How Flexible is Your Bill of Materials?

High-quality, highly reliable electronic products are realized through many devices and services coming together consistently and efficiently. One item is components; the individual parts that, together, comprise a bill of materials (BOM). Ideally, a BOM would be frozen once the engineering and purchasing departments have agreed on the parts and suppliers, respectively, needed to build…

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U.S. Factories Power Though Supply Chain Constraints

For 16 months the U.S. manufacturing sector has expanded in spite of – rather than thanks to – the global supply chain. The U.S. PMI in September increased by 1.2 percent to 61.1, according to the Institute for Supply Management. However, concern regarding the semiconductor shortage reached its highest level so far this year, said…

Component Sales Forecast: Stable as She Goes

Several research firms describe the electronics market environment as “stable” entering the all-important calendar Q4. Lead times, for example, have leveled out, according to LevaData and the ECIA, and demand shows no sign of abating. However, logistics experts continue to point to seemingly endless backups at international seaports and retailers are bracing for holiday shipping…

Electronics Component Shortage: A Tale of Two Decades

In 2001, there was so much excess component inventory in the supply chain that more than $13 billion worth of semiconductors alone was written down or off by component makers, distributors and customers. People still wince at the memory. In 2021, there’s such a severe shortage of semiconductors that the automotive industry is set to…

Foundry Sales to Surpass $100 Billion in 2021

Robust demand for advanced processors used in networking and data center computers, new 5G smartphones, and ICs used in other high-growth electronics market applications such as robotics, self-driving vehicles and driver-assist automation, artificial intelligence, machine-learning and image recognition systems is forecast to lift total foundry sales to $107.2 billion in 2021, a 23 percent increase…

Report: Reshoring Pace Accelerates in 1H 2021

The Covid-19 pandemic, supported by U.S. government initiatives, has spurred a national push to strengthen the domestic supply chain, according to the Reshoring Initiative. If the second half of the year progresses at the same rate as 1H, reshoring and foreign direct investment (FDI) job announcements for 2021 are projected to be over 220,000 –…

Sales Outlook Moderates for Components

Long-term demand for electronic components remains robust although sales expectations for the third and fourth quarters have moderated, according to the ECIA. Concerns and uncertainty related to the economy, inflationary pressure and the resurgence of Covid-19 with potential shutdowns could account for the continuing shift of sentiment, said Chief Economist Dale Ford in a release.…

Automotive MCU Sales to Rise 23% Despite Shortages

The huge market for automotive microcontrollers—which accounted for about 40 percent of total MCU sales over the last decade—has been on an uneven ride in the past several years, according to IC Insights.  After climbing 12 percent in 2017, worldwide automotive MCU sales slowed to a crawl in 2018, rising just 1 percent.  A borderline…

Optimism Cools on Electronic Component Sales

Optimism regarding electronic component sales has tempered in the past few months, according to ECIA, although demand remains steadfastly high. The economy, inflation and supply chain constraints have likely contributed to softening expectations. It’s also possible that, after six months of chip allocation, OEMs are realistic about the number of parts they can expect to…