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Modern CPUs and GPUs from AMD, Intel, and others increasingly ship as a bundle of smaller dies inside one package.
Chiplets improve yield because smaller dies have fewer defects each, so a higher share pass quality testing compared with one giant monolithic chip where a single flaw ruins the whole thing; splitting the design also lets each piece be made on whichever process node best suits its job, mixing cutting-edge and cheaper mature silicon in one package.
Chiplets don't inherently make a chip run at a lower clock speed, that depends on the design and workload, not whether the silicon is split into pieces. They also don't remove the need for packaging, if anything, chiplets require more advanced packaging to connect the separate dies together.
This modular approach mirrors how the auto industry assembles cars from parts made by many suppliers rather than casting one giant piece, letting chipmakers mix and match components for cost and performance in ways a single monolithic design never could.
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