5G Packaging Substrate Market Size, Share, Opportunities, And Trends By Material (LTCC, Low-loss Laminates, Others), By RF Module (mmW Discrete Antenna, MmW AiP, MmW RFFEM, 5G Sub-6), By Band (Sub-6 GHz, MmWave), And By Geography - Forecasts From 2023 To 2028

The global 5G packaging substrate market is projected to grow at a CAGR of 17.12% to reach US$895.159 million by 2028, from US$346.895 million in 2022.

GROWTH DRIVERS

• Surging Demand for AiP & Discrete Antennas Solutions

For a variety of millimetre-wave applications, antenna-in-package (AiP) technology has become the de facto standard for antenna packaging. Consequently, market players offer a full range of AiP manufacturing services, including system design, software creation, module evaluation, and electro-thermal modeling, to help their customers create mmWave solutions that are more compact, stronger, use less power, and more affordable.

In addition, smartphone design has become more advanced as a result of LTE advancement, largely because of carrier aggregation. To enable 5G sub-6GHz & mmWave spectrum integration, front-end modules must be more densely packed, which adds to the complexity. For parts like discrete filters or tuners, a single die is the most economical option. These developments are further expected to increase the demand for AiP and discrete antenna solutions during the forecast period.

In 2022, iPhone sales reached US$205.489 billion. The company supposedly increased the number of AiP substrate vendors for its mmWave iPhones in June 2021. The recent iPhone series from Apple enables 5G mmWave. It is anticipated to increase the demand for AiP modules.

• Next Generation Substrates Developments

The global economy is becoming more digital as a result of the adoption of 5G, the rise of AI and IoT, and the advancement of Digital Transformation (DX), among others. Therefore, it is anticipated that semiconductor applications will continue expanding, driving up market growth throughout the forecast period. The demand for advanced semiconductors with increased functionality, speed, and power efficiency is expected to rise as the market for advanced substrates, which are mostly utilized in servers as well as additional applications, is predicted to grow dramatically. It is anticipated that there will be a significant increase in the requirement for more advanced next-generation substrates that can match these objectives by reaching greater size, better multi-layering, and ultra-high-density micro-wiring.

To meet these demands, market participants like SHINKO are actively working on advancing the creation of contemporary FC-BGA substrates, such as i-THOP®. The firm aims to build a more prosperous society by implementing a mass manufacturing system at its Chikuma Plant, which will progress industries related to semiconductors, realize Green Transformation (GX), and other things.

EMERGING OPPORTUNITIES IN THE 5G PACKAGING SUBSTRATE MARKET

• mmWave

By band, the market has been divided into sub-6 GHz and mmWave. Due to numerous technical and operational challenges that affect almost every aspect of device engineering, such as materials, form factors, industrial design, thermal efficiency, and regulatory standards for radiated power, mmWave signals were not used for mobile wireless communications.

The mobile communications sector and customer experience are evolving as advanced antenna technologies, which support both mmWave and sub-6 frequency bands for 5G, are successfully getting implemented. For instance, 5G mmWave AiP technology is being developed by Amkor Technology, Inc., a top supplier of OSAT services. Modules made for devices are currently employing Amkor's innovative AiP technology. Amkor, building on years of extensive System in Package (SiP) experience, became the primary OSAT to market deploying 5G mmWave AiP technology beginning in July 2018.

• Low-Loss Laminates

For 5G mmWave mobile connectivity to operate effectively, a low-loss substrate is necessary, as well as mmWave SiP, comprising AiP & discrete antenna.

Increased speeds and shorter latency, or the length of time it takes for a piece of data to be transported from position A to position B, are essential for 5G (and the upcoming 6G). Additional bandwidth of 5G will increase the requirement for low signal loss.

Losses at the interface are one of the main material issues in this sector, and copper type and texture can also affect loss. Low-loss laminates' flexibility is a big advantage since it allows for space and weight savings because they can be twisted to fit into tight locations. They are the perfect fit for this location owing to their low-loss efficiency and reliability. An excellent illustration of this is the antennas in mobile phones.

MAJOR PLAYERS IN THE MARKET

Some of the leading players in the market include Shennan Circuits Company Limited, LG Innotek Co., Ltd, SHINKO ELECTRIC INDUSTRIES CO., LTD, Unimicron Technology, and Samsung Electro-Mechanics, among others. The extensible nature of 5G packaging substrates is crucial for package dependability in high-power applications. Consequently, these firms have undertaken various business strategies such as product launches, investments, and partnerships to expand their product offerings. For instance:

• In December 2021, Samsung Electro-Mechanics announced the decision to allocate $850 million for the development of infrastructure and FCBGA production facilities for its Vietnamese manufacturing facility. With this funding, the company intends to concentrate its resources on the semiconductor package substrate market, which is anticipated to experience rapid long-term growth. The company's CEO claims that as chips get increasingly complex and the market for AI, 5G, and cloud increases, there is a rising need for exceptionally well semiconductor package substrates. To give customers a useful experience, the organization seeks to produce semiconductor package substrates using its distinctive expertise.
• The world's smallest and widest film-type semiconductor substrate, a 2-metal chip on film, an essential component for augmented and virtual devices, was introduced by LG Innotek in February 2023. The primary PCB and the display are linked by a semiconductor packing substrate called chip on film (COF). For Electrical products like laptops, TVs, and smartphones, it aids in the reduction of display bezels and the miniaturization of modules.

5G Packaging Substrate Market Scope:

SEGMENTATION

The global 5G packaging substrate market has been analyzed through the following segments:

• By Material
  • LTCC
  • Low-loss laminates
  • Others
• By RF Module 
  • mmW Discrete Antenna
  • mmW AiP
  • mmW RFFEM
  • 5G Sub-6
• By Band
  • Sub-6 GHz
  • mmWave
• By Geography
  • Americas
    • United States
    • Others
  • Europe, Middle East and Africa
    • Germany
    • UK
    • Others
  • Asia Pacific
    • China
    • Japan
    • South Korea
    • Others