In engineering, and in life, distance carries a cost. In semiconductors, that cost shows up as latency, energy per bit moved and complexity.
As the industry embraces disaggregation from on-die placement to chiplets, packages, boards and even racks, the design question is no longer “Can we keep everything close?” but “Where does distance make sense, and how do we engineer for it?”
Why proximity still matters
Every integrated circuit balances power, performance and area (PPA). Wire delays grow with distance and longer interconnects leak energy and complicate timing closure. Even when architectural gains suggest spreading logic or memory apart, physics keeps score: nanoseconds accumulate, buffers multiply and verification expands.
The new design space: disaggregation across scales
Modern systems now choose where to place functionality along several distance tiers:
- On-die: Placement, floor planning, clocking and NoC topology determine critical path length and congestion.
- In-package (chiplets): Heterogeneous dies connected over advanced interconnects trade monolithic scale for yield, mix-and-match processes, and modularity
- On-board / in-system: Coherent and near-memory fabrics let accelerators and CPUs share capacity without monolithic scaling
- Across the rack/data center: Low-latency fabrics extend pooling and composability beyond a single motherboard
The strategic shift isn’t near versus far, it’s intentional distance: placing resources exactly far enough to optimize cost, yield, resilience and sustainability, while holding latency and energy within budget.
Redefining proximity
- Chiplet interconnects (like Universal Chiplet Interconnect Express or UCIe): UCle enables chiplets from different vendors to communicate with high bandwidth and low latency, almost as if they were a single, monolithic chip
- Coherent system fabrics (like Compute Express Link or CXL): With CXL, organizations can share memory pools across CPUs, GPUs and accelerators — dramatically improving system performance even when resources are distributed.
It’s especially relevant for AI and HPC workloads, where real-time data access and efficient memory usage are key to unlocking speed at scale
- Low-latency data-center fabrics (Remote Direct Memory Access – RDMA): In data center design, RDMA allows compute nodes to access memory across the network, bypassing the CPU and dramatically reducing latency
- Packaging advances: Higher bump density and shorter vertical hops shrink effective distance between logic and memory
- Emerging directions: Backside power delivery, silicon photonics/optical I/O, and wafer-scale integration further blur the line between near and far
HCLTech partners with clients to adopt the solutions highlighted above. Below is a graph highlighting the ROI of such partnerships and investments.
|
ROI |
Impact |
| Faster Time-to-Market | 20-30% shorter design cycles via cloud-EDA and verified IP reuse |
| Lower Development Cost | 15-25% reduction through turnkey silicon and verification services |
| Higher System Efficiency | 10-20% better performance per watt from optimized CXL architecture |
| CapEx Savings for End Users | Up to 40% less memory overprovisioning via CXL pooling |
| Future-Proof Investment | Early entry into $30B+ CXL ecosystem with Arm and Synopsys alignment |
From proximity to purpose
Reframing the question throughout: it’s not “how far is too far?” but “when does distance earn its keep?”
With chiplets, coherent memory fabrics and low-latency interconnects, proximity becomes a design choice; disaggregate where it boosts yield, modularity or cost and keep close what’s latency- or energy-critical.
Distance in chip design is a decision. The task is to bridge it intelligently so that “far” behaves like “near” where it matters.