Cover story
T
he prime goal of Environmental legislators everywhere is the prevention of waste in the first instance. Laws covering the reduction of waste, such as the Waste from Electrical and Electronic Equipment (WEEE) Directive (2012/19/EU) – and the UK’s Right-to-Repair Law introduced in
2021, are aimed at preventing the creation of WEEE; and the re-use and repair of end-equipment. A key element in being able to offer extended maintenance and service lives, is the longer-term availability of semiconductors. Rochester Electronics’ long-standing partnership with most of the world’s leading semiconductor companies supports installed equipment in applications such as Energy distribution, Transport, Industrial Controls, and Aerospace, allowing the original designs to continue unchanged. This is achieved by leveraging end-of-life (EOL) and obsolete finished goods inventory, licensed manufacturing, and authorised component replication. This model is the ultimate demonstration of waste prevention in practice and provides the market with an invaluable risk-free safety net in times of allocation. Since the worldwide supply chain of semiconductors works
“imperfectly” it has never been possible to match production output and demand absolutely across the industry. The cyclical waves of over-supply/under-supply have been a consistent feature of the market from the day semiconductors started to appear in mass-market goods.
What happens in times of surplus? In the past, surplus components were scrapped rather than allowing them to re-enter the market in a controlled manner. Many of the raw materials were recovered, but the sunk costs in the original component (in energy and resources), were lost. In addition, the recovery process is itself highly energy intensive and has a very poor carbon-footprint. Today, many of the world’s leading semiconductor
manufacturers have eliminated the scrapping of surplus components by engaging the services of an Authorised After- Market Distributor. Authorised After-Market sources such as Rochester
Electronics, receive all surplus stock and keep it within the authorised AS6496 “bubble”. As partners of the semiconductor manufacturers, they act as a trusted instant source of product when demand again starts to outstrip supply. In this way, the cyclical peaks and troughs of the market are smoothed, and Customers can keep production lines rolling. The second part of the legislation – the extension of equipment
“in-service” lives – demands increased component longevity. Market trends are clearly headed in the opposite direction.
Thirty years of mergers and acquisitions mean that there are fewer suppliers. Fab start-up costs for the latest geometries mean that the ability to invest is now the preserve of the very few. Component lifecycles are reducing.
Component Discontinuations present Customers, and Service
Providers with a stark choice: commit to the purchase of a Last- Time-Buy (LTB) quantity of parts to cover all future needs; and/ or re-design and re-qualify the end-product. A LTB purchase will be based on the best market forecasts available at the time. But what-if circumstances change, or in-service life is increased? Semiconductor manufacturers themselves, also struggle to
precisely match supply with LTB demand. Surpluses inevitably arise, and these also risk the possibility of scrap and waste. An Authorised After-Market Distributor and Licensed
Manufacturer can again provide a risk-free safety net to help protect against these uncertainties and reduce waste. Deep long-standing relationships with the world’s leading semiconductor manufacturers mean that Rochester Electronics receives billions of surplus EOL semiconductors each year. This authorised ready-to-ship stock provides a buffer against the uncertainties of the market and has allowed Customers to:
• Avoid production stops • Extend service-lives • Avoid re-designs and re-qualifications • Resurrect older designs to meet critical market demand.
In many cases, in addition to finished goods, surplus wafer/die,
test equipment, and tooling are also transferred allowing ongoing authorised production, sometimes 20-30 years after the original component EOL. The focus in the past has been on applications where
robustness and longevity are the prized attributes. Legislation such as WEEE and The-Right-to-Repair highlight a need for these attributes in components across a broader spectrum of applications and markets. This will require even deeper co-operation between Customers, Semiconductor manufacturers, and the After-Market Distributors to meet these new demands. Rochester Electronics is committed to the preservation of the
environment and compliance with all relevant environmental laws and regulations. We foster this commitment through the implementation of environmentally sustainable processes, pollution prevention, and a continual improvement focus on our manufacturing and distribution operations. In our efforts to preserve the environment and maintain
environmentally sustainable processes we are continuously reviewing our manufacturing inputs as well as outputs to ensure EPA compliance. Waste reduction is always a top priority. With new recycling programs in place, we can capture waste metals and remove them from the waste stream for recycling. Intensive chemical analysis is performed within our manufacturing program to optimize performance and reduce waste wherever possible. Rochester Electronics is here to keep businesses moving
toward a greener tomorrow.
www.rocelec.com
www.electronicsworld.co.uk March 2022 07
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