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Friday, April 05, 2019

IoT will drive 3D chips says report

By Nick Flaherty

The 3D chip market will see a compound growth of 18% by 2023, adding $8.5bn as a result of the Internet of Things (IoT) says a report from TecnNavio.

The major factor bolstering the growth of the global 3D IC market is the significant growth of the loT driving the demand for connected devices. This has significantly increased bandwidth necessities. Different vendors across the market are working collectively to address the need of connecting several products such as home appliances, smart homes, set-top boxes (STBs), and sensors with a common interacting standard.

The standard would facilitate interoperability with the extensive variety of smart devices. The demand for small-sized gadgets has increased the need for more functionalities on a single device. This requires 3D IC chips with a greater number of transistors to support more functionalities. In addition, the loT requires the application of processors, multiple embedded cores, graphics processing unit (GPUs), and integrated wireless connectivity in a single package.

The demand for semiconductor devices such as processors, sensors, memories and RF chips has grown significantly over the last few years. The emergence of the 3D packaging technology has enabled manufacturers to integrate more functionalities into a single chip (3D IC) at a moderate price.

The increased demand for miniaturized electronic devices such as tablets has resulted in a high level of integration of components such as memory modules, sensors, and others on a single IC. Vendors need to make significant R&D investments in developing high-performance and power-efficient semiconductor ICs. Also, the complexity in manufacturing due to constant miniaturization increases the production cycle time for vendors and causes delays in product delivery. These factors can lead to additional expenses.

The market appears to be highly concentrated and with the presence of limited vendors. This market research report will help clients identify new growth opportunities and design unique growth strategies by providing a comprehensive analysis of the market's competitive landscape and offering information on the products offered by companies.

The report identifies ASE for the packaging and Samsung Electronics, STMicroelectronics, TSMC and Toshiba for the chips as key players.

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