Monday, 9 November 2026
Silicon Analytica
Every AI story is a chip story.
Glossary · Packaging

What is advanced packaging (chiplets)?

Advanced packaging combines several chips, or chiplets, into one package with dense, short connections between them, so that they behave much like a single larger chip. Techniques include 2.5D interposers, 3D stacking and hybrid bonding.

Why it matters for investors

Splitting a design into chiplets lets companies mix process nodes, reuse parts and improve yield compared with one very large die. In AI systems, packaging also determines how much memory bandwidth a processor can access.

Spending on packaging creates opportunities for foundries, OSATs and equipment makers that specialise in bonding and inspection.

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General educational explanation. Information only, not investment advice.