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Key Opportunities and Challenges in the Hermetic Packaging Market

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Key Opportunities and Challenges in the Hermetic Packaging Market

January 24
21:58 2020
The hermetic packaging market is projected to reach USD 4,516 million by 2023 from an estimation of USD 3,250 million in 2017, at a CAGR of 6.8%.

The hermetic packaging market is projected to reach USD 4,516 million by 2023 from an estimation of USD 3,250 million in 2017, at a CAGR of 6.8%.

 

How is rising demand from APAC countries for hermetically packaged components and ICs for myriad applications creating opportunity?

In APAC, China and India are the fastest-growing countries, while technologically advanced countries such as Malaysia, Taiwan, and South Korea have dynamic markets. According to a report from the U.S. Department of Commerce, the vast majority of electronics production is concentrated in APAC. These markets are expected to witness growth in the demand for hermetically packaged components and ICs for end-user industries such as automobile, energy and nuclear safety, medical, telecommunications, and military & defense. China being the largest producer of consumer electronics, consumption driven India’s ‘Make in India’ campaign, and Malaysia being one of the largest centers for semiconductor packaging and assembly present great prospects for new developmental activities and thus provide high opportunities for players in the hermetic packaging market.

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Why high infrastructure cost is incurred by controlled and regulated packaging environment a challenge?

Hermetic packaging has also been adopted for fiber optics. Hermetic packaging designed for fiber optic products use a combination of packaging principles of microelectronics and microwave industries. Electronics, epoxy, and sensitive MEMS devices are the 3 key categories of fiber-optic components that need hermetic sealing. Electronic contacts or electrodes of active devices, such as lasers, modulators, variable optical attenuators (VOAs), amplifiers, and detectors, when exposed to moisture for prolonged durations leads to corrosion, which eventually results in device failure. The combined specifications from the Institute of Electrical and Electronics Engineers (IEEE) and Telcordia Technologies, Inc. (US) indicate that fiber-optic components must be reliable in the field for more than 20 years. This level of confidence can be achieved by subjecting microelectronic components and fiber-optic components to extensive environmental tests such as thermal shock, temperature cycling, damp heat, mechanical shock and vibration, and tensile pull. The development and maintenance of a controlled and regulated packaging environment incur high infrastructure cost, which attributes as a key challenge for players in the hermetic packaging market.

Growing demand from industries such as automobile electronics and aerospace

Airbags and seat belt pretensions’ are the most well-known automobile safety devices. Hermetic packaging reliably encapsulates some of the vital components—such as crash sensors and airbag initiators—to ensure its functioning at all times without any failure for several years. It is also used to protect a large variety of sensors that can be found in engine management, in-car climate modulation, energy technology, and vehicle stability control, such as tire pressure sensors; hermetic packaging makes these sensors extremely resistant to temperature fluctuations, pressure, and aggressive substances.

Stringent standards for hermetic packaging

Every hermetically packaged electronic component or device used in the military & defense industry needs to meet the US military standards such as method 1014.13 of MIL-STD-883, method 1071 of MIL-STD-750, and appendix C of MIL-PRF-38534G. These standards focus on measurement of the hermeticity of a package and define the acceptable leak rate for hermetic packaging. According to these standards, the moisture level of 5,000 parts per million (ppm) at 100°C is acceptable for packages of internal volume smaller than 10 mm3 as well as a leak rate of ≤510−9cm3s−1 of dry air at 25°C.

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