SiP vs SoM: What is the Difference?
When we introduce new customers to our System-In-Package (SiP) solutions they often ask how a SiP is different from a System-On-Module (SoM). Fact is, in functionality, they are very similar. The two solutions address similar design challenges and provide similar value, however, they do this in very different ways.
Solving Problems
Both SiPs and SoMs aim to simplify the design process by abstracting away many of the tedious tasks that slow down the development of an embedded system. They both accomplish this by taking key components and putting them together into a ready to use system. All you need to do is drop them into a design and move on to the rest of the system. You don’t need to spend any time worrying about things like power sequencing or DDR routing. These are done for you on the SiP or SoM.
The Advantages of SiP & SoM Solutions Over Full Discrete Designs
Choosing a System-on-Module (SoM) approach offers a host of benefits compared to designing everything from scratch with discrete components. One of the big appeals is speed. With SoMs, core functions—like the processor, memory, and power management—come pre-integrated, often with other features like wireless connectivity as well. This means development teams can skip much of the low-level design, solder the SoM onto their board (or plug it in), and focus resources on crafting features that make their product unique.
Why Choose a SiP or SoM?
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Streamlined Development
Since all the tricky bits (think DDR memory routing, power sequencing, and PCB complexity) are handled within the module, you can start developing your main application right away. This “ready-made” block approach shields engineers from many of the riskier design hurdles that can stall a project. -
Reduced Risks and Costs
Leveraging a SoM or SiP means you’re working with modules already tested for both hardware reliability and software compatibility. This not only streamlines development but slashes both initial engineering time and the risk of costly board re-spins. -
Simplified Production
Manufacturing becomes more straightforward, too. Rather than juggling dozens of critical components, the sourcing and assembly process is consolidated into fewer parts. In Octavo’s case, our modules can be directly soldered onto the motherboard, reducing the bill of materials and simplifying procurement and inventory management. Fewer connectors also means lower costs and simpler layouts.
Typical Components and Design Challenges
When it comes to building an in-house integrated microprocessor (MPU)-based system, the to-do list quickly stacks up. Your average industrial-grade project usually calls for more than just a processor—expect to wrangle DDR SDRAM, non-volatile memory, plenty of I/Os, dedicated power management, and a generous handful of passives for good measure.
But here’s where things get interesting (and a bit hair-pulling). Trying to bring all these components together on your own board means tackling:
- Careful PCB layout to maintain signal and power integrity, especially when fast DDR memory and high-speed I/O are in the mix—the bane of any Monday morning.
- Navigating electromagnetic compatibility (EMC) requirements set for high-speed interfaces—because nobody wants their system misbehaving in a test chamber.
- Designing a dependable power management system that delivers multiple rails and sequencing without fragility or failure.
- Juggling all this while meeting deadlines and keeping costs from creeping northward.
With so many moving parts and technical hurdles to clear, it’s no wonder engineers look for integrated solutions that let them focus on innovation instead of firefighting layout and compliance challenges.
When Does a SiP Make the Most Sense?
So where does a System-In-Package really shine? Picture scenarios where space is tight or board complexity needs to be tamed—think handheld devices, compact industrial controls, wearables, and other form-factor-challenged designs. SiP solutions bundle the processor, power management, memory, clocking, and even passives into a single Ball Grid Array (BGA) package. This makes them an excellent fit if you’re working with designs that demand a small footprint without sacrificing performance.
Here are some key situations where reaching for a SiP can make your life much easier:
- Limited Board Space: If your layout can’t afford sprawling components, a SiP consolidates the crucial parts, freeing up real estate for other features or shrinking your device altogether.
- Quick Time-to-Market: SiPs abstract away many of the headache-inducing layout details. Power sequencing? Memory routing? Already handled inside the package, so you spend less time wrestling with PCB intricacies and more time focusing on your differentiators.
- Reducing Risk: By using a pre-integrated solution, you’re sidestepping many of the potential pitfalls that come with high-speed memory interfaces or multi-voltage designs.
- Manufacturing Simplicity: With fewer discrete parts to source, place, and solder, your procurement and assembly processes become more straightforward—meaning fewer things to go sideways.
- Consistent Performance: SiPs are built and tested as a unit, removing much of the variability that comes from assembling sensitive analog components and fast digital buses on your own board.
In short: if you’re building a product where size, speed of design, reliability, and simplification of manufacturing are high priorities, a SiP solution often delivers a smoother path from prototype to production.
SiP vs Discrete Approaches: Breaking Down the Differences
Let’s take a closer look at how a System-in-Package stacks up against the more traditional “full discrete” design route when building your solution:
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System Risk: SiP solutions dramatically reduce your risk during system design. Many of the most challenging elements—like complex power logic, memory layout, and signal routing—are already engineered, tested, and proven inside the SiP. With discrete designs, every component integration passes the risk and debug burden back to you and your team.
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Development Cost: Building with discrete components usually means higher engineering effort, increased prototype cycles, and more re-spins—all of which add to your development cost. A SiP skips much of this nuance by bundling the essentials, letting your team focus on what makes your product unique instead of re-inventing the wheel (or, in this case, re-routing the DDR lines). The end result: more time spent on your own IP, and fewer headaches during board bring-up.
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Manufacturing Efficiency: Managing dozens of individual parts—each with their own sourcing idiosyncrasies—can make procurement and manufacturing unnecessarily complex. SiPs tidy things up by putting multiple functions into one part number. There’s less material to track and fewer potential points of failure on your assembly line, translating to higher yield and a smoother path to finished products.
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Sourcing Longevity: Components go obsolete, suppliers change, and pin-compatible replacements aren’t always so pin-compatible. With SiPs, much of that juggling act shifts to the SiP provider, freeing your team from the constant game of part-number whack-a-mole.
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System Cost: While SiPs may not always win on absolute lowest component price, they often optimize your board’s final cost by reducing PCB layers and overall footprint. Fewer layers and a more compact design can mean substantial savings on both materials and assembly.
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Size Optimization: If “smaller is better” is your mantra, SiPs are tough to beat. They pack all the must-haves into an ultra-compact footprint, making them ideal for designs where every millimeter counts—think wearables, medical devices, or any project where size is king.
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Speed to Market: In the race to launch, SiPs help you leapfrog much of the classical design and debug process. Reduced design complexity, pre-validated subsystems, and easier manufacturing mean you can prototype, iterate, and ship faster—staking your claim in the market ahead of the competition.
In short, choosing between SiP and full discrete comes down to what your design needs most: SiPs accelerate design and reduce headaches, especially if speed, space, and simplicity matter most. Discrete might still have its place in ultra-custom or mega-high-volume projects, but for most, SiP delivers a clear edge.
Getting to Market Faster
All this adds up to a shorter timeline from concept to a finished product you can ship. By offloading much of the groundwork to a reliable SoM, engineers and product managers gain the freedom to iterate rapidly, avoid common pitfalls, and bring new devices to market ahead of the competition—a crucial edge in crowded industries.
Key Considerations
Of course, this convenience comes with trade-offs. SoMs tend to have a higher unit cost than a carefully designed full discrete implementation, especially at high volumes. Teams should weigh this against the potential time savings and lower development risk. For many applications—especially where being first or fast in the market matters—a SoM can make all the difference.
The Divergence
Where SiPs and SoMs differ is in how they actually solve these problems. SoMs are essentially small Printed Circuit Boards (PCBs) that are attached to your final PCB. SoMs utilize the same techniques and processes that are used in any PCB design and manufacturing process. They use discrete packaged components, the same schematic and layout techniques, and the same pick and place and reflow process that any other PCB would go through. This makes SoM solutions bulky, pricey, and hard to attach to a final board.
SiPs on the other hand bring together primarily bare silicon die and attach it to a substrate leveraging technology that is used by the semiconductor industry. This allows a SiP to look like just another standard IC component instead of a PCB. Leveraging Silicon Manufacturing techniques also enables SiPs to be much smaller, more cost effective, and a breeze to manufacture with.
Example
Costs
Take a look at the OSD3358-512M-BSM and an equivalent SoM from a leading provider. Build equivalent systems around both. The SiP based system will cost approximately $31 while the SoM based system would cost approximately $48. This is a 54% price increase for a SoM based system over a SiP based system.
Next let’s look at the manufacturing cost delta when adding these solutions to your board. A SoM is a PCB that needs to be attached to your board with a special connector. The connectors for the SoM used in this analysis cost $8. These expensive connectors are required for the highspeed data lines that go on and off the SoM like USB and Ethernet.
Beyond the cost of the connectors, installing the SoM adds another step to the assembly process. Often the SoM must be applied on a special line by hand in the assembly process. This increases cost even further and introduces more points where failures can occur.
SiPs however, look and act like standard IC packages and can be connected to your PCB the same way as any other IC component. The OSD3358-512M-BSM comes in a standard BGA package. This means it can be connected to your PCB in the same mass production way as any component. There is no need for expensive connectors or special installation processes. They can go through the pick and place process with the rest of your components and can be reflowed.
Size
Continuing with the example above let’s look at how the OSD3358-512M-BSM compares in the size to the equivalent SoM. As a SiP, the OSD3358-512M-BSM benefits from using Die instead of packaged parts. Die can be up to 70% smaller than the same part fully packaged, translating into significant space savings. The SoM in our example occupies 2200mm2. The OSD3358-512M-BSM uses bare die for 3 components which allows it to only occupy 441mm2, or an 80% reduction in area.
Conclusion
SiPs and SoMs are like cousins. They aim to make designing electronic systems easier. They both abstract away common discreet subsystems that add little value to an end product but require a lot of time to implement. SiPs just do this in a smaller, lower cost, easier to manufacture package!
Contact us for a design consultation and find out how your design using SoM can benefit from a SiP solution.


