Non-traditional EMS markets make up larger portion of business for smaller EMS providers such as Benchmark Electronics, Plexus. Automotive, medical electronics believed to be pivotal components to helping EMS market out of the recession. Also, covers Foxconn, Hon Hai, Jabil Circuit, Flextronics, Sanmina-SCI, Celestica.
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Benchmarks & Best Practices
Breakdown of electronics end markets served by top EMS providers
View from the EMS corner office with VirTex Assembly Services
With 2008 sales of $22 million, VirTex serves the instrumentation; computing, medical, and industrial electronics…
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The EMS corner office project launches with Western Electronics’ Rob Subia
Western Electronics CEO Rob Subia talks about hiring, OEM customer trust, and more…
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Successful IP outsourcing with EMS / ODM providers
Most EMS and ODM providers understand that in order for them to keep their current business and to gain new customers, they have to ensure protection of their customer’s IP. As EMS and ODM providers add more value to …
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Semiconductor shortages pave road for China
Turns out we could be in for a long shortage in the semiconductor sector. Some analysts and investment bankers say one thing, semiconductor manufacturers and other analysts say another thing. Who is right? And, what has China got to do with this?
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EMS / ODM outlook, recovery tied to consumer electronics
Hon Hai and several ODMs investing in optoelectronics to take advantage of growing LED TV market. OEMs increasingly turn to third parties for product design. ODM sector increases share of overall electronics contract manufacturing revenues to 45%. EMS industry expected to grow consistently for next five years, with 8% CAGR, ODMs with slightly stronger CAGR of 9%.
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EMS assumptions and economic influences on EMS
EMS industry growth still largely tied to PC industry while over reliance on segment is significant concern for ODMs. Worldwide unemployment will creep up through 2010. Competition among EMS / ODMs will continue to keep prices and profit margins low leading to eroding ASPs that will continually challenge EMS and ODM providers.
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Mark Larson talks Digi-Key, semiconductors, electronics components, distribution
Larson says performance marketing is rapidly replacing relationship marketing. EMS providers and OEMs recognize committed inventory heavily buffered by uncommitted inventory. Semiconductor chips will continue to address increasingly specific needs of customers. Market forces putting severe competitive pressures on local distributors forcing re-analysis of business models.
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H-1B Visas and maintaining foreign workers on- and off-site
Technology companies rely on international workers across global locations and are the largest users of degreed professionals from other countries. Read about the impact of foreign workers. How do foreign workers influence your organization?
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Electronics distribution executives reveal supply chain insight
Improving product mix slows average selling price (ASP) erosion. Distributors and suppliers may be gaining pricing power. Systems distribution industry should grow faster in 2010 than historical 4% to 6% growth rate. Electronics components distributor Avnet experiencing customers offering to pay for better allocation.
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