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Why is chip sovereignty so important?

The US and EU are planning for chip sovereignty, aiming to defend domestic chip supplies and move manufacturing back home. At first glance this is a tall order, considering most chips are made in China and China controls 55% of rare earth metal production, but it is nether the less crucial to ensure that the […]

Electronic Component Shortage update

The ongoing electronic component shortage is one of the biggest challenges global supply chains face today, with demand for many components, from chips to actives and passives, well and truly outstripping supply. A lot has happened in the last month, with new research and analyst insights pointing to when demand might ease (hint: it won’t […]

Chip Shortage causing car manufacturers to cut production levels

A week doesn’t pass without an announcement from a car manufacturer that they are cutting production levels. Idling shifts and even entire factories has become normal for an industry that thrives on maximising output.  Volkswagen, Ford, General Motors, Hyundai and Toyota have cut production levels to prioritise their most lucrative models. In some cases, plants […]

Component Prices Rise 10% to 40% – But why?

While component price rises are expected when demand outstrips supply, the scale of recent increases has come as a shock to many businesses. In its Q3 Commodity Intelligence Quarterly, CMarket intelligence platform Supplyframe reports that some electronic components have seen prices rise by as much as 40%, making it uneconomical for products to be made. […]

Automotive electronics market set to grow

With vehicles getting smarter, more connected and more autonomous, the automotive electronics market looks set to soar. Future growth in numbers Back in March, Precedence Research predicted the automotive electronics market would hit around US$ 640.56 billion by 2030. Then, in July, Global Market Insights released research predicting the automotive electronics market would hit around […]

Chips shortage limits auto production in Brazil and the rest of the world

“Never seen anything like it,” Tesla’s Elon Musk tweeted last month about the global chips shortage, “Fear of running out is causing every company to overorder – like the toilet paper shortage, but at epic scale.” If you want a prime example of the chips shortage, look to Brazil. In 2020, the automotive industry in […]

What Shortage? How Electronic Component Distributors Make Supply Meet Demand

When buyers can’t find electronic components, they turn to distributors like us who can source scarce and obsolete parts. Our experience has been tested to new extremes over the last several months due to the semiconductor and wider electronic components shortage. This shortage was years in the making but has been amplified by COVID-19. It […]

Perfect storm’ creates electronic component shortages

A perfect storm has hit the electronic components market, creating supply chain problems that will be felt for several years. The perfect storm Even before the COVID-19 pandemic, most electronic component manufacturers were running at 95-98% capacity. This high demand for electronic components was fuelled by growth in technologies like automation and the Internet of […]

The Global Chip Shortage Has Created a New Problem: Counterfeits

The global chip shortage is officially wreaking havoc. The world’s biggest carmakers, including Toyota and Volkswagen, have had to slow down vehicle production, and Samsung – who make their own chips – has had to delay the launch of several smartphones due to be released in 2021. These are but a few examples of thousands […]

Equivalents keep the supply chain moving in uncertain markets

In uncertain markets, the demand for specific, branded components tends to outstrip supply. We have seen this recently with the semiconductor shortage, where specific chips are hard to come by at a time when they are needed. Equivalent components, also known as equivalents in the industry, provide an immediate solution. These ‘generic’ parts can be […]