While 2020 is behind us, the continuing global pandemic has taught a host of supply chain lessons, highlighting both the strengths and weaknesses of electronics suppliers, distributors, and manufacturers. In the turn of a calendar year, this traditional industry has gone from embracing the way it’s always been done to looking at new ways of…
A perfect storm of events have converged to create the semiconductor shortage of 2021. High-level collaboration across the electronics supply chain could make the deficit less painful, experts say. Shortages often prompt less-than-optimum purchasing behaviors. Competitive bidding for inventory drives prices up. Exceptions to approved vendor lists become common. And double-ordering – where purchase orders…
The burgeoning semiconductor shortage of 2021 hit chipmakers “like a ton of bricks,” according to one distributor. Of course, that’s not the phrase semiconductor suppliers would use. But the supply chain is in the midst of a perfect storm. A convergence of events is creating what’s expected to be a shortage of CPUs, MPUs, memory,…
On December 31, Texas Instruments Inc. and Avnet Inc. formally end their 40-year distribution relationship. Avnet’s success in replacing that business – estimated at 10 percent of Avnet’s sales — will be evident in the future, said Phil Gallagher, who was named Avnet’s CEO on November 23. Avnet’s fiscal 2020 sales reached $17.6 billion. TI…
Over the past 20 years, there has been a move toward a more diverse component sourcing model. But, with the logistical challenges that Covid-19 has presented to the global supply chain, what had been a steady drift has become a seismic shift. With an unpredictable global market, purchasers find themselves considering new vendors and markets…
Just five years ago, Advanced Micro Devices’ (AMD) acquisition of Xilinx would have sent shockwaves through the distribution channel. Xilinx and archrival Altera, now owned by Intel, were the last holdouts of a practice called shelf-sharing, where two competitors refuse to be sold side by side — “share shelf ” — at a single distributor.…
AMD is said to be negotiating to buy Xilinx, and a deal could come as soon as next week. If the two companies agree, the deal would likely be worth approximately $30 billion, according to The Wall Street Journal. The value of AMD shares has soared of late, which means it should be able to…
Previous articles have discussed a segmentation of the electronics market called Long Life Cycle(LLC) Products. LLC products are those whose useful life is longer than five years. In a subsequent article, the current state of the electronics ecosystem, and the connection of the LLC market to the AI/IOT mega-trends were also discussed. Overall, LLC customers…
The Newark electronics catalog – once known as the “Bible of the industry” — has made significant progress under parent Avnet Inc. and expects additional investment will boost its e-commerce capabilities and restore historically high profit margins. Newark was acquired in 1996 by the UK’s Premier Farnell group. The Newark and Farnell catalogs underwent a…
We’ve all heard about blockchain for years, yet many of us in the high tech supply chain still view the technology as some sort of enigma, or saying we’ve become accustomed to using yet really don’t understand. Kind of like the word enigma itself, which truth be told I had to look up the definition…