Multi-Chip Modules (MCM) | Global Opportunity Analysis 2018-2025 |Major Key Players- Intel, SK Hynix Inc., Texas Instruments, Infineon Technologies.

Multi-chip module (MCM) experiences rapid adoption due to its numerous advantages such as low cost and efficiency. Multi-chip module is an electronic package, which contains up to five chips. These chips are connected using wirebonds to a multilayer circuit board, and a molded encapsulant or a low-cost ceramic package is used for its protection. Multi-chip modules provide better performance, high-integration density, low-power consumption, and low cost. The demand for multi-chip module is on an increase due to rise in requirement for consumer electronics such as mobile phones, tablets, and personal digital assistant.
Growth in consumer demand for smaller and lighter electronic goods which makes manufacturers to consider different production methods to optimize designs predominantly drives the growth of the multi-chip module market. As integrated circuits are installed on single platform they require less space, and hence are advantageous for smaller consumer electronics.

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Growth of IoT creates requirements for memory, which further drive the demand for the multi-chip module market. Multi-chip modules can be used in different industries such as consumer electronics, automotive, and others. Automotive segment is expected to be one of the fastest growing segments for multi-chip module market. In automotive segment, multi-chip modules are used in car radios and automotive control modules. Growth of connected cars market can be an opportunity for the growth of the multi-chip modules market.
Advantages such as lower ball count due to reduced area footprint and increase in performance and density drive the adoption of these modules in IoT applications such as active safety systems and automotive infotainment. Also, there is an increase in the demand for multi-chip modules in segments such as aerospace & defense systems, medical devices, and LED arrays. In the healthcare segment, multi-chip modules are used in professional medical equipment.

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They are used for either providing the lasing or pump another type of laser. These infrared wavelengths of multi-chip modules are used for hair removal, face lifting, skin rejuvenation, blood vessel removal, wrinkle reduction, pigment removal, and acne treatment. However, technical challenges such as corrosion of the controlled collapse chip connections and retaining the integrity of the multi-chip module during the assembly processes are the two biggest restraints for the vendors. Also, cyclical nature of semiconductor industry hampers the growth of the market.

Multi-chip modules are different based on complexity and design, and the requirements of end user. Some examples are pre-packaged ICs on a small printed circuit board, which are meant to replicate the package footprint of an existing chip package and another where a fully custom package integrates many chips on a substrate.

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