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www.us-tech.com


Tech-Op-ed October, 2024 SOUNDING OFF


By Michael Skinner Editor


Parts of the Problem: Counterfeits


parts that are falsely marked or documented as genuine products. Not only a danger to the supply chain, counterfeit components


O


present a real threat to human safety when they are built into devices that we rely on every day, especially in high-reliability industries like medical device technology or defense and aerospace. They often originate from unregulated suppliers or are salvaged


from discarded electronics and may then be resold with altered mark- ings to resemble legitimate components. Estimates place the cost of counterfeiting to U.S.-based semiconductor companies at roughly $8 billion per year, but even that number is just the tip of the iceberg For example, a component that malfunctions in a device and


causes a house fire is often not blamed for the full financial impact. In a complex device, a $100 counterfeit part might cost much more in terms of refurbishment and replacement if it is discovered. Beyond the monetary cost, is the tragic loss of life that can occur


when counterfeits are built into today's electronics. An Air Force in- vestigation into an F-16 crash in 2020 found that electronics in the pi- lot's ejection seat were suspected of being counterfeit. Tragically, the pilot, First Lt. David Schmitz, was killed when his seat malfunc- tioned as he tried to escape from a failed nighttime landing. The investigation into the case turned sour, as the companies in-


volved in manufacturing and supplying the seat's sequencer — the piece responsible for executing the steps of the ejection process when triggered in an emergency — were accused of tampering with the ev- idence. Parts sent to the lab had microchips replaced, leads on some components were cut, and several transistors were heavily suspected of being counterfeit. Today's counterfeiters are savvy, employing techniques that in- clude rebranding genuine parts — polishing or sanding them down to remove markings then replacing them with fake part numbers —fake packaging, salvaging used components, low-cost production methods, false certifications, misleading test reports, and many other methods. These components are then introduced or reintroduced into the


supply chain through multiple layers of suppliers or distributors, ob- scuring the origin of the parts. In one case, a supplier was selling gen- uine parts in small quantities, but counterfeit parts for larger orders, hiding the deception. To mitigate this risk, companies must be vigilant about where


components are sourced, especially as ongoing chip shortages leave vulnerability in the supply chain. Barcode scanning, RFID tags, elec- trical testing, and X-ray and visual inspection can help to detect counterfeits before they are built into products. One new method we highlight on our front page this month is a


deep learning approach that uses an array of embedded gold nanoparticles on a chip to detect tampering. The issue of counterfeit chips is a pervasive one, but with the cooperation of suppliers and manufacturers, and raising awareness of the problem, we can make the supply chain more immune to the dangers of fake chips. r


PUBLISHER’S NOTE


By Jacob Fattal Publisher


and technology to the best and brightest minds in the business who are making it happen. One sector we devoted a considerable amount of attention to this


The Show Goes On O


edition is the EMS industry. There are more than 2,500 such compa- nies in the United States and we highlight quite a few of them in our EMS section this month. The number of businesses in the EMS in- dustry has remained fairly constant over the last five years, with Cal- ifornia, Illinois and Texas sharing the majority. Despite the number remaining the same, the industry is chang-


ing rapidly. New manufacturing techniques and technology are push- ing the boundaries of electronic products. New forms of networking and factory analytics are allowing companies to squeeze ever more ef- ficiency out of their operations. Greater levels of automation are making it so that even smaller


companies can afford to compete in the marketplace, churning out de- vice after device. We are seeing many smaller contract manufactur- ers raise their profiles through a variety of strategies, including niche specialization, agility and flexibility, strong customer relationships, cost efficiency, quality control, R&D and innovation, local sourcing, custom solutions, and much more. The Fall is always a busy time, full of trade shows and exhibitions,


and this year is no exception. We recently covered The Battery Show in Detroit, and soon we head to SMTA International in Rosemont, Illinois. After that we head to the massive elec- tronica in Munich, which promises to be a spectacular event this year. Look for us at a trade show near you! r


ur October edition marks a turning point in the year, with on- ly one more edition of U.S. Tech to follow in 2024. We've cov- ered a lot this year, from the latest manufacturing equipment


ften very similar to the genuine article, counterfeit components are a significant challenge in electronics manufacturing. A plague on the industry, counterfeit components are imitation


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