, Shorter signal / power/ ground inductance
As the interconnect is much shorter in length (0.1mm vs. 1-5mm), the inductance of the signal path is greatly reduced. This is a key factor in high speed and switching devices.
Power can be brought directly into the core of the die by using flip chip interconnect, rater than having to be routed to the edges. This greatly decreases the noise of the core power, improving performance of the silicon.
, Higher signal density
Because flip chip can connect over the surface of the die, it can support vastly large numbers of interconnects on the same die size.
, Die shrinkage - for pad limited die
For pad limited die ( die where size is determined by the edge space required for bond pads), the size of the die can be reduced, saving silicon cost.
, Reduced package footprint
Total package size can be reduced by using flip chip. This can be achieved by either reducing the die to package edge requirements, since no extra space is required for wires, or in utilizing higher density substrate technology, which allows for reduced package pitch.