Jabil to Sell Aftermarket Unit for $725M

Jabil Circuit Inc. (NYSE: JBL) has announced plans to sell its aftermarket support business to iQor Holdings Inc. for $725 million as the electronics manufacturing services provider intensifies its multiyear reorganization and cost-reduction programs. The EMS provider said the decision to sell the aftermarket services (AMS) division is in furtherance of plans to focus primarily…

Xilinx Sues Flextronics for Alleged Fraudulent Chip Resale

Xilinx Inc. has filed a lawsuit in a California court against Flextronics International Ltd., alleging the contract manufacturer resold chips it purchased from the semiconductor vendor at a premium to other customers. The FPGA manufacturer also charged Flextronics with dealing in “gray market and counterfeit” Xilinx products, according to the filing with the Superior Court…

The Ugly Truth About Counterfeiting

Nothing has polarized the supply chain like counterfeiting. It has pitted segments of the industry against one another (distributors versus brokers) and more recently divided the channel into two camps: Pro-DNA and anti-DNA. Both of these debates center around proposed solutions to the counterfeit problem in the channel and both have spurred action. But these…

Jabil Buys SGI Plant to Secure Contract

Jabil Circuit Inc. has agreed to purchase Silicon Graphics International Corp.’s main manufacturing facility in the United States in addition to certain other assets as the two companies seal their previously announced outsourced production deal. Under the terms of the engagement, contract manufacturer Jabil will become the primary provider of outsourced manufacturing and supply chain…

Forget Re-shoring, China is still it

It’s easy to find evidence to convince anyone China will in future play a diminished role in the electronics manufacturing market. Don’t believe the hype. True, aside from regular supply chain challenges arising from its location and distance from main Western markets and other economic, geo-political and logistics issues, the country’s edge in production has…

Flextronics Places Huge Bet on Google

Google Inc. is fast becoming the hottest must-have partner for many supply chain service providers in the electronics manufacturing industry. With the Web search engine provider expanding its roster of electronics hardware, sales and profit opportunities running into billions of dollars have opened up at the company for semiconductor makers and other component suppliers, distributors,…

Consumer & Mobility Alter the Electronics Landscape, Part 1

Electronics Here, There, Everywhere: Implications for Industry Design Chain & Supply Chain Landscape. That was the initial headline for this article but the lengthy wording worked against this choice and a shorter title was substituted. Yet, this analogy demonstrates clearly what’s happening in the world of electronics and how the ubiquity of semiconductors and other…

Electronics Outlook 2014: Low-Growth & Uncertainty

The electronics market is sliding into low growth or even negative growth territory with many of the industry’s bellwether manufacturers rolling out fourth quarter revenue guidance that have largely fallen short of analysts’ consensus estimate. And while almost nobody is trotting out the dreaded “downturn” word yet, concerns are building up in the industry over…

Flextronics Closes Riwisa Acquisition

Flextronics (FLEX) today announced that it has completed its previously announced acquisition of RIWISA AG. As a result of the transaction, Flextronics has acquired RIWISA’s state-of–the-art manufacturing facilities located in Hagglingen, Switzerland and highly-experienced employees in medical, consumer packaging and industrial products. With the close of the acquisition, Flextronics broadens its precision injection molding and…