June, 2026 - The semiconductor industry is undergoing a significant transformation in the way chips are designed, fabricated, and packaged. With transistor scaling reaching its limit, chip manufacturers are looking for new methods of enhancing performance and that method happens to be advanced packaging. Interposers and silicon bridges lie at the core of this revolution. The technology allows connecting several dies (logic processors as well as memory dies) in a package at the density which is beyond the capacity of conventional substrates.
The trend is growing due to the demands from artificial intelligence accelerators, GPU devices and high-performance computing systems for higher memory bandwidth and low latency between dies. Instead of increasing the size of the chip, manufacturers are opting for assembly of several small specialized chips in a package. This requires the use of interposer and silicon bridge technologies. Expansion of capacity by TSMC, Samsung Electronics and Intel Corporation provides evidence of the significance of this technology for the future semiconductor roadmap.
One of the critical indications was the announcement made by TSMC in May 2025 to increase its CoWoS advanced packaging capacity and packaging capacity in order to meet the increasing demands for AI chips. This indicates the fact that TSMC has maintained its dominant position in silicon interposer and chiplet integration technology. It is known that there is always high demand and lack of capacity in this field.
It should be noted that the strategy followed by other foundries and OSATs is increasing packaging capacity, not fab capacity only. In today's world where the complexity of AI workload is increasing, packaging capacity becomes as important as wafer capacity itself.
Finally, Intel Corporation announced in June 2026 the appointment of Seok-Hee Lee, a veteran in the semiconductor industry, as the responsible person for leading advanced packaging initiatives in order to expedite the development of its EMIB silicon bridge technology and develop its advanced packaging ecosystem for AI and HPC applications.
These trends are happening amidst the rapid growth witnessed in the global market for interposers and silicon bridges. According to forecasts, the market value stood at USD 3.11 billion in 2025 and will increase at a CAGR of 22.05%, growing from 2026 through 2036 to reach USD 23.96 billion.
On the other hand, other significant providers have made efforts to catch up. In March 2025, ASE Technology Holding increased investment in advanced packaging and 2.5D integration, while Amkor Technology and UMC have introduced additional heterogeneous integration and chiplet packaging services due to the growing need from AI and networking clients.
This increasing demand for interposers and silicon bridges can be attributed to the evolving strategy of semiconductor manufacturers for the design of integrated circuits. An interposer is a substrate (silicon, glass, or organic substrate) placed between the chip and the packaging substrate that offers high-density, low-loss electrical connections between multiple dies. On the other hand, silicon bridges, including the EMIB technology from Intel, serve as an alternative, offering a local interconnection solution where neighboring dies are connected without the use of an interposer layer.
In terms of technologies, the 2.5D interposer was the largest contributor to the market in 2025, generating a share of approximately 57.25%, or USD 1.75 billion. This can be attributed to the wide-scale application of the CoWoS platform from TSMC as the mainstream advanced packaging technology for AI accelerators for data-center GPUs requiring terabytes-per-second bandwidth.
The silicon bridge part represented approximately 28.21% of the total revenue in 2025 and was worth about USD 0.92 billion. Such technologies as Intel EMIB, used in high volumes from 2017, have silicon die embedded in the organic package substrate, thus providing interconnect density nearly equal to the one of full reticle interposers but at a significantly reduced substrate cost, making the technology appealing in cases when the yield and cost of large interposers are critical factors.
High performance computing dominated in terms of applications in 2025 and had about 28% of the total revenue due to high memory bandwidth and low latency and signal integrity requirements. Next after HPC were artificial intelligence and machine learning applications that took approximately 24% of the total revenue and demonstrated the fastest growth among all segments due to increasing requirements of AI accelerators to high-bandwidth memory.
Data center infrastructure comprised 18% of the total revenue in 2025 and benefited from trends of cloud and hyperscale computing, while consumer electronics was worth 12%. By end user, semiconductor manufacturers, including foundries, OSATs, and integrated device manufacturers such as TSMC, Samsung Electronics, Intel Corporation, Amkor Technology, and ASE Technology Holding, held the largest share of the market in 2025 at approximately 41.2%, as demand for CoWoS, EMIB, and Foveros packaging capacity continued to outstrip supply. Consumer electronics companies followed at around 23.6%, while IT and telecommunications providers accounted for roughly 16.4% and are expected to grow at a notably strong pace as hyperscale AI server infrastructure spending accelerates.
Aerospace and defense organizations represented a smaller but technologically demanding segment, accounting for approximately 5.1% of the market in 2025. Within this vertical, interposers and silicon bridges are increasingly applied in radiation-tolerant, highly reliable avionics, radar, and satellite communications systems that must meet rigorous qualification standards. Although adoption volumes remain lower than in commercial markets due to lengthy qualification processes, growing military modernization spending across North America, Europe, and Asia Pacific is expected to support steady, gradual growth in this segment through 2036.
Regionally, Asia Pacific led the market in 2025 with approximately 56.7% of total revenue, underpinned by TSMC's advanced packaging facilities in Taiwan and Samsung Electronics' and SK Hynix's operations in South Korea, which together anchor much of the world's HBM and CoWoS packaging capacity. North America followed as the second-largest region with a 26.4% share, supported by Intel Corporation's packaging investments in Arizona and New Mexico and strong demand from AI-focused companies such as NVIDIA, AMD, and Broadcom.
Looking forward, demand for interposer and silicon bridge technologies is projected to be robust due to the ongoing shift in the semiconductor industry toward heterogeneously integrated chiplet solutions. As transistor scaling approaches physical limits, advanced packaging will increasingly become the main source of improved performance rather than complementary one.
According to a Quintile Reports analyst:
"As AI models continue to increase in complexity, advanced packaging technologies such as interposers and silicon bridges are becoming strategic enablers of semiconductor performance. Packaging innovation is increasingly determining competitive advantage across AI, HPC, and data center markets."
Expanding AI infrastructure investments, growing construction of hyperscale data centers, as well as increasing semiconductor usage in cars and consumer electronics will exert additional pressure on packaging capacity. However, efforts such as CHIPS and Science Act in the US, European Chips Act, and India Semicon India Programme supported by governments will likely increase the availability of advanced packaging technologies beyond the current leaders in advanced packaging – Taiwan and South Korea.
As AI models become increasingly larger and more complex and more complex multi-die packages emerge in various industries ranging from automobiles to aerospace and defense, the future role of interposer and silicon bridge technologies will likely remain critical until 2036.
Chaitali Diwase is an MBA candidate and Market Research Intern at Quintile Reports. Her work focuses on researching market developments, industry trends, competitive landscapes and content creation across various sectors. Her work includes preparing research-driven articles and press releases, which are reviewed by the Quintile Reports Research Team prior to publication.
Reviewed By: Quintile Reports Research Team
June, 2026 - The semiconductor industry is undergoing a significant transformation in the way chips are designed, fabricated, and packaged. With transistor scaling reaching its limit, chip manufacturers are looking for new methods of enhancing performance and that method happens to be advanced packaging. Interposers and silicon bridges lie at the core of this revolution. The technology allows connecting several dies (logic processors as well as memory dies) in a package at the density which is beyond the capacity of conventional substrates.
The trend is growing due to the demands from artificial intelligence accelerators, GPU devices and high-performance computing systems for higher memory bandwidth and low latency between dies. Instead of increasing the size of the chip, manufacturers are opting for assembly of several small specialized chips in a package. This requires the use of interposer and silicon bridge technologies. Expansion of capacity by TSMC, Samsung Electronics and Intel Corporation provides evidence of the significance of this technology for the future semiconductor roadmap.
One of the critical indications was the announcement made by TSMC in May 2025 to increase its CoWoS advanced packaging capacity and packaging capacity in order to meet the increasing demands for AI chips. This indicates the fact that TSMC has maintained its dominant position in silicon interposer and chiplet integration technology. It is known that there is always high demand and lack of capacity in this field.
It should be noted that the strategy followed by other foundries and OSATs is increasing packaging capacity, not fab capacity only. In today's world where the complexity of AI workload is increasing, packaging capacity becomes as important as wafer capacity itself.
Finally, Intel Corporation announced in June 2026 the appointment of Seok-Hee Lee, a veteran in the semiconductor industry, as the responsible person for leading advanced packaging initiatives in order to expedite the development of its EMIB silicon bridge technology and develop its advanced packaging ecosystem for AI and HPC applications.
These trends are happening amidst the rapid growth witnessed in the global market for interposers and silicon bridges. According to forecasts, the market value stood at USD 3.11 billion in 2025 and will increase at a CAGR of 22.05%, growing from 2026 through 2036 to reach USD 23.96 billion.
On the other hand, other significant providers have made efforts to catch up. In March 2025, ASE Technology Holding increased investment in advanced packaging and 2.5D integration, while Amkor Technology and UMC have introduced additional heterogeneous integration and chiplet packaging services due to the growing need from AI and networking clients.
This increasing demand for interposers and silicon bridges can be attributed to the evolving strategy of semiconductor manufacturers for the design of integrated circuits. An interposer is a substrate (silicon, glass, or organic substrate) placed between the chip and the packaging substrate that offers high-density, low-loss electrical connections between multiple dies. On the other hand, silicon bridges, including the EMIB technology from Intel, serve as an alternative, offering a local interconnection solution where neighboring dies are connected without the use of an interposer layer.
In terms of technologies, the 2.5D interposer was the largest contributor to the market in 2025, generating a share of approximately 57.25%, or USD 1.75 billion. This can be attributed to the wide-scale application of the CoWoS platform from TSMC as the mainstream advanced packaging technology for AI accelerators for data-center GPUs requiring terabytes-per-second bandwidth.
The silicon bridge part represented approximately 28.21% of the total revenue in 2025 and was worth about USD 0.92 billion. Such technologies as Intel EMIB, used in high volumes from 2017, have silicon die embedded in the organic package substrate, thus providing interconnect density nearly equal to the one of full reticle interposers but at a significantly reduced substrate cost, making the technology appealing in cases when the yield and cost of large interposers are critical factors.
High performance computing dominated in terms of applications in 2025 and had about 28% of the total revenue due to high memory bandwidth and low latency and signal integrity requirements. Next after HPC were artificial intelligence and machine learning applications that took approximately 24% of the total revenue and demonstrated the fastest growth among all segments due to increasing requirements of AI accelerators to high-bandwidth memory.
Data center infrastructure comprised 18% of the total revenue in 2025 and benefited from trends of cloud and hyperscale computing, while consumer electronics was worth 12%. By end user, semiconductor manufacturers, including foundries, OSATs, and integrated device manufacturers such as TSMC, Samsung Electronics, Intel Corporation, Amkor Technology, and ASE Technology Holding, held the largest share of the market in 2025 at approximately 41.2%, as demand for CoWoS, EMIB, and Foveros packaging capacity continued to outstrip supply. Consumer electronics companies followed at around 23.6%, while IT and telecommunications providers accounted for roughly 16.4% and are expected to grow at a notably strong pace as hyperscale AI server infrastructure spending accelerates.
Aerospace and defense organizations represented a smaller but technologically demanding segment, accounting for approximately 5.1% of the market in 2025. Within this vertical, interposers and silicon bridges are increasingly applied in radiation-tolerant, highly reliable avionics, radar, and satellite communications systems that must meet rigorous qualification standards. Although adoption volumes remain lower than in commercial markets due to lengthy qualification processes, growing military modernization spending across North America, Europe, and Asia Pacific is expected to support steady, gradual growth in this segment through 2036.
Regionally, Asia Pacific led the market in 2025 with approximately 56.7% of total revenue, underpinned by TSMC's advanced packaging facilities in Taiwan and Samsung Electronics' and SK Hynix's operations in South Korea, which together anchor much of the world's HBM and CoWoS packaging capacity. North America followed as the second-largest region with a 26.4% share, supported by Intel Corporation's packaging investments in Arizona and New Mexico and strong demand from AI-focused companies such as NVIDIA, AMD, and Broadcom.
Looking forward, demand for interposer and silicon bridge technologies is projected to be robust due to the ongoing shift in the semiconductor industry toward heterogeneously integrated chiplet solutions. As transistor scaling approaches physical limits, advanced packaging will increasingly become the main source of improved performance rather than complementary one.
According to a Quintile Reports analyst:
"As AI models continue to increase in complexity, advanced packaging technologies such as interposers and silicon bridges are becoming strategic enablers of semiconductor performance. Packaging innovation is increasingly determining competitive advantage across AI, HPC, and data center markets."
Expanding AI infrastructure investments, growing construction of hyperscale data centers, as well as increasing semiconductor usage in cars and consumer electronics will exert additional pressure on packaging capacity. However, efforts such as CHIPS and Science Act in the US, European Chips Act, and India Semicon India Programme supported by governments will likely increase the availability of advanced packaging technologies beyond the current leaders in advanced packaging – Taiwan and South Korea.
As AI models become increasingly larger and more complex and more complex multi-die packages emerge in various industries ranging from automobiles to aerospace and defense, the future role of interposer and silicon bridge technologies will likely remain critical until 2036.
Chaitali Diwase is an MBA candidate and Market Research Intern at Quintile Reports. Her work focuses on researching market developments, industry trends, competitive landscapes and content creation across various sectors. Her work includes preparing research-driven articles and press releases, which are reviewed by the Quintile Reports Research Team prior to publication.
Reviewed By: Quintile Reports Research Team
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