IC Insights - annual wafer capacity trends

Component Shortages Will Ease as Wafer Capacity Grows

Silicon wafer production capacity last year wasn’t enough to meet supply and demand across several IC segments, particularly memory components and discrete semiconductors, which resulted in component shortages and extended lead times. Wafer capacity is now forecast to increase over the next two years, which will lessen supply constraints and stabilize pricing as more capacity…

How Avnet Manages Small Customers With Big Ideas

Avnet Inc. has wasted little time in leveraging new and existing design assets to reach up-and-coming businesses. The distributor’s acquisition of Premier Farnell, Hackster.io and Dragon Innovation has enabled the often-unwieldy global organization to support the makers and entrepreneurs that could be developing the next must-have computing, communication or consumer device. Broadline distributors such as…

Broadcom-Qualcomm: A Merger of Equals is Better

Qualcomm Inc. was right to turn down Broadcom Ltd.’s “final” purchase offer. It is bad for both companies. A better deal is a merger of equals that promises major tax benefits for shareholders, a lower debt burden and swift integration. A merger is what Broadcom and Qualcomm should be discussing rather than the likely fruitless…

Avnet’s Next Test: Avoiding the Serial Restructuring Trap

Avnet Inc. Is mending. It is not hale and hearty yet, though, and as it revels in recent financial wins, the distributor confronts a new challenge: shaking off the impression that it has fallen into an inescapable restructuring corkscrew. The perception that Avnet is perennially retooling operations clashes hard with the image that CEO William…

The Case for Further Distribution Consolidation

The electronics component distribution market is straining under severe margin pressures that are bound to persist until businesses in the sector come to terms with one harsh reality: there are too many of them. Further consolidation of the sector is necessary if surviving distributors are to reap the full benefits of restructuring actions undertaken in…

Gallagher Gauges Avnet’s Transformation

Phil Gallagher is optimistic about Avnet Inc. Following the announcement of the distributor’s fiscal Q2 earnings, the president of Avnet’s electronic components business assessed the company’s progress after a tumultuous 18 months. “We are making progress,” Gallagher said. “We are excited about where we are. We feel we are coming out the other side of a number…

Arrow Electronics: A Necessary Evolution in a Perilous Market

Arrow Electronics Inc. is knee-deep in the most consequential evolution in its history, one that has the potential to result in a complete transformation of its business and heavily impact the entire electronics value chain by forcing a reshaping of the design, engineering, new product introduction, procurement and the entire supply chain. Once finished, the…

TTI Buys Second Chip Specialist & Expands into South Korea

On the last business day of 2017, TTI Inc. acquired its second semiconductor company, Changnam I.N.T. Ltd. of South Korea. The longtime specialty distributor of interconnect, passive and electromechanical (IP&E) components expanded its nascent semiconductor linecard and its geographic reach in one fell swoop. But TTI’s ambition is not to become a global broadline distributor,…

Arrow Boosts Design Chain Offerings with eInfochips Deal

Arrow Electronics Inc. is diving deeper into the design engineering services market with an agreement to purchase eInfochips, a San Jose-based product engineering firm serving OEMs and semiconductor companies with a range of offerings spread across various segments of the high-tech industry. The eInfochips transaction is the latest in a series of transformative actions being…