Experts Advise on Avoiding Counterfeit Components

By Hailey Lynn McKeefry, Editor in Chief, EBN

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​​​​​​​Counterfeit electronics remain the bane of the electronics industry. Fake parts create safety hazards, siphon off profits, and tarnish corporate images.

The problem is huge by all accounts, and probably underreported. The fake semiconductor market has reached $75 billion according to Industry Week, while Havocscope estimates that $169 billion in counterfeit parts have flooded the marketplace.  Meanwhile, the United States Government seized $123,892 million in counterfeit electronics in 2016 (the most current year tracked by the Department of Homeland Security in its Year End Intellectual Property Rights Review).

The Semiconductor Industry Association (SIA) points to a handful of ways that authenticity can be compromised:

The device is an unauthorized copyIt does not conform to original OCM design, model, and/or performance standardsThe part is not produced by the OCM or is produced by unauthorized contractorsThe component is an off-specification, defective, or used OCM product sold as “new” or workingThe part has incorrect or false markings and/or documentation

Industry groups such as the Semiconductor Industry Association (SIA), the ERAI, the Government Industry Data Exchange Program (GIDEP), and the European Semiconductor Industry Association (ESIA) are doing what they can to police or track discovery of counterfeit components. The SIA, for example, trains customs and boarder protection officials on counterfeit components. However, those efforts rely on the willingness of OEMs, CMs, distributors, component makers, and other private organization to report problems as they are found.

Read the full article here and learn efficient and effective business practices to avoid the risk of Counterfeit Components.