TechSearch International’s latest Advanced Packaging Update report highlights the shortage of build-up substrates for high-performance packages including AI training and inferencing modules, server CPUs, and high-end network switch products, including co-packaged optics. This category of advanced packaging is experiencing strong growth in unit volumes, but the substrate shortage results from demand for larger, more complex build-up substrates with higher layer counts. The substrate area for Nvidia’s Rubin’s is 51 percent larger than the area for its Blackwell. The substrate area for its Nvidia’s Vera CPU is 15 percent larger than the area for its Grace. A build-up substrate capacity and demand analysis is provided. Material shortages such as glass fiber for substrate cores are easing next year but could be a problem in the future with the larger body sizes.

AI data center growth is driving semiconductor industry revenue. While server CPUs and AI training and inferencing modules that include HBM make up the majority of data center component revenue, data center growth is driving demand for other components, including leadframe packages. The report highlights trends in data center packages and the downside of data center growth, which have caused memory shortages and price hikes affecting smartphone and PC shipments this year.

TechSearch International’s analysis of OSAT financials is included, with revenue projections. A market forecast for BGA/LGA packages is included with examples. The report covers CSP applications along with package examples from TechSearch International’s recent product teardowns. Market forecasts for FBGAs, FLGAs, QFNs including Cu clip, molded interconnect substrate (MIS) packages, and stacked die CSPs are provided.

The Update is a 93-page report with full references and a set of more than 80 PowerPoint slides.

TechSearch International, Inc., founded in 1987, is a market research leader specializing in technology trends in microelectronics packaging and assembly. Multi- and single-client services encompass technology licensing, strategic planning, and market and technology analysis. TechSearch International professionals have an extensive network of ~20,000 contacts in North America, Asia, and Europe. For more information, contact TechSearch International at tel: 512-372-8887 or see www.techsearchinc.com. Follow us on LinkedIn.

May 14, 2025 (Indianapolis, IN) – Specialty Coating Systems (SCS) is pleased to announce its upcoming webinar, Superior Environmental Protection with Ultra-Thin Parylene and Multilayer Coatings, scheduled for Thursday, May 21, 2026, at 2 p.m. EDT. The webinar is free to attend and is now open for registration at scswebinars.com.

This 60-minute technical session will address the growing need for highly reliable, conformal protective coatings as electronic devices and components are increasingly required to operate in demanding environments. Attendees will gain insight into the latest advancements in ultra-thin parylene coatings and hybrid multilayer technologies that combine parylene with atomic layer deposition (ALD) to deliver superior environmental protection.

Participants will learn how these advanced coating solutions provide exceptional barrier performance against moisture, chemicals and corrosive elements while maintaining precise nanoscale thickness control. The session will also explore the unique material properties of parylene, the advantages of integrating ALD layers and how multilayer coating technologies overcome the limitations of traditional coating approaches.

Rakesh Kumar, Ph.D., SCS Vice President of Technology, and Tim Seifert, SCS Aerospace & Defense Market Manager, will discuss how parylene and multilayer coatings enable long-term reliability across a range of applications, including aerospace, defense, medical devices, automotive and commercial and consumer electronics. An interactive Q&A session will follow the presentation, allowing attendees to ask questions and receive expert insights.

The webinar will be available on demand for 12 months and is linked on SCS’s webinars page at scswebinars.com. For more information about SCS, please visit scscoatings.com.

Taoyuan, May 8, 2026 — As AI computing continues to drive a comprehensive upgrade in hardware specifications, the global printed circuit board industry is undergoing a profound structural transformation. According to the latest report by the Taiwan Printed Circuit Association (TPCA) and the Industry, Science and Technology International Strategy Center of ITRI, the global copper-clad laminate (CCL) market is expected to exceed US$21.5 billion in 2026, driven by AI demand, with annual growth projected to reach 34.2%.

While Taiwanese suppliers have established competitive advantages in high-speed materials and key process consumables, high-end IC substrate materials and glass fabrics remain largely dominated by Japanese manufacturers. In response to supply bottlenecks and geopolitical uncertainties, Taiwan’s supply chain is accelerating high-value positioning through deeper independent R&D, further strengthening its critical role in the global AI supply chain.

CCL: AI Demand Drives Growth in Both Volume and Price, Highlighting Taiwanese Suppliers’ Competitiveness

In the CCL sector, strong demand from AI servers for large-format, high-layer-count PCBs with more than 40 layers and ultra-low-loss characteristics has placed the market in a strong growth cycle driven by both volume and pricing. The global CCL market reached US$16.02 billion in 2025 and is forecast to expand sharply to US$21.5 billion in 2026, supported by AI-related specification upgrades, representing annual growth of up to 34.2%.

Taiwanese manufacturers have demonstrated outstanding competitiveness in this segment. As of 2025, Taiwanese suppliers held a combined global market share of 37.4%, with Elite Material Co. taking the global lead at 18.9%. To address high-speed transmission requirements, Taiwanese suppliers are also actively developing next-generation materials such as Low Dk2 glass fabric, quartz fabric and PTFE, aiming to strike an optimal balance between high-speed signal integrity and processing reliability, and to reinforce the material foundation for high-performance computing.

FCCL: Automotive Electronics Support Steady Growth, While Consumer Electronics Recovery Remains Limited

In the flexible copper-clad laminate (FCCL) market, PI-FCCL, the most widely used category, benefited from demand for battery management systems and advanced driver assistance systems driven by electric vehicles, along with a recovery in the PC market. These factors lifted the market size to US$1.01 billion in 2025. However, rising memory prices have increased downstream device costs, and PI-FCCL output value is projected to edge down slightly to US$990 million in 2026

In high-frequency applications, MPI and LCP remain key materials for advanced communications. However, growth momentum has been constrained by moderate smartphone market expansion and design changes. The MPI-FCCL market is forecast to reach approximately US$240 million in 2026. Meanwhile, LCP-FCCL, known for its ultra-low-loss advantages, saw demand decline by more than 10% in 2025 due to changes in iPhone antenna designs. Looking ahead to 2026, the market is expected to remain weighed down by weak consumer electronics demand, with overall scale estimated at around US$280 million.

IC Substrate Materials: Japanese Dominance Persists as Supply Gaps Emerge

In the semiconductor substrate materials segment, Japanese manufacturers continue to maintain a high level of technological dominance, extending their influence to the very upstream end of the industry chain. Data for 2025 show that in the ABF substrate materials market, which is indispensable to advanced packaging, Ajinomoto held a market share of 97.1%, effectively controlling a critical material supply point for global AI chip packaging.

Japanese suppliers also held more than 70% market share in BT substrate materials and low-CTE glass fabrics. Since AI applications are relatively less price-sensitive, suppliers have prioritized AI-related orders, resulting in structural supply bottlenecks. This has even begun to affect capacity allocation for automotive and traditional consumer electronics glass fabrics.

High-End Raw Materials and Process Consumables: AI Specification Upgrades Reshape the Supply Chain

As AI servers evolve toward B300 and GB300 platforms, the PCB supply chain is benefiting from both higher value-added requirements and incremental demand growth. Taking HVLP copper foil as an example, demand for HVLP4 products with extremely low surface roughness, such as Rz 0.5 μm, is rising rapidly. Driven by the AI wave, global HVLP copper foil capacity grew significantly by 48.1% in 2025 to 23,400 metric tons. Although Japanese suppliers currently account for more than 60% of supply, Taiwan’s Co-Tech has secured a position among the world’s top three suppliers with a 10.3% market share.

At the same time, the high-layer-count and thick-board structure of AI servers has significantly increased processing complexity, directly raising technical requirements for PCB drill bits, a key process consumable. To address challenges such as chip evacuation and drill breakage, the market is accelerating its shift toward high-performance coated drill bits to enhance processing stability. As micro-hole drilling shortens drill-bit service life, the global drill-bit market climbed to US$860 million in 2025. In 2026, supported by rising drilling volume and the high-value transformation of consumables, drill-bit output value is expected to grow by 29.1% to US$1.11 billion.

Deepening Strategic Positioning to Strengthen Taiwan’s Core Role in the AI Supply Chain

Amid global political and economic volatility, building resilient supply chains and strengthening technological autonomy have become core priorities for Taiwan’s PCB industry. The rise of AI demand is driving a new wave of technological upgrades and supply chain restructuring, creating opportunities to adjust supply structures that have long been dominated by Japanese manufacturers.
To ensure supply stability, brand customers are actively introducing second-source suppliers, allowing Taiwanese companies to gain entry into key areas such as high-speed materials and precision processing. Looking ahead, the global PCB supply chain is expected to move toward a higher degree of specialization, while the competitive landscape will continue to be shaped by technological evolution, computing demand and geopolitical factors.
Taiwanese suppliers should seize this wave of transformation by deepening independent R&D and strengthening their global footprint, thereby securing their strategic position in the AI industry chain.

Woburn, Massachusetts, USA – TopLine and TANAKA Precious Metals will team up for an IMAPS Wire Bonding Workshop at the Crowne Plaza Boston-Woburn hotel in Woburn, MA, May 12-13, 2026. The workshop is co-located with the IMAPS New England Chapter Symposium.

TANAKA Precious Metals is the premier manufacturer of bonding wire to the semiconductor industry. TANAKA offers a full range of Gold (Au), Silver(Ag), Aluminum (Al), bare Copper (Cu) and Palladium Coated Copper (PCC) covering all applications of wedge, ball and bump bonding. Tanaka also offers high performance flat Gold and flat Al ribbon for RF modules and power applications. Pt alloy wire is also available.

At the workshop, TopLine CEO Martin Hart will present “Non-Traditional Use of Bonding Wire in Solder Columns as an Alternative Interconnect for Large Heterogeneous Packages” from 11:15 am to 11:45 am on 5.12.

Hart will speak on the topic of untraditional use of Palladium coated copper bonding wire to make solder columns.