The U.S. advanced semiconductor packaging strategy is beginning to take a more recognizable shape. Recent developments point to three interconnected trends: advanced packaging is moving closer to traditional electronics assembly, high-bandwidth memory (HBM) packaging is becoming part of U.S. industrial policy, and photonics is emerging as another important layer of heterogeneous integration. These trends could strengthen the U.S. position in the global advanced packaging economy. They also illustrate that much of the underlying supply chain remains incomplete.

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This is the first in a three-part series exploring scale-up, scale-out, and scale-across in advanced packaging. Scale-up focuses on increasing compute capability, memory capacity, and communication bandwidth within tightly integrated computing systems. Scale-out expands computing capacity by connecting multiple servers, compute nodes, and racks through high-speed networks. Scale-across focuses on integrating and coordinating diverse computing resources, technologies, and workloads across data centers to improve overall efficiency and resource utilization.

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In previous columns, I’ve described the ceramic substrate itself, talking about why material choice matters so deeply in electronics, RF, microwave, and millimeter-wave applications. Dielectric constant, loss tangent, thermal conductivity, and stability across temperature and frequency are the physical rules that govern whether a signal arrives intact or collapses into noise. But focusing only on the substrate is a bit like judging a city solely by its geology. Bedrock matters, of course.

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In July 2026, the Union Cabinet chaired by the Prime Minister approved the Semicon 2.0 for the development of India's semiconductor design and manufacturing ecosystem, with a total budget outlay of Rs. 1,27,500 crore (approximately 13.3 billion USD). With this, India could account for nearly 10% of the global semiconductor industry market in the coming years and is expected to play a much bigger role in the global semiconductor value chain, Union Minister for Electronics and Information Technology Ashwini Vaishnaw said while addressing a press briefing in New Delhi on Oct. 5.

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