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The iPhone 7 will adopt new packaging technology FOWLP which will impact the PCB manufacturing market

Reputedly the Apple decided to apply the technology of Fan-out WLP (FOWLP) on the next generation of iPhone. Due to the increasingly advanced semiconductor technology, with the appearance of packaging technology without the need of print circuit board, in the future, it is afraid that the PCB market is gradually shrinking

According to Korean media reports, the rumors say, in the fall of 2016, on the upcoming new smart phone iPhone 7 (we provisionally call it), Apple will use the chips with FOWLP packaging technology,which makes the new iphone more thinner and manufacturing cost lower.

Previously Apple decided to import FOWLP packaging on the Antenna Switch Module (ASM). It is reported that Apple has recently decided to import FOWLP packaging on the application processor.

If so, Apple will be the first one in the industry who decides to adopt the FOWLP packaging on the main parts of smart phones. ASM chip is responsible for receiving all kinds of frequency signal,and can aso provide the switch function; Mobile AP is playing the brain function of smart phone or tablet PC.

FOWLP packaging is one of the semiconductor packaging technology. It does not need to use printed circuit board (PCB), and can be directly packaged on the wafer, so the production cost is low, and the thickness is thinner, and heat dissipation is better. Apple decided to adopt this technology. There are nothing more than a hope that is to produce the thinner and better performance mobile phones with lower cost.

Because Apple can sell hundreds of millions of iphones one year, if in future it uses FOWLP technolgoy,that certainly will affect the printed circuit board market demand.

In the printed circuit board market, the printed circuit board used on the semiconductor belong to high additional value products. In 2015, the size of global semiconductor PCB manufacturing market is about $8.4 billion, but in the face of influence of new technology and Apple’s decision,it is different to maintain the same size of the market in the future.

Industry forecasts, although at present only Apple decided to adopt FOWLP packaging on ASM and AP,but in the future,it may bring the technology to expand to other parts, and other industries may aslo follow up, so the printed circuit board (PCB) market atrophy is just a matter of time.

South Korea electronic circuit industry association (KPCA) relevant personage says, sustainable development of semiconductor technology is bound to affect the printed circuit board market. We should develop market of new products ,such as the Internet of Things (IoT) and wearable devices,so we can induce the impact brought by the development of semiconductor technology

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