The present invention provides a package structure with an embedded component and a method of fabricating the package structure. The method includes: forming a first wiring layer on a carrier; removing the carrier and forming the first wiring layer on a bonding carrier; disposing an electronic component on the first wiring layer; forming an encapsulating layer, a second wiring layer and an insulating layer on the first wiring layer; disposing a chip on the electronic component and the second wiring layer; and forming a covering layer that covers the chip. The present invention can effectively reduce the thickness of the package structure and the electronic component without using adhesives.