Chiplets - Global Strategic Business Report

The global market for Chiplets was valued at US$10.1 Billion in 2024 and is projected to reach US$74.3 Billion by 2030, growing at a CAGR of 39.5% from 2024 to 2030. This comprehensive report provides an in-depth analysis of market trends, drivers, and forecasts, helping you make informed business decisions. The report includes the most recent global tariff developments and how they impact the Chiplets market.

Global Chiplets Market - Key Trends & Drivers Summarized

Why Are Chiplets Redefining Semiconductor Design for High-Performance, Scalable, and Cost-Efficient Computing?

Chiplets - modular integrated circuit (IC) components designed to be assembled into a single system-on-package - are emerging as a breakthrough in semiconductor architecture, enabling higher performance, greater design flexibility, and improved yield economics compared to traditional monolithic system-on-chip (SoC) designs. As Moore’s Law slows and manufacturing costs at advanced nodes increase, chiplets allow engineers to mix and match heterogeneous functions - such as CPU cores, memory, AI accelerators, and I/O interfaces - on a single substrate using advanced packaging technologies like 2.5D/3D integration or interposers.

This disaggregated design approach enhances scalability, simplifies system upgrades, and accelerates time-to-market, particularly in applications demanding customized performance profiles such as AI/ML, data centers, HPC, 5G infrastructure, and automotive electronics. Chiplets are enabling semiconductor companies to decouple logic and interface technologies, optimize yields, and repurpose validated IP blocks across multiple product lines - driving design modularity while controlling fabrication complexity and cost.

How Are Advanced Packaging, Open Standards, and Ecosystem Collaboration Accelerating Chiplet Adoption?

Breakthroughs in advanced packaging - including silicon interposers, EMIB (Embedded Multi-die Interconnect Bridge), Foveros, and hybrid bonding - are enabling high-bandwidth, low-latency interconnects between chiplets, delivering near-monolithic performance. The development of open chiplet interconnect standards, such as UCIe (Universal Chiplet Interconnect Express), is fostering cross-vendor interoperability and ecosystem collaboration - critical for reducing design fragmentation and enabling scalable plug-and-play assembly of disaggregated components.

Collaborative efforts among semiconductor giants, foundries, and EDA (electronic design automation) tool providers are strengthening support for chiplet-based design flows, simulation, and verification. These developments are simplifying heterogeneous integration across logic, memory, analog, and RF domains - unlocking innovation in both consumer and enterprise-grade silicon solutions. Foundries are also playing a central role by offering chiplet libraries and advanced packaging as part of turnkey service offerings to fabless customers.

Where Is Demand for Chiplets Expanding and Which Application Domains Are Leading Commercialization?

The U.S. is at the forefront of chiplet innovation, led by major players such as Intel, AMD, and NVIDIA who are integrating chiplet architectures into next-gen processors, GPUs, and accelerators. Asia-Pacific, particularly Taiwan and South Korea, is a critical region for advanced packaging and manufacturing, while China is ramping up interest in chiplets as part of its semiconductor self-reliance initiatives. Europe is supporting chiplet R&D through government-backed initiatives in automotive, industrial IoT, and secure computing.

High-growth applications include data center CPUs and GPUs, AI/ML accelerators, networking ASICs, high-bandwidth memory (HBM) integration, and chipsets for edge computing. Defense, aerospace, and automotive OEMs are exploring chiplet platforms for modular upgrade paths and system-level fault tolerance. Additionally, cloud providers are adopting chiplet-based custom silicon designs for application-specific infrastructure optimization.

What Is Fueling the Global Growth of the Chiplets Market?

The global chiplets market is being propelled by the need for performance scaling beyond the limits of traditional SoC fabrication, surging demand for heterogeneous computing, and growing cost pressures in leading-edge semiconductor manufacturing. As AI, 5G, quantum computing, and real-time analytics drive demand for high-throughput, low-power compute architectures, chiplets offer an attractive solution for performance enhancement without the prohibitive costs of full-node migration.

Supportive regulatory and funding initiatives - such as the CHIPS Act in the U.S. and equivalent programs in the EU and Asia - are accelerating domestic semiconductor R&D with a focus on advanced packaging and modular architectures. As the chiplet ecosystem matures through open standards, toolchain integration, and foundry services, a defining question shapes future scalability: Can chiplets deliver the modularity, interoperability, and performance-per-watt efficiency required to redefine next-generation silicon innovation - while ensuring design portability, ecosystem standardization, and long-term manufacturability at global scale?

Report Scope

The report analyzes the Chiplets market, presented in terms of market value (US$ Thousand). The analysis covers the key segments and geographic regions outlined below.

Segments: Application (Microprocessors, System-on-Chip, Graphic Processing Units, Programmable Logic Devices); End-Use (Automotive Electronics, Consumer Electronics, Industrial Automation, Healthcare, Aerospace & Defense, IT & Telecom, Other End-Uses).

Geographic Regions/Countries: World; United States; Canada; Japan; China; Europe (France; Germany; Italy; United Kingdom; Spain; Russia; and Rest of Europe); Asia-Pacific (Australia; India; South Korea; and Rest of Asia-Pacific); Latin America (Argentina; Brazil; Mexico; and Rest of Latin America); Middle East (Iran; Israel; Saudi Arabia; United Arab Emirates; and Rest of Middle East); and Africa.

Key Insights:

• Market Growth: Understand the significant growth trajectory of the Microprocessors Application segment, which is expected to reach US$33.8 Billion by 2030 with a CAGR of a 37.6%. The System-on-Chip Application segment is also set to grow at 36.1% CAGR over the analysis period.
• Regional Analysis: Gain insights into the U.S. market, valued at $2.7 Billion in 2024, and China, forecasted to grow at an impressive 48.0% CAGR to reach $17.8 Billion by 2030. Discover growth trends in other key regions, including Japan, Canada, Germany, and the Asia-Pacific.

Why You Should Buy This Report:

• Detailed Market Analysis: Access a thorough analysis of the Global Chiplets Market, covering all major geographic regions and market segments.
• Competitive Insights: Get an overview of the competitive landscape, including the market presence of major players across different geographies.
• Future Trends and Drivers: Understand the key trends and drivers shaping the future of the Global Chiplets Market.
• Actionable Insights: Benefit from actionable insights that can help you identify new revenue opportunities and make strategic business decisions.

Key Questions Answered:

• How is the Global Chiplets Market expected to evolve by 2030?
• What are the main drivers and restraints affecting the market?
• Which market segments will grow the most over the forecast period?
• How will market shares for different regions and segments change by 2030?
• Who are the leading players in the market, and what are their prospects?

Report Features:

• Comprehensive Market Data: Independent analysis of annual sales and market forecasts in US$ Million from 2024 to 2030.
• In-Depth Regional Analysis: Detailed insights into key markets, including the U.S., China, Japan, Canada, Europe, Asia-Pacific, Latin America, Middle East, and Africa.
• Company Profiles: Coverage of players such as Achronix Semiconductor Corporation, Advanced Micro Devices, Inc. (AMD), ALPHAWAVE SEMI, Apple Inc., ASE Technology Holding Co., Ltd. and more.
• Complimentary Updates: Receive free report updates for one year to keep you informed of the latest market developments.

Some of the 37 companies featured in this Chiplets market report include:

• Achronix Semiconductor Corporation
• Advanced Micro Devices, Inc. (AMD)
• ALPHAWAVE SEMI
• Apple Inc.
• ASE Technology Holding Co., Ltd.
• Broadcom Inc.
• Cadence Design Systems, Inc.
• GlobalFoundries Inc.
• IBM Corporation
• Intel Corporation
• Marvell Technology, Inc.
• MediaTek Inc.
• Netronome Systems, Inc.
• NVIDIA Corporation
• NXP Semiconductors N.V.
• Qualcomm Technologies, Inc.
• RANOVUS Inc.
• Renesas Electronics Corporation
• Samsung Electronics Co., Ltd.
• Taiwan Semiconductor Manufacturing Company (TSMC)

Tariff Impact Analysis: Key Insights for 2025

Global tariff negotiations across 180+ countries are reshaping supply chains, costs, and competitiveness. This report reflects the latest developments as of April 2025 and incorporates forward-looking insights into the market outlook.

The analysts continuously track trade developments worldwide, drawing insights from leading global economists and over 200 industry and policy institutions, including think tanks, trade organizations, and national economic advisory bodies. This intelligence is integrated into forecasting models to provide timely, data-driven analysis of emerging risks and opportunities.

What's Included in This Edition:

• Tariff-adjusted market forecasts by region and segment
• Analysis of cost and supply chain implications by sourcing and trade exposure
• Strategic insights into geographic shifts

Buyers receive a free July 2025 update with:

• Finalized tariff impacts and new trade agreement effects
• Updated projections reflecting global sourcing and cost shifts
• Expanded country-specific coverage across the industry