From Assessment to Innovation: How Pack4EU Lays the Foundation for the OSAT Initiative

Europe Faces Challenges in the Semiconductor Industry
For years, the focus on advanced chip packaging and integration shifted to Asia, causing Europe to lose a crucial part of the semiconductor value chain. The Pack4EU project highlighted this reality and delivered valuable insights and recommendations. Now, it serves as a springboard for various packaging and integration initiatives aimed at revitalizing European capabilities in Packaging, Integration, and Test.

Pack4EU: A Blueprint for the Future

The Pack4EU project had a clear objective: to conduct a detailed analysis of the state of packaging and integration in Europe. According to Marco Koelink, who was involved in the project, the need was driven by economic necessity.

“Packaging has evolved from a standard technology to a key area for innovation in sectors such as photonics, artificial intelligence, quantum computing, and 5G. Europe must respond to this to remain future-proof,” Koelink explained.

The project mapped a network of over 1,000 relevant parties and formulated nine policy recommendations. These are now being adopted by the European Commission, playing a role in the definition of IPCEI 3 and the preparation of new EU calls for packaging innovation. See more at the Pack4EU website.

Gathering data from such a fragmented field was the biggest challenge, but the independent approach proved to be a key success factor. “The openness within the team and with stakeholders allowed us to provide a broad and reliable overview,” said Ben van der Zon.

The Shift to OSAT: From Plan to Practice

One of Pack4EU’s key recommendations was to strengthen industrial OSAT (Outsourced Semiconductor Assembly and Test) capabilities in Europe, particularly for small production volumes. This is precisely where the OSAT initiative comes in.

“Pack4EU provided us with an objective status quo. OSAT builds on that by taking concrete action,” explained Van der Zon, who led one of Pack4EU’s work packages.

OSAT aims to develop advanced packaging technologies while also strengthening standard capabilities at economically competitive costs. This initiative focuses on niche markets, which play a significant role in the European ecosystem. The project emphasizes not only production but also innovation by creating a hub for new technologies.

A Collaboration in Progress

While Pack4EU was supported by a consortium of independent organizations, OSAT is in a different phase. The initiative is not yet formalized, but active efforts are underway to engage industry, government, and research institutions. High Tech NL is playing a pivotal role as a catalyst.

“We are working to generate enthusiasm among as many stakeholders as possible, both in the Netherlands and across Europe. The goal is to create a collaborative initiative with real impact,” Van der Zon stated.

The Broader Impact of Pack4EU and OSAT

Although Pack4EU did not directly develop technological innovations, it laid the groundwork for future policies and projects.

“It has led to widespread recognition of the need to bring packaging and integration back to Europe. This is a vital step in completing the European semiconductor value chain,” Koelink noted.

OSAT, on the other hand, promises a more tangible impact. By focusing on niche markets and specific applications, Europe can remain competitive in areas where current facilities, mainly in Asia, are not active. Moreover, it provides a platform for technological innovation, which is crucial for sectors like artificial intelligence, quantum computing, and 6G.

Looking Ahead

The future looks promising, but there is still a long way to go. Van der Zon emphasized the importance of placing technological innovation in a market-specific context.

“Europe has often invested in technology without considering market demand. With initiatives like OSAT, we want to change that.”

Koelink remains optimistic about the opportunities:

“Packaging has the potential to transition from an overlooked component to a core technology. This offers enormous opportunities for Europe, both economically and technologically.”

Conclusion

Pack4EU has held up a mirror to Europe: it is time to take packaging and integration seriously as critical parts of the semiconductor value chain. The OSAT initiative is the next step in this process and can lay the foundation for a sustainable and competitive industry in Europe. With the right collaboration and commitment, Europe can reclaim its place in the global technology landscape.

Pack4EU is funded by the European Commission.