This study analyzes the sequential failure and remaining useful life (RUL) of a multi-chip power module (MCPM) using finite element (FE) simulation, an empirical lifetime model, and recursive deconvolution. The FE model captures electro-thermal interactions, while the empirical model estimates failure probabilities from power cycling test data. The deconvolution method refines the probability density function of the first failure, providing deeper insights into degradation trends. Results show that the first die in an MCPM can fail significantly earlier than the last, with temperature imbalances contributing to this variation. Despite early failures, the system can continue operating with minor thermal impacts. These findings highlight the need for adaptive failure management and improved thermal design to enhance reliability and system life time.