A semiconductor device including a first integrated circuit component, a second integrated circuit component, a third integrated circuit component, and a dielectric encapsulation is provided. The second integrated circuit component is stacked on and electrically coupled to the first integrated circuit component, and the third integrated circuit component is stacked on and electrically coupled to the second integrated circuit component. The dielectric encapsulation is disposed on the second integrated circuit component and laterally encapsulating the third integrated circuit component, where outer sidewalls of the dielectric encapsulation are substantially aligned with sidewalls of the first and second integrated circuit components. A manufacturing method of the above-mentioned semiconductor device is also provided.