SOC and System in package
(i) System on chip:
SOC is an IC that integrated all the components of computer or other electronic systems into a single chip.
It may contain digital, analog and mixed signal and often radio frequency functions all on one chip.
SOcs are more common in mobile computing market because of their low power consumption.
A typical application- Embedded system
For eg, microprocessor typically have under 100kB of RAM and often really have single chip system.
Whereas, the term SOC is typically used for more powerful processors such as smartphones.
(ii) SIP :
When it is not possible to construct a SOC for a particular application, an alternative is system in package.
SIP comprises of no. of chips in a single package. Eg- a SIP can contain several chip such as specialized processor, DRAM, flash memory combined with passive components like resistors and caps, all mounted on some substrate.
This means that a complete functional unit can be built in a multi chip package.