
Study Period | 2019 - 2030 |
Market Size (2025) | USD 0.35 Billion |
Market Size (2030) | USD 1.97 Billion |
CAGR (2025 - 2030) | 41.07 % |
Fastest Growing Market | Asia Pacific |
Largest Market | Asia Pacific |
Market Concentration | Medium |
Major Players![]() *Disclaimer: Major Players sorted in no particular order |
Panel Level Packaging Market Analysis
The Panel Level Packaging Market size is estimated at USD 0.35 billion in 2025, and is expected to reach USD 1.97 billion by 2030, at a CAGR of 41.07% during the forecast period (2025-2030).
The semiconductor industry is undergoing a transformative phase, driven by the increasing integration of advanced technologies across various sectors. According to a January 2024 IBM survey, approximately 42% of enterprise-scale organizations have already implemented AI in their businesses, with 59% of AI-enabled enterprises planning to accelerate their investments in this technology. This technological convergence has created unprecedented demands on semiconductor packaging solutions, particularly as industries seek more efficient and cost-effective ways to integrate multiple functionalities into smaller form factors. The need for advanced packaging solutions has become more critical as semiconductor components evolve to support emerging applications in artificial intelligence, machine learning, and high-performance computing.
The industry is witnessing a significant shift toward more sophisticated packaging technologies, particularly in response to the growing demands of 5G telecommunications and Internet of Things (IoT) applications. According to industry projections, global 5G subscriptions are expected to reach 2.8 billion in 2024 and surge to 5.9 billion by 2027, highlighting the massive scale of next-generation connectivity adoption. Panel-level packaging has emerged as a crucial technology in this landscape, offering advantages in terms of better area utilization and parallel processing capabilities compared to traditional wafer-level packaging approaches.
The automotive sector has emerged as a significant driver of innovation in semiconductor packaging, particularly with the accelerating transition toward electric vehicles (EVs) and autonomous driving systems. According to the International Energy Agency (IEA), the first quarter of 2023 saw approximately 2.3 million electric vehicles delivered globally, representing a 25% increase compared to the same period in the previous year. This rapid electrification of vehicles has intensified the demand for advanced semiconductor packaging solutions that can meet the stringent requirements of automotive applications in terms of reliability, performance, and cost-effectiveness.
The consumer electronics sector continues to be a major influence on panel-level packaging technology development, with manufacturers seeking more integrated and efficient packaging solutions. According to the Consumer Technology Association (CTA), the consumer electronics industry in the United States generated revenue of USD 485 billion in 2023, demonstrating the sector's substantial scale and influence on semiconductor packaging requirements. Industry players are increasingly focusing on developing panel-level packaging solutions that can support the integration of multiple functions while maintaining cost competitiveness and meeting the demanding requirements of modern consumer devices. The trend towards heterogeneous integration is also gaining momentum as it allows for the combination of different technologies within a single package, enhancing the capabilities of electronic packaging.
Panel Level Packaging Market Trends
Reduced Cost of Packaging Process
Panel-level packaging (PLP) technology offers significant cost advantages compared to traditional wafer-level packaging methods by enabling the processing of more packages simultaneously on larger panel formats rather than round wafer shapes. The transition from wafer-level to panel-level packaging allows for better area utilization and reduced material waste, as rectangular panels can accommodate more chips than circular wafers. This efficiency in space utilization directly translates to lower per-unit production costs, making it an attractive option for semiconductor manufacturers looking to optimize their production expenses.
The cost benefits of PLP are further enhanced through the adoption of processes, materials, and equipment from other established technology areas such as printed circuit boards (PCB), liquid crystal displays (LCD), and solar equipment manufacturing. These industries already operate on panel sizes and offer proven approaches that can be adapted for fan-out panel-level packaging. For instance, in 2023, Manz AG showcased its high-density fan-out panel-level packaging production solutions with a 700 x 700 mm process area, demonstrating the industry's move toward larger panel formats to achieve greater cost efficiencies through parallel processing and improved copper plating uniformity.
Increasing Demand for Compact, High Functionality Electronic Devices
The continuous evolution of consumer electronics toward smaller, thinner, and more feature-rich devices is driving the adoption of panel-level packaging solutions. This trend is particularly evident in the smartphone industry, where manufacturers are constantly pushing the boundaries of device miniaturization while incorporating advanced features like 5G connectivity and artificial intelligence capabilities. According to industry forecasts, 5G subscriptions worldwide are expected to reach 2.8 billion by 2024 and surge to 5.9 billion by 2027, indicating a strong demand for advanced packaging solutions that can support these high-performance requirements while maintaining compact form factors.
The proliferation of Internet of Things (IoT) devices and wearable technology has further intensified the need for compact packaging solutions. As per Cisco's projections, the number of networked devices is expected to reach 29.3 billion in 2023, highlighting the massive scale of connected device adoption. PLP technology enables manufacturers to achieve greater component density and more efficient space utilization, which is crucial for these compact devices. The technology also facilitates the integration of multiple functions and components within a smaller footprint, allowing for the development of sophisticated features like advanced sensors, power management systems, and wireless connectivity modules while maintaining the slim profile demanded by modern electronic devices.
Increased Investment in Research & Development Activities
The semiconductor industry is witnessing substantial investments in research and development activities focused on advancing panel-level packaging technologies. Major industry players are establishing dedicated research facilities and forming strategic collaborations to accelerate innovation in this field. For example, in July 2023, Onto Innovation launched a new 'Applications Center of Excellence' dedicated to panel-level packaging to facilitate growth in the chiplet market. This facility serves as a combined tool demonstrator, research and development center, and process integration photoresist qualification center, demonstrating the industry's commitment to advancing PLP technology.
The emphasis on R&D is also evident in the formation of industry consortiums and collaborative initiatives. The Panel Level Packaging Consortium, which includes prominent companies such as Fraunhofer, Amkor, Ajinomoto, ASM Pacific, AT&S, BASF, Corning, Dupont, Fujifilm, Intel, and Showa Denko Materials, is working to expand the technology's capabilities and efficiency. These collaborative efforts are complemented by significant corporate investments, such as Silicon Box's USD 2 billion investment announced in July 2023 to develop advanced packaging facilities focusing on different techniques, including fan-out packaging. Such substantial investments in R&D are crucial for addressing technical challenges and expanding the application scope of PLP technology across various semiconductor applications.
Segment Analysis: By Industry Application
Consumer Electronics Segment in Panel Level Packaging Market
The consumer electronics segment dominates the panel level packaging market, holding approximately 53% market share in 2024. This significant market position is driven by the increasing demand for compact, high-functionality electronic devices and the growing adoption of advanced technologies like IoT and wearables. The segment's growth is further supported by the expanding functionality of consumer devices and trends such as miniaturization, particularly in smart homes and wearable devices. Panel level packaging technology has become crucial for these applications as it facilitates high-performing, energy-efficient packages with small form factors that enable the creation of ultra-thin portable devices. The technology's ability to reduce packaging costs while maintaining high performance and reliability has made it particularly attractive for consumer electronics manufacturers looking to differentiate their products in an increasingly competitive market.

Telecommunication Segment in Panel Level Packaging Market
The telecommunication segment represents a significant growth opportunity in the panel level packaging market. The segment's expansion is driven by the proliferation of smartphones, the Internet of Things (IoT), and the increasing consumption of high-bandwidth services such as video streaming. Panel level packaging allows for more components and functionality to be incorporated into a small footprint, making it particularly suitable for data integration applications requiring high levels of complexity. The technology's ability to improve the electrical performance and reliability of telecommunications systems through shorter signal paths leads to faster data transmission and reduced delay in processing. Additionally, the larger panel size in PLP allows better thermal dissipation and prevents overheating of network equipment, ensuring the long-term reliability of telecommunications infrastructure.
Remaining Segments in Panel Level Packaging Market
The automotive and other industrial applications segments complete the panel level packaging market landscape. The automotive sector is witnessing increased adoption of PLP technology due to the growing demand for electric vehicles, advanced driver assistance systems (ADAS), and connected car technologies. The technology's ability to reduce vehicle weight and improve thermal management makes it particularly valuable for automotive applications. The other industrial applications segment, which includes aerospace and defense applications, benefits from PLP's capability to provide robust packaging solutions that can withstand harsh environmental conditions while maintaining high performance and reliability. These segments are experiencing growing demand as industries continue to embrace digital transformation and advanced electronic systems. Additionally, the integration of system-in-package and embedded die packaging technologies further enhances the potential of advanced packaging solutions in these sectors, supporting the evolution of semiconductor packaging and electronic packaging industries.
Panel Level Packaging Market Geography Segment Analysis
Panel Level Packaging Market in Taiwan
Taiwan continues to dominate the global panel level packaging market, holding approximately 40% of the market share in 2024. The country's leadership position is primarily attributed to its robust semiconductor packaging ecosystem, supported by the presence of major contract manufacturers like TSMC, UMC, and Winbond. The country's advanced packaging capabilities are further enhanced by significant investments in research and development facilities, particularly in key technology parks including Hsinchu Science Park, Central Taiwan Science Park, and Southern Taiwan Science Park. The expansion of 5G networks and increasing adoption of advanced mobile technologies have created additional momentum for the semiconductor packaging industry. Taiwan's strong ICT industry base, coupled with its advanced manufacturing capacity, has enabled local companies to maintain their competitive edge in electronic components, computers, and telecommunications equipment manufacturing. The growing demand for devices with built-in chips for generative artificial intelligence computations has further solidified Taiwan's position in the market.

Panel Level Packaging Market in China
China's panel level packaging market is projected to grow at approximately 43% annually from 2024 to 2029, marking the highest growth rate globally. The country's remarkable growth trajectory is driven by substantial investments in semiconductor backend capabilities and a strong focus on developing advanced packaging technologies. China's commitment to strengthening its domestic semiconductor ecosystem is evident through various government initiatives, including the launch of state funds worth billions of dollars to support the industry's growth. The country's electronics manufacturing sector has maintained steady expansion, with significant growth in mobile phone production and smartphone manufacturing. The implementation of various action plans by the Ministry of Industry and Information Technology has further accelerated the development of computing, telecommunications, and electronic equipment manufacturing sectors. China's leadership in 5G adoption and the rapid expansion of its electric vehicle market have created additional growth opportunities for advanced packaging technologies.
Panel Level Packaging Market in United States
The United States maintains its position as a key player in the panel level packaging market, supported by its developed semiconductor assembly and test ecosystem and significant investments in advanced packaging technologies. The country's market dynamics are shaped by various government initiatives, including the National Advanced Packaging Manufacturing Program and the CHIPS and Science Act, which provide substantial funding for research and development in semiconductor packaging. The increasing adoption of artificial intelligence, high-performance computing, and advanced wireless networks has created new frontiers for semiconductor demand in the country. The robust growth of the data center industry, with over 5,375 facilities across the nation, continues to drive demand for IC packaging solutions. The automotive sector's transformation towards electrification and autonomous vehicles has further accelerated the need for sophisticated semiconductor packaging technologies, particularly in regions with a strong manufacturing presence like Arizona and Indiana.
Panel Level Packaging Market in Other Countries
The panel level packaging market shows significant potential across other regions, particularly in countries like Korea, Japan, and various European nations. Korea's market is characterized by the presence of major consumer electronic brands and a highly developed mobile technology infrastructure. Japan's market benefits from its strong automotive manufacturing base and increasing investments in packaging equipment for electric vehicles. European countries, particularly Germany and France, are focusing on developing advanced packaging solutions for automotive and industrial applications. These regions are witnessing increased investments in research and development facilities, with several collaborative initiatives between academic institutions and industry players. The growing emphasis on electric vehicles, autonomous driving technologies, and industrial automation across these markets continues to create new opportunities for electronic packaging solutions.
Panel Level Packaging Industry Overview
Top Companies in Panel Level Packaging Market
The panel level packaging market is characterized by the presence of major players like Samsung Electronics, Intel Corporation, Nepes Corporation, ASE Group, PowerTech Technology, Fraunhofer IZM, Unimicron Technology, DECA Technologies, and JCET/STATSChipPAC. These companies are heavily investing in research and development to advance their semiconductor packaging technologies, particularly focusing on fan-out panel level packaging (FOPLP) solutions. The industry witnesses continuous product innovation through the development of advanced packaging solutions like Samsung's I-CubeE and 2D FOPKG technologies. Companies are demonstrating operational agility by establishing new manufacturing facilities and expanding their geographical presence, particularly in strategic locations across Asia-Pacific, Europe, and North America. Strategic partnerships and collaborations with equipment manufacturers, material suppliers, and research institutions have become crucial for technological advancement and market expansion, as evidenced by participation in initiatives like the Panel Level Packaging Consortium.
Market Dominated by Asian Manufacturing Giants
The panel level packaging market structure is predominantly influenced by large Asian semiconductor manufacturers, particularly from Taiwan, South Korea, and China, who have established strong manufacturing capabilities and technological expertise. These companies leverage their existing semiconductor manufacturing infrastructure and relationships with equipment suppliers to maintain their competitive advantage. The market shows moderate consolidation, with established players maintaining their positions through significant investments in research and development and manufacturing capabilities, while also forming strategic alliances to strengthen their market presence.
The industry is witnessing a trend of vertical integration, where major semiconductor manufacturers are developing in-house panel level packaging capabilities to reduce dependency on third-party providers. Mergers and acquisitions activity in the market is focused on acquiring complementary technologies and expanding geographical presence, as demonstrated by companies like Lam Research's acquisition of SEMSYSCO GmbH to enhance their packaging capabilities. The market also sees collaboration between traditional semiconductor manufacturers and specialized packaging solution providers to combine their expertise and resources for developing advanced packaging solutions.
Innovation and Integration Drive Future Success
For incumbent companies to maintain and increase their market share, continuous investment in research and development of advanced packaging technologies is crucial, particularly in areas like heterogeneous integration and chiplet-based solutions. Companies need to focus on developing cost-effective solutions while maintaining high quality and reliability standards. Strategic partnerships with equipment manufacturers and material suppliers are becoming increasingly important to ensure access to cutting-edge technologies and maintain competitive advantages. Additionally, established players must expand their manufacturing capabilities in key markets while developing comprehensive service offerings that include design, testing, and assembly solutions.
New entrants and contenders in the market face significant challenges due to high capital requirements and technological barriers, but opportunities exist in specialized market segments and emerging applications. Success factors include developing innovative solutions for specific applications, forming strategic partnerships with established players, and focusing on regions with growing semiconductor manufacturing capabilities. The risk of substitution from traditional packaging technologies remains moderate, primarily due to the cost advantages and efficiency benefits offered by panel level packaging. Regulatory requirements, particularly environmental regulations and quality standards, are becoming increasingly important factors in shaping market dynamics and influencing company strategies.
Panel Level Packaging Market Leaders
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Samsung Electronics Co. Ltd
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Intel Corporation
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Nepes Corporation
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ASE Group
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Powertech Technology Inc.
- *Disclaimer: Major Players sorted in no particular order

Panel Level Packaging Market News
- January 2024: SkyWater Technology and DECA Technologies Inc. announced the launch of a major new Department of Defense DOD program to expand FOWLP capabilities for both government and commercial customers. These capabilities are made possible by a five-year Department of Defense contract recently awarded to Osceola County and SkyWater Florida, which is expected to fund the modernization, equipment, and construction of Neovation Center.
- December 2023: The Arizona Commerce Authority (ACA) announced a USD 17.5 million investment in Arizona State University (ASU) to enhance Arizona's advanced semiconductor manufacturing capabilities. This expansion is anticipated to significantly contribute to the growth of Arizona's fan-out wafer-level packaging R&D and workforce training capacities, thus fostering a thriving manufacturing and research ecosystem in the state to facilitate the development of cutting-edge technology.
Panel Level Packaging Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Assumptions and Market Definition
- 1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
- 4.1 Market Overview
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4.2 Industry Attractiveness - Porter's Five Forces Analysis
- 4.2.1 Bargaining Power of Suppliers
- 4.2.2 Bargaining Power of Buyers
- 4.2.3 Threat of New Entrants
- 4.2.4 Threat of Substitute Products
- 4.2.5 Intensity of Competitive Rivalry
- 4.3 Industry Value Chain/Supply Chain Analysis
- 4.4 Assessment of Impact of Macroeconomic Factors on the Market
5. MARKET DYNAMICS
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5.1 Market Drivers
- 5.1.1 Reduced Cost of Packaging Process
- 5.1.2 Increasing Demand for Compact and High Functionality Electronic Devices
- 5.1.3 Increased Investment on Research and Development Activities
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5.2 Market Restraints
- 5.2.1 Complexity in Packaging Process
6. MARKET SEGMENTATION
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6.1 By Industry Application
- 6.1.1 Consumer Electronics
- 6.1.2 Automotive
- 6.1.3 Telecommunication
- 6.1.4 Other Industry Applications
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6.2 By Geography
- 6.2.1 United States
- 6.2.2 China
- 6.2.3 Korea
- 6.2.4 Taiwan
- 6.2.5 Japan
- 6.2.6 Europe
- 6.2.7 Rest of the World
7. COMPETITIVE LANDSCAPE
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7.1 Company Profiles*
- 7.1.1 Samsung Electronics Co. Ltd
- 7.1.2 Intel Corporation
- 7.1.3 Nepes Corporation
- 7.1.4 ASE Group
- 7.1.5 Powertech Technology Inc.
- 7.1.6 Fraunhofer Institute for Reliability and Micro integration IZM
- 7.1.7 Unimicron Technology Corporation
- 7.1.8 DECA Technologies Inc.
- 7.1.9 JCET/ STATSChipPAC
8. INVESTMENT ANALYSIS
9. FUTURE OF THE MARKET
Panel Level Packaging Industry Segmentation
Panel-level packaging is one of the following steps for fan-out wafer-level packaging. Vendors worldwide are focusing on upscaling PLP instead of drawing a roadmap to 450 mm fan-out wafer-level packaging. PLP is expected to offer significant cost advantages by parallelizing process steps and allowing higher area utilization of packages in rectangular panel formats rather than round wafer shapes to lower material waste.
The panel level packaging market is segmented by industry application (consumer electronics, automotive, telecommunication, and other industry applications) and geography (United States, China, Korea, Taiwan, Japan, Europe, Rest of the World). The report offers the market size in value terms in USD for all the abovementioned segments.
By Industry Application | Consumer Electronics |
Automotive | |
Telecommunication | |
Other Industry Applications | |
By Geography | United States |
China | |
Korea | |
Taiwan | |
Japan | |
Europe | |
Rest of the World |
Panel Level Packaging Market Research FAQs
How big is the Panel Level Packaging Market?
The Panel Level Packaging Market size is expected to reach USD 0.35 billion in 2025 and grow at a CAGR of 41.07% to reach USD 1.97 billion by 2030.
What is the current Panel Level Packaging Market size?
In 2025, the Panel Level Packaging Market size is expected to reach USD 0.35 billion.
Who are the key players in Panel Level Packaging Market?
Samsung Electronics Co. Ltd, Intel Corporation, Nepes Corporation, ASE Group and Powertech Technology Inc. are the major companies operating in the Panel Level Packaging Market.
Which is the fastest growing region in Panel Level Packaging Market?
Asia Pacific is estimated to grow at the highest CAGR over the forecast period (2025-2030).
Which region has the biggest share in Panel Level Packaging Market?
In 2025, the Asia Pacific accounts for the largest market share in Panel Level Packaging Market.
What years does this Panel Level Packaging Market cover, and what was the market size in 2024?
In 2024, the Panel Level Packaging Market size was estimated at USD 0.21 billion. The report covers the Panel Level Packaging Market historical market size for years: 2019, 2020, 2021, 2022, 2023 and 2024. The report also forecasts the Panel Level Packaging Market size for years: 2025, 2026, 2027, 2028, 2029 and 2030.
Our Best Selling Reports
Panel Level Packaging Market Research
Mordor Intelligence provides a comprehensive analysis of the panel level packaging industry. We leverage our extensive expertise in semiconductor packaging and electronic packaging research. Our detailed report examines the evolution from traditional wafer level packaging to advanced PLP technologies. This includes innovations in fan out packaging and developments in heterogeneous integration. The analysis covers IC packaging trends, semiconductor assembly processes, and emerging system in package solutions. It offers stakeholders crucial insights into advancements in packaging equipment and operations in the semiconductor backend.
The report, available as an easy-to-download PDF, offers strategic insights into advanced packaging technologies and applications of semiconductor packaging materials. Our analysis includes developments in embedded die packaging, trends in large format packaging, and innovations in fan out panel level packaging. Stakeholders benefit from detailed evaluations of semiconductor assembly and test processes and a comprehensive packaging equipment market analysis. The report also provides forward-looking perspectives on the electronic packaging industry. It delivers actionable intelligence for businesses navigating the rapidly evolving semiconductor packaging industry, supported by robust data and expert analysis.