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Is the CSP ceramic package really so god?
When the size of the ceramic substrate closely matches that of the chip, it gradually loses its ability to help dissipate heat from the LED. On the contrary, removing the ceramic substrate eliminates a thermal interface, allowing for faster heat transfer to the board. As flip-chip technology matures, the need for the ceramic substrate to redistribute the PN electrode lines as a dielectric material becomes obsolete. Beyond mechanical protection and managing thermal expansion mismatch, the ceramic substrate’s key roles in electrical insulation and heat conduction have significantly diminished. The GGI or AuSn eutectic soldering typically used to attach the substrate can now be replaced with more cost-effective SAC solder. With flip-chip technology, gold wire bonding and traditional wire-bonding steps are eliminated, further reducing packaging costs.
When major manufacturers and media promote CSP (Chip Scale Package) technology, many still struggle to implement it effectively. Traditional LED production is divided into three stages: chip manufacturing, packaging, and lighting assembly. With CSP, the packaging stage can be skipped entirely. This allows chip manufacturers to directly interface with luminaire producers, streamlining the entire process and cutting down on costs. It seems like the role of the packaging factory might disappear, but this isn’t entirely true. The concept of “chip-level packaging†or “no package†refers to directly sealing the flip-chip onto the package pad, eliminating gold wires and brackets, simplifying the production flow, and lowering costs. This also allows for smaller packages, which can deliver more power in the same footprint.
However, the small size of CSP brings higher demands on the production process. The precision of equipment and the skill level of operators must increase accordingly. The cost of production equipment directly affects accuracy, quality, and overall costs. In the CSP manufacturing process, each step requires advanced technology, high-quality equipment, and skilled personnel. Several challenges stand out: 1. Controlling the distance between chips; 2. Ensuring alignment between the chip and the substrate; 3. Managing the wavelength range of epitaxial chips; 4. Controlling phosphor thickness uniformity; 5. Dispensing techniques; and 6. Sealing processes.
In recent years, global leaders in high-power LEDs have focused on improving existing ceramic packaging solutions. With advanced flip-chip or vertical structure chips, the package has become smaller, reducing the use of ceramic substrates and increasing cost pressures. At the same time, the ability of chips to handle higher current densities has improved. As a result, the original 3535 package has been reduced to 2525, then even smaller, such as 1616, bringing the LED size closer to that of the chip itself—essentially approaching CSP. This type of package is known as Near Chip Scale Package, or NCSP.
After CSP entered the market, it was adapted to China’s conditions and eventually evolved into NCSP. NCSP can be seen as a transitional solution due to the immaturity of CSP technology and shifting market demands. From the current development of LEDs, on one hand, price competition has led companies to reduce material sizes to cut costs and offer more affordable products with smaller form factors. On the other hand, CSP is considered the next generation of cost-effective technology, though it is still not fully mature, leading to the emergence of NCSP as a temporary option.
Can CSPs without ceramic substrates create a revolutionary advantage and dominate the market? If CSP becomes mainstream, it could significantly impact the Chinese ceramic substrate industry, which has recently emerged. Companies like Slyton may face serious challenges in their development.
In the industry, an LED package connects external leads to the chip’s electrodes while protecting the chip and enhancing light extraction efficiency. Looking back at the history of LED packaging, it has gone through several phases: direct plug-in (LAMP), chip-on-board (COB), digital tube (Display), power package (POWER), and integrated package. Currently, SMD, POWER, and COB are the most common forms. CSP is expected to replace existing packages like 2835, 3528, and 5050. However, it doesn’t eliminate the entire packaging industry—it represents a technical upgrade in the chip stage rather than a complete shift in the packaging world.
For many small and medium-sized enterprises in China, CSP R&D hasn’t expanded the industry's space nor reduced competitive pressure. Even if they achieve 2,500 lm/$, it might not make a real difference. Currently, CSP products represent only a small portion of the lighting and packaging markets, mainly used in backlight applications. Most commercial lighting still relies on low- and mid-power solutions, while CSP is concentrated in high-power areas. Only a few companies, like Toshiba, have introduced mid- and small-power CSP, but the technical challenges remain high, and yield rates are uncertain. Therefore, there is potential for future breakthroughs, making CSP more applicable to mid- and small-power applications. The future of CSP in general lighting remains unclear.
CSP packaging is indeed a new and promising technology, marking a significant advancement in chip-scale packaging. It should not be underestimated, but it’s still based on the original "chip," so there’s no need to overstate its importance. For ceramic substrate manufacturers like Slyton, there’s no reason to worry. After all, the CSP era hasn’t fully arrived yet, and ceramic substrates aren’t limited to LEDs alone.
As big players begin to invest heavily in CSP, according to the normal development cycle of new technologies, yield and cost issues are likely to be resolved within the first half of the year, at the latest in one year. In the future, the line between packaging and chip will blur, and the structure of the entire LED industry will become clearer. It’s up to you to catch the signal and decide how fast to move forward.
