[1] The SiP performs all or most of the functions of an electronic system, and is typically used when designing components for mobile phones, digital music players, etc.
This is particularly valuable in space constrained environments like MP3 players and mobile phones as it reduces the complexity of the printed circuit board and overall design.
An SiP resembles the common traditional motherboard-based PC architecture, as it separates components based on function and connects them through a central interfacing circuit board.
Hybrid integrated circuits (HICs) are somewhat similar to SiPs, however they tend to handle analog signals[9] whereas SiPs usually handle digital signals,[10][11][12][13][14] because of this HICs use older or less advanced technology (tend to use single layer circuit boards or substrates, not use die stacking, do not use flip chip or BGA for connecting components or dies, use only wire bonding for connecting dies or Small outline integrated circuit packages, use Dual in-line packages, or Single in-line packages for interfacing outside the Hybrid IC instead of BGA, etc.).
As the internet of things becomes more of a reality and less of a vision, there is innovation going on at the system on a chip and SiP level so that microelectromechanical (MEMS) sensors can be integrated on a separate die and control the connectivity.