Method for forming an etched recess package on package system

1. A method for manufacturing an integrated circuit package system comprising:

providing a die attach paddle with interconnection pads connected to a bottom surface of the die attach paddle;

connecting a first device to the interconnection pads with a bond wire;

connecting a lead to one of the interconnection pads or to the first device, the lead is thinner than the die attach paddle and has a top planar surface or a bottom planar surface coplanar with a planar surface of the die attach paddle, and the bottom planar surface is above the level of the interconnection pads;

encapsulating the first device and the die attach paddle with an encapsulation having a top surface; and

removing the die attach paddle leaving a recess in the top surface of the encapsulation with the interconnection pad exposed in the bottom of the recess.

2. The method as claimed in claim 1 further comprising:

encapsulating the lead by the top surface of the encapsulation.

3. The method as claimed in claim 1 wherein:

encapsulating the first device and the die attach paddle with the encapsulation having the top surface includes forming the encapsulation with the lead exposed at the top surface; and

further comprising:

attaching a third device to the leads lead exposed from the top surface of the encapsulation.

4. The method as claimed in claim 1 wherein:

connecting the first device includes connecting a wire-bonded die or connecting a flip chip.

5. A method for manufacturing an integrated circuit package system comprising:

providing a die attach paddle with interconnection pads connected to a bottom surface of the die attach paddle;

connecting a first device to the interconnection pads with a bond wire;

connecting a second device to the interconnection pads with an interconnect;

connecting a lead to one of the interconnection pads or to the first device, the lead is thinner than the die attach paddle and has a top planar surface or a bottom planar surface coplanar with a planar surface of the die attach paddle, and the bottom planar surface is above the level of the interconnection pads;

encapsulating the first device and the die attach paddle with an encapsulation having a top surface; and

removing the die attach paddle leaving a recess in the top surface of the encapsulation with the interconnection pad exposed in the bottom of the recess.

6. The method as claimed in claim 5 wherein:

connecting the second device with the interconnect includes connecting the second device with metal connection pads or with solder balls.

7. The method as claimed in claim 5 wherein:

providing the die attach paddle with the interconnection pads includes providing interconnection pads that are coated or composed substantially of nickel, palladium, and gold.

8. The method as claimed in claim 5 wherein:

connecting the second device includes mounting the second device inside the recess on the top surface of the encapsulation.