NASDAQ:MU 1 July 2025 - 30 September 2025

Semiconductor design is undergoing a paradigm shift from giant monolithic chips toward chiplet-based and multi-die architectures. In a chiplet approach, a processor is disaggregated into multiple smaller dies that are later integrated in a package, rather than one large die. This strategy improves manufacturing yield and cost – smaller dies are easier to produce without defects – and allows mixing different process nodes and functions in one package astutegroup.com astutegroup.com. As traditional 2D scaling hits physical and economic limits, chiplets offer a practical path to keep improving performance and functionality astutegroup.com astutegroup.com. Advanced packaging technologies are the linchpin making chiplet systems possible. Unlike classic packaging, advanced methods include 2.5D integration – using an intermediate silicon interposer or bridge to fan-out connections between chiplets – and 3D integration, where dies are stacked vertically. Notably, TSMC’s CoWoS has become synonymous with 2.5D packaging: it uses a silicon interposer with dense through-silicon vias to connect multiple chips as one, overcoming the density limits of standard substrates trendforce.com. TSMC SoIC represents 3D die-on-die bonding for high-density vertical stacking theregister.com. Competing approaches include Intel’s EMIB, which embeds tiny silicon bridges in the substrate to link dies without a large interposer – a cost advantage for