to increased memory and processor integration. Thin film packages enable higher I/O count, improved thermal performance and reliability of electronics devices under compact form factors. The trend towards miniaturization and thin films is expected to accelerate over the forecast period.

Porter’s Analysis

Threat of new entrants: The investments required for expansion in this market is high which limits the threat from new players.

Bargaining power of buyers: Buyers in this market have moderate bargaining power due to availability of substitute products.

Bargaining power of suppliers: The presence of many suppliers for raw materials in this market reduces their individual bargaining power.

Threat of new substitutes: Ongoing R&D in emerging technologies like wafer-level packaging posses threat to established packaging techniques.

Competitive rivalry: Fierce competition exists among major players for expanding market share.

Geographical Regions

North America dominates the global memory packaging market currently in terms of value. Presence of leadinf semiconductor companies and growing demand for advanced packaging in applications such as IoT, AI, automotive is driving the market growth.

The Asia Pacific region is expected to witness fastest growth in the memory packaging market during the forecast period. Increasing investments by wafer fabrication units in countries like China, Taiwan, South Korea and Japan to cater rising demand is supporting the market growth. Rising electronics manufacturing hub and growing middle class population is favoring the memory packaging market expansion in Asia Pacific.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it