The counterfeiting market has grown out of control and infiltrated all areas including the electronic components industry. This White Paper will unveil the risks involved and the financial and economic implications.
Counterfeit parts prevention kristal snider and kevin beardKristal Snider
The document discusses counterfeit parts prevention and the role of industry standards like AS9100 and AS5553. It provides an overview of the counterfeit parts problem, how they enter the supply chain, their impact, and industry efforts to address it. Key points discussed include the definition of counterfeit parts, their origins in the e-waste industry in China, methods of entry into the supply chain, effects on the military, and the role of organizations like G-19 and standards like AS5553 in preventing counterfeits. It also examines how counterfeit part prevention can be audited under the AS9100 quality standard.
The document summarizes top news stories from the Daily Open Source Infrastructure Report dated June 7, 2013. It discusses the takedown of 1,000 botnets created by the Citadel malware, a Target pharmacist in California possibly exposing customers to Hepatitis A, and testimony to Congress that at least eight foreign organizations have hacked into Veterans Affairs computer networks. It also briefly mentions a building collapse in Philadelphia that killed six people.
The Disaster at Bhopal
On the night of December 2, 1984, a leak developed in a storage tank at a Union Carbide chemical plant in Bhopal, India. The tank contained 10,000 gallons of methyl isocyanate (MIC), a highly toxic chemical used in the manufacture of pesticides, such as Sevin. The leak sent a toxic cloud of gas over the surrounding slums of Bhopal, resulting in the death of over 2,000 people, and injuries to over 200,000 more.
Este documento presenta los objetivos y contenidos de una unidad académica sobre tecnologías de gestión. Los propósitos de la enseñanza son apropiarse de teorías y herramientas de los procesos de gestión y generar estrategias didácticas efectivas. Los contenidos se estructuran en seis ejes temáticos: las organizaciones, la gestión de producción, la gestión de comercialización, la gestión de compras, la gestión financiera y de control, y la gestión de recursos humanos. Se recomienda un en
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This document summarizes information presented at a student life forum for parents and students. It provides an overview of key departments and services available to students, including residence life, dining, athletics, recreation, counseling, health services, and more. Contact information and brief descriptions are given for each area. Frequently asked questions from parents are also addressed. The goal is to orient parents and students to student life resources and support at the university.
El documento discute el enfoque sistémico. Explica que un sistema consiste en un conjunto de elementos que interactúan dinámicamente y que pueden clasificarse como abiertos o cerrados dependiendo de su vinculación con el entorno. El enfoque sistémico sirve como guía para interrogarse sobre el comportamiento de un sistema desde perspectivas diferenciadora e integradora. Permite organizar conocimientos y realizar acciones de manera más eficaz.
Counterfeit parts prevention kristal snider and kevin beardKristal Snider
The document discusses counterfeit parts prevention and the role of industry standards like AS9100 and AS5553. It provides an overview of the counterfeit parts problem, how they enter the supply chain, their impact, and industry efforts to address it. Key points discussed include the definition of counterfeit parts, their origins in the e-waste industry in China, methods of entry into the supply chain, effects on the military, and the role of organizations like G-19 and standards like AS5553 in preventing counterfeits. It also examines how counterfeit part prevention can be audited under the AS9100 quality standard.
The document summarizes top news stories from the Daily Open Source Infrastructure Report dated June 7, 2013. It discusses the takedown of 1,000 botnets created by the Citadel malware, a Target pharmacist in California possibly exposing customers to Hepatitis A, and testimony to Congress that at least eight foreign organizations have hacked into Veterans Affairs computer networks. It also briefly mentions a building collapse in Philadelphia that killed six people.
The Disaster at Bhopal
On the night of December 2, 1984, a leak developed in a storage tank at a Union Carbide chemical plant in Bhopal, India. The tank contained 10,000 gallons of methyl isocyanate (MIC), a highly toxic chemical used in the manufacture of pesticides, such as Sevin. The leak sent a toxic cloud of gas over the surrounding slums of Bhopal, resulting in the death of over 2,000 people, and injuries to over 200,000 more.
Este documento presenta los objetivos y contenidos de una unidad académica sobre tecnologías de gestión. Los propósitos de la enseñanza son apropiarse de teorías y herramientas de los procesos de gestión y generar estrategias didácticas efectivas. Los contenidos se estructuran en seis ejes temáticos: las organizaciones, la gestión de producción, la gestión de comercialización, la gestión de compras, la gestión financiera y de control, y la gestión de recursos humanos. Se recomienda un en
Las Bardenas Reales es una zona protegida situada en Navarra, España. Consiste en una reserva natural dividida en zonas núcleo, tampón y de transición con características naturales como flora y fauna únicas. También tiene características culturales como estar rodeada por varias localidades. Ofrece visitas guiadas, rutas a pie y en bicicleta de montaña, y limita el acceso de vehículos para proteger el paisaje y la vida silvestre.
This document summarizes information presented at a student life forum for parents and students. It provides an overview of key departments and services available to students, including residence life, dining, athletics, recreation, counseling, health services, and more. Contact information and brief descriptions are given for each area. Frequently asked questions from parents are also addressed. The goal is to orient parents and students to student life resources and support at the university.
El documento discute el enfoque sistémico. Explica que un sistema consiste en un conjunto de elementos que interactúan dinámicamente y que pueden clasificarse como abiertos o cerrados dependiendo de su vinculación con el entorno. El enfoque sistémico sirve como guía para interrogarse sobre el comportamiento de un sistema desde perspectivas diferenciadora e integradora. Permite organizar conocimientos y realizar acciones de manera más eficaz.
Este documento presenta información sobre la empresa Concesionaria Ford E.B., incluyendo su historia, evolución, clasificación, producción, visión, misión, objetivos, estrategias y organización. Explica que la empresa es una concesionaria oficial de Ford que comercializa vehículos y repuestos de la marca, brindando también servicios de garantía y posventa. Además, resume brevemente la historia de Ford en Argentina y la producción del primer Falcon nacional.
La Reserva de la Biosfera del Montseny se encuentra entre Barcelona y Gerona, en la Cordillera Prelitoral Catalana. Cubre un área de 50,167 hectáreas y contiene tres grandes conjuntos montañosos: El Turo de l'Home, Les Agudes y El Matagalls. Alberga diversos hábitats como alcornocales, encinares y bosques aluviales, así como especies de flora y fauna únicas. Ofrece varios programas y recorridos públicos para el disfrute y aprendizaje de la naturaleza
The document discusses the results of a study on the effects of exercise on memory and thinking abilities in older adults. The study found that regular exercise can help reduce the decline in thinking abilities that often occurs with age. Older adults who exercised regularly performed better on cognitive tests and brain scans showed they had greater activity in important areas for memory and learning compared to less active peers.
Su iniziativa della Grande Distribuzione e/o di altri Gruppi portatori di Interessi (Associazioni di produttori, Associazioni di scopo, ecc.), negli anni si sono diffusi vari Standards che, a diverso titolo e con modalità in alcuni casi similari, hanno concentrato il loro focus sugli aspetti legati alla gestione della sicurezza Alimentare.
Alt pirineu i les illes medes equipamentssheilacirach
El documento proporciona información sobre el Parque Natural Alt Pirineu i Les Illes Medes en Cataluña. Describe las características, vegetación, fauna e itinerarios del Parque Natural Alt Pirineu, así como de las islas Medes. También enumera los equipamientos e instalaciones disponibles, como oficinas de información, centros de interpretación, áreas de recreo, miradores y refugios. Finalmente, detalla las actividades de ocio, naturaleza, culturales y deportivas que se pueden realizar en ambos espacios naturales.
irsyet utx h g i7yurbyg75b fcyrbnyd6r 7btf gftn yifiuontc fygby gu9vf7tbn gbuyc ty h ty8ytvg gfyv jt v fy g fbv fy h vb g bg b iugvhb gf vhk tiun hug vbguuiygv g hhjgcj gfc
Counterfeiting and Semiconductor Value Chain Economics by Mr. Rory King - IH...Rory King
Counterfeit parts have proliferated dramatically in recent years, presenting huge challenges for electronics manufacturing and specifically military and aerospace application. This session will offer unique new market trends, observations, and best practices on the issue of economics, semiconductor value chains, obsolescence, counterfeit electronics, and market impacts such as fact-based insight into market indicators like correlation among counterfeits, semiconductor factory utilization, component obsolescence, semiconductor availability, price volatility, and supply-and-demand equilibrium.
Counterfeiting and Semiconductor Value Chain Economics - COG 2013, Mr. Rory KingIHS
Supply Chain Risk Insight into Market Sense and Respond Actions of Counterfeiters
Rory King
Global Director, Supply Chain, IHS Inc.
Counterfeit parts have proliferated dramatically in recent years, presenting huge challenges for electronics manufacturing and specifically military and aerospace application. This session will offer unique new market trends, observations, and best practices on the issue of economics, semiconductor value chains, obsolescence, counterfeit electronics, and market impacts such as fact-based insight into market indicators like correlation among counterfeits, semiconductor factory utilization, component obsolescence, semiconductor availability, price volatility, and supply-and-demand equilibrium.
Counterfeiting is not a new term for electronic industry as counterfeit electrical and electronic products now occupy second place after pharmaceuticals estimated to range anywhere between US$11 billion to $20 billion worldwide
every year. However, counterfeit electronic parts have been much in the public eye in recent weeks. On March 28, 2014 one of Indian Air Force Aircraft (C-130J Super
Hercules) crashed near Gwalior city killing five crew members. There were controversial news reported
in media about the counterfeit electronics being the reason for C-130J air crash. Over the past several years the electronics industry has seen a marked increase in the
availability of counterfeit electronic components. Counterfeiters have attacked every commodity of electronics, from simple components such as capacitors,
to complex integrated circuits such as microprocessors. In expensive commercial devices, as well as high cost military components, have seen counterfeiting on the rise. This article highlights the serious risk, its impact and the possible proactive steps that can be taken to curb this menace.
Electronics are built everywhere and they are big business. Counterfeit electronic components have become a significant problem that affects the whole electronics supply chain, down to the end product. There are some underused tools that can help manufacturers fight product piracy. IECQ is one of them.
Wearable Electronic Medical Devices: What Fails & Why?Cheryl Tulkoff
What are the requirements of wearable electronic medical devices? They must be non-restrictive, portable, always accessible, easily controllable, and have both localized communication and possibly wireless communications capabilities.
Wearable medical electronics falls into the categorization of “Next Generation Technologies”, technologies the supply chain or the user will implement because they are cheaper, faster, and stronger. One of the most common drivers for failure is inappropriate adoption of these new technologies. Since most designers have little or no influence over the packaging technologies chosen for implementation, awareness of the pitfalls and what actions need to be taken to assure that the new technologies are reliable is critical. With these new medical electronics, there are several issues that need to be addressed from a reliability perspective to assure these applications are both safe and reliable.
Some of the challenges that will be discussed included failures due to new device packaging, environmental conditions like sweat, UV & temperature exposure, tumble & drop, bending and torque, and the inevitable water immersion. The implications of RF ID and battery life are also explored.
The document provides guidance on avoiding, detecting, and mitigating counterfeit parts. It defines counterfeit parts and outlines the problem of counterfeiting according to industry standards and government reports. The document describes how counterfeit parts enter the supply chain and methods used to counterfeit parts, such as re-marking and using recycled components. It recommends inspection and testing strategies to reduce counterfeit risks.
1. Dell responded quickly to the laptop battery crisis, notifying customers of the recall and setting up a website for safe replacements.
2. It worked with safety authorities to monitor the situation and assured customers of the products' safety to maintain trust.
3. Sony took longer to acknowledge the problem and execute a large global recall, hurting its reputation and profits in the process.
The document discusses observations from experiences detecting counterfeit electronic components. It finds that industry inspection methods are designed to verify authentic parts, not detect counterfeits. Many counterfeit cases trace back to sources in China through independent distributors. Effective detection requires visual, documentation, and electrical testing methods tailored to uncover various counterfeiting techniques like remarking, refurbishing, and bogus documentation. Authentic parts may show signs of prior testing or poor storage, so additional validation is needed to ensure reliability.
Use Anti-Counterfeit Tech as Fatal Weapon to Combat Fakes in Electronics Indu...Alfons Futterer
Get insights into the latest traceability and brand protection technologies on Electronic industry
Through this webinar presentation you’ll learn about:
- Current situation and trends in Consumer Electronics
- Customized anti-counterfeiting solutions...
Basic awareness for the transport of lithium batteries by air, this introduction will get you started.
For assistance and to organise a lithium battery seminar for your personnel or clients or to book training on the safe transport of lithium batteries by air, visit www.professionaltraining.co.za
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La Reserva de la Biosfera del Montseny se encuentra entre Barcelona y Gerona, en la Cordillera Prelitoral Catalana. Cubre un área de 50,167 hectáreas y contiene tres grandes conjuntos montañosos: El Turo de l'Home, Les Agudes y El Matagalls. Alberga diversos hábitats como alcornocales, encinares y bosques aluviales, así como especies de flora y fauna únicas. Ofrece varios programas y recorridos públicos para el disfrute y aprendizaje de la naturaleza
The document discusses the results of a study on the effects of exercise on memory and thinking abilities in older adults. The study found that regular exercise can help reduce the decline in thinking abilities that often occurs with age. Older adults who exercised regularly performed better on cognitive tests and brain scans showed they had greater activity in important areas for memory and learning compared to less active peers.
Su iniziativa della Grande Distribuzione e/o di altri Gruppi portatori di Interessi (Associazioni di produttori, Associazioni di scopo, ecc.), negli anni si sono diffusi vari Standards che, a diverso titolo e con modalità in alcuni casi similari, hanno concentrato il loro focus sugli aspetti legati alla gestione della sicurezza Alimentare.
Alt pirineu i les illes medes equipamentssheilacirach
El documento proporciona información sobre el Parque Natural Alt Pirineu i Les Illes Medes en Cataluña. Describe las características, vegetación, fauna e itinerarios del Parque Natural Alt Pirineu, así como de las islas Medes. También enumera los equipamientos e instalaciones disponibles, como oficinas de información, centros de interpretación, áreas de recreo, miradores y refugios. Finalmente, detalla las actividades de ocio, naturaleza, culturales y deportivas que se pueden realizar en ambos espacios naturales.
irsyet utx h g i7yurbyg75b fcyrbnyd6r 7btf gftn yifiuontc fygby gu9vf7tbn gbuyc ty h ty8ytvg gfyv jt v fy g fbv fy h vb g bg b iugvhb gf vhk tiun hug vbguuiygv g hhjgcj gfc
Counterfeiting and Semiconductor Value Chain Economics by Mr. Rory King - IH...Rory King
Counterfeit parts have proliferated dramatically in recent years, presenting huge challenges for electronics manufacturing and specifically military and aerospace application. This session will offer unique new market trends, observations, and best practices on the issue of economics, semiconductor value chains, obsolescence, counterfeit electronics, and market impacts such as fact-based insight into market indicators like correlation among counterfeits, semiconductor factory utilization, component obsolescence, semiconductor availability, price volatility, and supply-and-demand equilibrium.
Counterfeiting and Semiconductor Value Chain Economics - COG 2013, Mr. Rory KingIHS
Supply Chain Risk Insight into Market Sense and Respond Actions of Counterfeiters
Rory King
Global Director, Supply Chain, IHS Inc.
Counterfeit parts have proliferated dramatically in recent years, presenting huge challenges for electronics manufacturing and specifically military and aerospace application. This session will offer unique new market trends, observations, and best practices on the issue of economics, semiconductor value chains, obsolescence, counterfeit electronics, and market impacts such as fact-based insight into market indicators like correlation among counterfeits, semiconductor factory utilization, component obsolescence, semiconductor availability, price volatility, and supply-and-demand equilibrium.
Counterfeiting is not a new term for electronic industry as counterfeit electrical and electronic products now occupy second place after pharmaceuticals estimated to range anywhere between US$11 billion to $20 billion worldwide
every year. However, counterfeit electronic parts have been much in the public eye in recent weeks. On March 28, 2014 one of Indian Air Force Aircraft (C-130J Super
Hercules) crashed near Gwalior city killing five crew members. There were controversial news reported
in media about the counterfeit electronics being the reason for C-130J air crash. Over the past several years the electronics industry has seen a marked increase in the
availability of counterfeit electronic components. Counterfeiters have attacked every commodity of electronics, from simple components such as capacitors,
to complex integrated circuits such as microprocessors. In expensive commercial devices, as well as high cost military components, have seen counterfeiting on the rise. This article highlights the serious risk, its impact and the possible proactive steps that can be taken to curb this menace.
Electronics are built everywhere and they are big business. Counterfeit electronic components have become a significant problem that affects the whole electronics supply chain, down to the end product. There are some underused tools that can help manufacturers fight product piracy. IECQ is one of them.
Wearable Electronic Medical Devices: What Fails & Why?Cheryl Tulkoff
What are the requirements of wearable electronic medical devices? They must be non-restrictive, portable, always accessible, easily controllable, and have both localized communication and possibly wireless communications capabilities.
Wearable medical electronics falls into the categorization of “Next Generation Technologies”, technologies the supply chain or the user will implement because they are cheaper, faster, and stronger. One of the most common drivers for failure is inappropriate adoption of these new technologies. Since most designers have little or no influence over the packaging technologies chosen for implementation, awareness of the pitfalls and what actions need to be taken to assure that the new technologies are reliable is critical. With these new medical electronics, there are several issues that need to be addressed from a reliability perspective to assure these applications are both safe and reliable.
Some of the challenges that will be discussed included failures due to new device packaging, environmental conditions like sweat, UV & temperature exposure, tumble & drop, bending and torque, and the inevitable water immersion. The implications of RF ID and battery life are also explored.
The document provides guidance on avoiding, detecting, and mitigating counterfeit parts. It defines counterfeit parts and outlines the problem of counterfeiting according to industry standards and government reports. The document describes how counterfeit parts enter the supply chain and methods used to counterfeit parts, such as re-marking and using recycled components. It recommends inspection and testing strategies to reduce counterfeit risks.
1. Dell responded quickly to the laptop battery crisis, notifying customers of the recall and setting up a website for safe replacements.
2. It worked with safety authorities to monitor the situation and assured customers of the products' safety to maintain trust.
3. Sony took longer to acknowledge the problem and execute a large global recall, hurting its reputation and profits in the process.
The document discusses observations from experiences detecting counterfeit electronic components. It finds that industry inspection methods are designed to verify authentic parts, not detect counterfeits. Many counterfeit cases trace back to sources in China through independent distributors. Effective detection requires visual, documentation, and electrical testing methods tailored to uncover various counterfeiting techniques like remarking, refurbishing, and bogus documentation. Authentic parts may show signs of prior testing or poor storage, so additional validation is needed to ensure reliability.
Use Anti-Counterfeit Tech as Fatal Weapon to Combat Fakes in Electronics Indu...Alfons Futterer
Get insights into the latest traceability and brand protection technologies on Electronic industry
Through this webinar presentation you’ll learn about:
- Current situation and trends in Consumer Electronics
- Customized anti-counterfeiting solutions...
Basic awareness for the transport of lithium batteries by air, this introduction will get you started.
For assistance and to organise a lithium battery seminar for your personnel or clients or to book training on the safe transport of lithium batteries by air, visit www.professionaltraining.co.za
This document discusses electronic waste (e-waste) and its management. It defines e-waste as discarded electronic devices near the end of their useful lives. E-waste production is estimated at 20-50 million tons annually worldwide and is growing rapidly due to technology advances. E-waste contains both hazardous and non-hazardous components, including toxic substances like mercury, lead, and cadmium. Improper e-waste disposal can harm human health and the environment. The document examines the sources and composition of e-waste and the toxic substances within, as well as the need for better e-waste management by governments, producers, and consumers globally.
1. Dell determined the cause was a contaminated battery from supplier Sony and executed a costly but safety-focused recall of over 4 million laptop batteries.
2. It worked closely with regulators to announce the recall and set up a website to help customers check if their units were affected.
3. Dell assured customers that replacement batteries would be safe, prioritizing people's safety and protecting its reputation.
This document discusses the topic of computer ethics. It defines computer ethics as the study and analysis of the natural and social impacts of computer technology, and the formulation of policies for the ethical use of computers. It notes that as computer usage has increased, it has raised moral issues regarding free speech, privacy, intellectual property, and physical and mental harm. It then examines various types of ethical issues, including computers being used for unethical acts like privacy breaches or fraud, and computers themselves being the target of unethical hacking or virus spreading. It also discusses problems related to computers' autonomous nature, such as security risks and the potential loss of human life through errors in automated defense systems.
ELECTRONICS INDUSTRY STUDY REPORT - Semiconductors and Defense ElectronicsSVCAVET
WHERE Globalization started:
National Defense University, The Industrial College of the Armed Forces, Washington, DC, 20319
ABSTRACT: The commercial semiconductor industry is characterized by fierce competition, large fluctuations in demand, increasing performance, and falling prices. Defense electronics has become a miniscule part of the semiconductor industry (less than 1%), but is essential to national security. However, U.S. commercial and defense semiconductor production is losing ground. The industry faces a number of challenges, including: rising capital costs, rapidly evolving technology, future workforce shortages, increasing offshore design and production, infringement of intellectual property rights, and ineffective export controls that hinder U.S. global competitiveness.
++ Globalization and the rise of the Asia-Pacific region
CONCLUSIONS:
The semiconductor industry and the defense electronics industry are inextricably linked. Every new weapons system in production will rely on semiconductors as its core component. A healthy, robust, and leading edge semiconductor industry is essential for defense needs and indeed for all elements of national security. Several broad conclusions can be drawn from our study.
• There is growing concern regarding the offshore flight of intellectual capital and semiconductor production facilities. Some argue that the ability of the U.S. to maintain access to cutting-edge technology will be adversely affected. The decline of technical talent among U.S. students contributes to these concerns.
Student 1
Jill Student
Professor Elliott-White
English 111-0011
31 March 2015
Banning E-waste
It is estimated that over 84 million broken or obsolete television, 200 million phones, and millions of computers and electronic devices sit collecting dust in homes, garages, attics, and basements (Infotrac Newsstands). Imagining a world in which no computers, cell phones, or televisions existed is not an easy task because the world has become fast paced complete with sophisticated electronic devices to match. Rapid technological innovations are rendering most electronic devices obsolete quicker than ever and creating a littered urban picture filled with the carcasses of the digital age called e-waste. E-waste is a generic term covering a variety of electronic devices that are nearing their end of life cycle and are discarded, donated, or given up to be recycled and is classified as the fastest growing part of global waste streams. The Environmental Protection Agency, or the EPA, estimates that the United States produces about 2.37 million tons of e-waste annually of which only about 25% of that is recovered with the remainder finding their final resting place in landfills. When considering the imminent danger of e-waste, there is a clear need to ban the flow of e-waste exports from the United States to developing nations due to the importance of ensuring that e-waste exports do not threaten national security, the strategic interest in recovering valuable materials, and the toll that it is taking on human health and the environment.
With the advancements in technology, also comes the advancements in counterfeit techniques which creates a potential for threats against national security. Counterfeit chips have been discovered not only in military equipment, but also government entities, that were refurbished from old e-waste and then sold to the United States. The counterfeit technology now has the potential to cause equipment failure and malfunction (Olds). Not only is it costly to remove malware, but also the man hours needed to remove any affected devices can be time consuming and expensive. In addition to counterfeit chips, there is evidence of fake routers being sold to all branches of the military, again in the form of refurbished and recycled e-waste components, which not only puts the government at risk but also the military (Olds). Secret information within the government and military could be at threat for espionage due to the fake routers which could then be accessed and exploited. There are multiple reports that state the majority of fake materials stem from plants located in China, specifically Guiyu which is a leading e-waste recycling plant (Olds). With a ban on e-waste exports, potential foreign enemies wouldn’t have access to government and military electronic devices that may not have been wiped cleaned before being discarded because the devices would all be recycled and refurbished within the national borders thus significantl.
Era of Artificial Intelligence Lecture 3 Pietro LeoPietro Leo
This document summarizes a lecture by Pietro Leo on artificial intelligence. Some key points discussed include:
- AI can help industries like agriculture, automotive, and healthcare. For agriculture, precision agriculture using AI is discussed.
- For science, big data acts as a microscope for the 21st century, enabling analysis like wine DNA tracing. Mapping the microbiome can also help protect from harmful bacteria.
- Digital twins of farms can help share insights and data to help farming. AI sensors may also detect foodborne pathogens at home.
- In automotive, self-driving vehicles are discussed as well as predictive maintenance using cloud, AI and connected cars. Damage assessment systems can also help standardize
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1.
1
Beware! Counterfeit Components Put Safety and
Security at Risk
Summary
Introduction...................................................................................................................................2
Counterfeit Electronic Components – Facing the Industry Hazard ..............................................3
Mechanical risks with counterfeit components.............................................................................4
Electrical risks with counterfeit components ................................................................................6
Detecting counterfeit products in the supply chain......................................................................8
Financial and Economic Implications...........................................................................................9
Summary.....................................................................................................................................11
References .................................................................................................................................12
2.
2
Introduction
Counterfeiting, or the knowing misrepresentation of a trademarked product, has been a part of
the worldwide economy for hundreds of years. When an inventor or designer comes up with a
reputable product they will sell that product at a price that helps them to recoup their
investment, however, many people worldwide who cannot afford the true market value of the
product will look for a cheaper alternative creating a large opportunity for unscrupulous
counterfeiters. While we may be familiar with the notion of traveling to a third world country to
find cheap knock-offs for handbags, Hollywood movies and electronics; few people realize the
true far-reaching prevalence the issue of counterfeiting has on all markets worldwide including
the electronic components industry. The counterfeiting market has grown out of control and
infiltrated all areas of our personal and professional lives putting our very safety and well being
at risk.
A pivotal case in the medical industry brings to light the risk that counterfeiters bring to all
industries. Cancer treatments depend on carefully formulated protocols that maintain the
correct levels of active ingredients in a person’s system to be effective but when these
protocols are not followed the results can be deadly. Such was the case for one woman who
was diagnosed with cancer in 1998 named Maxine Blount who underwent a two-phase therapy
of chemo and recovery treatment. The initial phases of the treatment protocol were highly
successful and M. Blount was able to go about her life and maintain a good quality of life,
however, in 2002 the treatment protocol she had been following suddenly stopped working
and she lost control of the cancer and passed away.1
An investigation revealed that the drug
she took only had 5% of the required active ingredients for successful treatment. Additionally,
the drug had been purchased from a reputable pharmacy showing how counterfeit products
are starting to infiltrate even reputable chains and businesses.
This case was heard by the United States congressional commission and launched a variety of
initiatives to protect consumers and businesses at all levels from the risk counterfeit products
and components bring to the market in all market segments throughout the world.
The issue with counterfeits extends well beyond the medical field and has infiltrated every
aspect of our lives making everyday items suspect. For example, counterfeit materials in
shampoos have been contaminated with bacteria from counterfeit ingredients made with
substandard production processes resulting in infections and hair loss for unsuspecting users.
Children’s clothing and costumes that were purportedly made with flame retardant materials
were unknowingly fabricated with counterfeit materials and caused children to be injured.
Counterfeit toys are a popular item with parents who want to provide their children with the
most popular toys, but instead buy cheap knockoffs that are constructed with inferior materials,
which then break or shatter causing injury. The automotive industry has been victim to
counterfeit parts as well with the best-known examples being brake pads that have resulted in
drivers and passengers being killed with pads did not function.2
Counterfeits are everywhere
1
“The Fake and the Fatal: The Consequences of Counterfeits”, Kevin Lewis, The Park Place Economist,
Volume XVII, https://www.iwu.edu/economics/PPE17/lewis.pdf
2
“The Facts on Fakes”, Adele R. Meyer, 2015 NARTS: The Association of Resale Professionals,
http://www.narts.org/i4a/pages/index.cfm?pageid=3313
3.
3
and they have inundated our lives from the foods we eat to the vehicles we drive, no industry is
sacred, including the electronics industry.
But what is the true risk to our industry and why should we be concerned?
Counterfeit Electronic Components – Facing the Industry Hazard
The issue of counterfeiting components has come to the forefront in recent years, as the public
has become more aware of the risks that counterfeited parts bring to unsuspecting users.
There are many real and anecdotal stories that have become popular highlighting the risks but
unfortunately, there is little to no quantitative data showing the true risk that we are facing in the
industry. Many times, when catastrophe strikes, the evidence remaining is so inadequate that it
is difficult to pinpoint the exact cause, which is when the anecdotal evidence arises, that
counterfeit components could have contributed to the issue.
The issues facing the manufacturing industry are real and they are inundating all industries
from the small commercial components sector to high-end semiconductor industries and even
the military. Unfortunately, we may not know the entire truth and we go about our lives trusting
that the electronics we deal with on a day to day basis will be there for us and operate reliably,
when in reality they could be a ticking time bomb waiting to malfunction when put to the test.
Counterfeit components lack the traceability of their authentic counterparts and as a result
manufacturers do not truly know where these components originated. They could be older,
legitimate versions of the part itself and have undergone reprocessing making them highly
suspect in quality or they could be legitimate fakes that counterfeiters are trying to pass off as
real.
Despite the best efforts of our engineering and purchasing departments, it is still possible to
contaminate otherwise good components with counterfeit ones. Counterfeiting is a very
lucrative industry and those who take advantage of this this illegal market have developed
many ways to make their counterfeit components appear identical to the real thing.
The Senate Armed Services Committee of the United States has published numerous reports
regarding problems caused by counterfeit parts inundating the industry and being built into
military weapons, aircraft and other military vehicles and transports. For example, the Navy, in
partnership with the Boeing Corporation, found defective hardware on the P-8 Poseidon, a
large aircraft utilized by the armed forces. In this case, a counterfeit electronic part was
identified in the ice detection system, which will alert pilots when ice is present on the aircraft.3
The part was traced back to a P-8 subcontractor who had been sold refurbished parts. The
part had been removed from obsolete electronics, relabeled and resold as new to the
unsuspecting supplier, which put the entire airplane, and its future passengers at risk.
3
Counterfeit Parts Found on P-8 Posiedons, John Reed, November 8, 2011, DefenseTech Where
Technology & Defense Intersect, Military.com, http://defensetech.org/2011/11/08/counterfeit-parts-
found-on-new-p-8-posiedons/
4.
4
This is just the tip of the iceberg when it comes to the illegal counterfeit component industry
that is present and active in the industry.
There are two primary technology risks that the electronics industry faces when dealing with
counterfeit components. The first risk is to the mechanical integrity of the counterfeit
component and whether or not the component will be mechanically sound under the potentially
stringent conditions faced in the field. The second risk is to the electrical functionality.
Reprocessing within the counterfeit operation can easily compromise the electrical integrity of
the component. The component may have easily been compromised based on the intensive
processing these counterfeit components face when being repurposed and relabeled for
resale. The additional processing and obviously illegal actions by counterfeiters are placing
people’s lives at risk from a variety of different failures in the field.
Mechanical risks with counterfeit components
As technology advances worldwide, a whole different form of waste has developed called ‘e-
waste’. E-waste or electronic waste are broken, outdated and discarded electronics that no
longer contain the latest and greatest technology. These outdated electronics are broken down
and stripped of all their components for repurposing. Components are unsoldered from printed
circuit boards (PCBs) and then processed using any combination of sanding, acid baths and
relabeling to remove any identifying features from the component. Leads are straightened or
reattached; components are re-balled and baked to prepare them for manufacturing making
them candidates for sale to unsuspecting manufacturers and component suppliers as brand
new parts.
The processing on these parts has become so sophisticated it is not always apparent to the
naked eye that these components are counterfeit without doing detailed analysis. Consider the
below image, on the top is the legitimate component showing the smooth patterns on the
surface of the component in the grain structure of the material. The picture on the bottom
shows the grain structures that have been damaged as a result of processing for sale as a
counterfeit.
From the initial look, the two components could be legitimate (despite the box around the
labeling) however, with further analysis under the miscroscope you can see that these
components are actually different and have received all sorts of reprocessing making their
Surface
structure
analysis
of
counterfeit
component
5.
5
quality levels highly suspect to the unknowing purchaser. The component at the bottom has
been processed and relabeled making the component suspect. Reprocessing steps do not
follow proper manufacturing processes or protect the component from electro-static discharge
(ESD) damage, which means the integrity of the component could be compromised.
Mechanical processing and abrasive handling also damages the component making it
mechanical suspect as well.
Another example of the risks around
counterfeit components can be seen
when you consider the processing that
these components endure when being
prepared and remanufactured for sale.
Consider a processor that has been
removed from a circuit board in order to
be resold. In today’s markets many
processors use a land grid array (LGA) or pin grid array (PGA)
interconnect when can be easily removed from the circuit board and resold. However, these
two types of interconnects rarely make it to these counterfeiters but instead the low-end
processors with a ball grid array (BGA) travel with the circuit
boards to the electronic junkyards. Once these processors
are identified the first step is to remove them from the printed
circuit board (PCB) using a selective reflow process, which
heats the BGA joints to reflow temperature allowing the
operator to remove the component from the board. Next, the
component is reheated again and the leftover solder is wicked
away to prep the interface for re-balling. Solder paste is then
printed, often by hand, onto the processor and solder balls are
then placed on the paste prior to reflowing again to attach the
solder balls. The remanufactured components are then
packaged and resold with unknown quality levels due to the number of heat cycles the
components have received. Numerous studies have shown that these components will have
substandard quality levels once they are manufactured.
One study4
that was conducted when the industry faced the conversion to Pb-free solders and
materials within all products looked at key mechanical performance characteristics, especially,
shock resistance in electronic components. Part of the study analyzed the reprocessing
processes that impact mechanical performances especially the decrease in shock resistance
each time a BGA component is re-balled. The re-balling process results in BGA joints that were
significantly lower quality than their non-reworked counterparts.
The study utilized BGA components with pitches at .8 mm and began by analyzing the
manufacturing processes and their key characteristics within the processes. (Note – this study
4
Re-balled Ball Grid Array Reliability Under Shock and Vibration, Joelle Arnold, Dr. Nathan Blattau, DfR
Solutions, www.dfrsolutions.com, http://www.dfrsolutions.com/wp-content/uploads/2012/06/Reballed-
Ball-Grid-Array-Reliability-Under-Shock-and-Vibration.pdf
PGA
form
factor
component
showing
the
pins
that
form
the
interconnect
with
the
socket
on
the
PCB.
LGA
component
showing
the
pads
on
the
bottom
side
of
the
component.
BGA
showing
the
solder
balls
that
will
be
soldered
to
the
printed
circuit
board
forming
the
interconnect.
6.
6
was not completed using counterfeit components but instead was conducted using known
good parts to remove one potential variable from the results.) Once the test process was
identified they completed the re-balling process and conducted x-ray, thermal cycling, cross
section, vibration, and shock testing to determine the resulting capabilities of the re-balled
components. The testing conducted was part of the standard qualification processes used by
major manufacturers to qualify their products and utilized similar stresses.
The results of the testing showed the following summary
results:
• X-ray inspection showed increased solder voids due
to the presence of flux in the solder paste process
• Cross-section of the solder joints showed differences
in thickness of the joints and overall consistency in the
grain structure
• Thermal cycling showed no significant difference in
time to failure for the joints
• Vibration testing showed that re-balled components
perform in a variety of different manners and depend on the capability of the person
who completed the re-balling process (skilled re-ballers components performed better
than less skilled counterparts)
• Shock testing showed similar results where drops to
failure depended on the capability of the re-baller
Each of these performance criteria’s are critical to the high
quality performance of electrical components in the industry
and demonstrate the mechanical risk faced by counterfeit
components that have been released into the market.
Electrical risks with counterfeit components
Imagine the flight you were about to board had been built using counterfeit components and
even if they had previously met the outgoing quality inspections implemented by the
manufacturer these airplanes were flying time bombs.
The real question is when would these counterfeit components fail?
The simple reality is that components are designed to withstand a certain amount of time under
a specified set of use conditions and when those conditions are exceeded failures can occur.
A multitude of failures can be caused by exceeding the useful life of the part, improper
Solder
voids
seen
during
cross
section
–
Credit
DfR
Solutions
Pad
cratering
caused
by
excessive
mechanical
stress
on
the
solder
joint
7.
7
processing and dubious production controls counterfeit components must endure before they
are resold.5
Below is a list of potential failure mechanisms that electrical components may present when
supplied by counterfeit sources:
• Corrosion within the component from element
exposure and processing can directly impact the
internal electronics and change the electrical level
within the part
• Excessive thermal cycling can stress the internal
gates within the component and cause it malfunction
electrically
• Mechanical processing including both sanding and
grinding damage the internal and external circuitry
• ESD and static electricity impairment can damage or destroy the component
• Thermal stress will reduce the remaining life in the component shortening its usefulness
• Shock and vibration over time will place stress on the component causing fatigue and
deterioration in performance
Each of these factors is carefully controlled in the electronics manufacturing environment to
ensure that latent issues, or problems that will greatly reduce the effective life of the
component are not affected. Manufacturers go to exacting extremes in the design,
manufacturing, shipping and storage processes to ensure the components will meet all
requirements and not fail when put into service. Obviously, none of these controls exist in a
counterfeit manufacturing environment.
From the initial raw material selection and purchasing all aspects of the production process are
tightly controlled and monitor to ensure only the highest quality components will be produced.
For these reasons, once the component has been shipped from production and then
assembled into a final product, the end customer can be assured the product will function
properly and the manufacturer and company who own the brand will stand behind the product
should any issue arise when the customer uses it after purchase.
But when counterfeiters try to imitate these brands and sell inferior quality products; the
damage to the company image can be detrimental and customers can potentially be injured
due to faulty products.
5
Failure Mechanisms of Semiconductor Devices, Panasonic, T04007BE-3, 2009.4, 3-54,
http://www.semicon.panasonic.co.jp/en/aboutus/pdf/t04007be-3.pdf
Electrically
compromised
component
8.
8
Detecting counterfeit products in the supply chain
In a recent survey of design engineers and purchasing representatives, over 41% of engineers
reported that counterfeit components were of primary concern for them. Unfortunately,
removing counterfeit components from the supply chain is not an easy task. In the counterfeit
clothing and handbag sectors there are often key indications that the item is counterfeit but this
is not the case for electronic components.
There are a variety of methods being employed by today’s incoming quality inspection
laboratories to identify the presence of counterfeit components including:
• Visual inspection for faulty markings, indentations or
appearance
• Decapsulation or destruction of sample components
to analyze the inside of the component
• Electrical testing to validate performance
• X-ray inspection to view traces and internal circuitry
• Scanning Electron Microscopy (SEM) to view the
internal structure and the elements that make up the
component
• Physical measurements and go, no-go gauges for pins and leads
• Weighing the component to determine if it meets prescribed formats
Electronics manufacturers have dedicated millions of dollars to combat both the influx of
counterfeit materials and weeding out poor quality products to ensure they will not make it to
the end customer and put their brand or image at risk.
But unfortunately, this may not be enough to stop the spread of this problem.
X-‐ray
imaging
comparing
good
and
counterfeit
component.
9.
9
Financial and Economic Implications
The consumer electronics and computers/accessories make up a small portion of the overall
impact being faced by the commodities industries. For example, the U.S. Department of
Homeland Securities reported that
these two industries combined for 11%
of the total issues for the fiscal year
2013.6
While this can be seen as an
argument that it is a small portion of the
overall issue, the implications for a
defective electronic component
malfunctioning within a critical
electronic device is much more serious
than having an inferior handbag or
wallet. The implications may be similar
in that they are putting brand and
reputation at risk, it is unlikely that a
counterfeit handbag will put someone’s
life at risk.
Out of all the counterfeit products that are currently being tracked and monitored within the
United States, consumer electronics, parts and computers make up 11% of the total
counterfeiting issue.
The United States has been working to fight the battle of counterfeit components and reported
that for the fiscal year 2013 the total quantity of seizures continued to rise by 7% from the
previous year and totaled over $1.7 billion dollars in genuine parts.7
And despite the best
efforts of a variety of organizations the issue continues to grow as counterfeiters all try to take
advantage of the lucrative opportunities.
As technology advances and new innovations appear on the market almost daily the
opportunity for counterfeiters has attracted the attention of opportunists and criminals all over
the world. The counterfeiting opportunities abound as manufacturers look for lower cost
options to necessary components to purchase components. This gives the counterfeiter the
“in” to sell their inferior goods and it is up to the purchasing departments of your businesses to
ensure that the components they receive are legitimate.
But just where do these components come from and how do they get into the industry?
6
Intellectual Property Rights Seizures Statistics Fiscal Year 2013, U.S. Department of Homeland
Security, http://www.cbp.gov/sites/default/files/documents/2013%20IPR%20Stats.pdf
7
Intellectual
Property
Rights
Seizures
Statistics
Fiscal
Year
2013,
U.S.
Department
of
Homeland
Security,
http://www.cbp.gov/sites/default/files/documents/2013%20IPR%20Stats.pdf
Electronics
and
computers
contribution
to
the
counterfeit
issue
10.
10
Efforts to curb this trend continue and focus on one major contributor to the influx of counterfeit
components, China. China’s contribution to the counterfeit component trade is more than 8
times that of any other contributor and
this trend shows no sign of changing.
Without the help from the Governments
of the culprit countries, the issue will
continue to get worse forcing the local
Governments and overseas anti-
counterfeiting agencies to shoulder the
burden of protecting consumers.8
Currently the burden falls on the
manufacturer to protect their brand
reputation and ensure that the
components
they use within their
products are in fact legitimate.
Manufacturers, OEMs and suppliers
must put in extensive cumbersome
tracking systems to
monitor and record
the life of a component from the raw
materials to the end customer. But
despite these cumbersome systems,
counterfeiters are still able to slip in their
products and put everyone at risk.
As a part of their efforts to curb the influx
of counterfeit components, the United States Government has implemented strict disciplinary
procedures if a contractor or manufacturer knowingly sells counterfeit goods or has not made a
reasonable effort to verify the components then they will be penalized. Penalties are quite
steep going up to $15 million which essentially gives manufacturers incentive to inspect for
counterfeit parts themselves rather than risk the penalty.
But it’s not just the cost of being caught that drives manufacturers to put extensive controls
with full product traceability in place for their product; the company’s reputation and brand is at
stake with every product they ship to a customer.
8
Electronic
Parts,
Joshua
Israelsohn,
Director
Technical
Media,
ECN,
4/8/2015,
http://www.ecnmag.com/article/2015/04/components-‐risk-‐counterfeit-‐electronic-‐parts
Total
Seizure
Contributions
Source
-‐
Office
of
International
Trade,
US
Customs
and
Border
Protection,
US
Department
of
Homeland
Security
11.
11
Summary
When it comes to manufacturing electronics, there is the constant pressure to reduce costs
while still keeping profit margins high. Low component prices may be appealing when you look
at the bottom line but the risks those bargains bring are very high and end up costing the
company considerable money, fees and irreparable damage to their reputation when the parts
do not function as they intended. Best case, the customer will bring back the part and ask for
the money to be returned but worst case, disaster will strike and the part will fail in a critical
application resulting in the loss of property and even lives.
Counterfeit parts are manufactured with dubious quality and in many cases improper
manufacturing processes. The end product that they eventually sell is at risk of early lifetime
failures or poor performance in the field if it functions at all. Obviously, this type of risk is
unacceptable in critical products. From the electrical performance with the risk of trace
damage inside the component to the suspect mechanical performance that could be at the risk
of breaking due to fatigue once it gets into the field.
Companies all over the world have implemented a rigorous purchasing and inspection process
that helps to prevent counterfeit parts from entering their supply chain. Before a supplier is
selected they must undergo a rigorous qualification process that looks at their internal controls
and quality processes including their incoming supply chain of raw materials. Once qualified,
the supplier must adhere to strict contractual obligations on the production of the material and
perform regular inspections to ensure the part meets all specifications and stays within the
operating parameters. All changes to the raw materials suppliers, production equipment, test
procedures and even shipping packages are thoroughly qualified before approval is received
and the change as allowed. In coming quality inspections must be maintained to thoroughly
verify the visual, structural and electrical properties of the components to ensure that the part
meets every specification. These stringent requirements are what is necessary to ensure parts
are legitimate, but, despite all these control measures, counterfeit parts still manage to slip
through and enter the supply chain.
To help safeguard your company, your customers and your reputation you must maintain 100%
traceability for every component and its entire ‘pedigree’ of subcomponents. This starts in the
early phases of product development and extends through the lifetime of production. Every
part, every lot, and all its subcomponents must be thoroughly tracked and suspect materials
must not be allowed to enter.
The risk is not worth the short term savings when it comes to counterfeit parts which is why it is
essential to establish a stringent incoming inspection process as well as validating the
credibility of all component suppliers before letting their components into your warehouse and
assembly process. With vigilance and continued testing you can avoid these ticking time
bombs that threaten your company and your customers.
12.
12
References
Electronic Parts, Joshua Israelsohn, Director Technical Media, ECN, 4/8/2015,
http://www.ecnmag.com/article/2015/04/components-risk-counterfeit-electronic-parts
Intellectual Property Rights Seizures Statistics Fiscal Year 2013, U.S. Department of Homeland
Security, http://www.cbp.gov/sites/default/files/documents/2013%20IPR%20Stats.pdf
Intellectual Property Rights Seizures Statistics Fiscal Year 2013, U.S. Department of Homeland
Security, http://www.cbp.gov/sites/default/files/documents/2013%20IPR%20Stats.pdf
Failure Mechanisms of Semiconductor Devices, Panasonic, T04007BE-3, 2009.4, 3-54,
http://www.semicon.panasonic.co.jp/en/aboutus/pdf/t04007be-3.pdf
Re-balled Ball Grid Array Reliability Under Shock and Vibration, Joelle Arnold, Dr. Nathan
Blattau, DfR Solutions, www.dfrsolutions.com, http://www.dfrsolutions.com/wp-
content/uploads/2012/06/Reballed-Ball-Grid-Array-Reliability-Under-Shock-and-Vibration.pdf
Counterfeit Parts Found on P-8 Posiedons, John Reed, November 8, 2011, DefenseTech
Where Technology & Defense Intersect, Military.com,
http://defensetech.org/2011/11/08/counterfeit-parts-found-on-new-p-8-posiedons/
“The Fake and the Fatal: The Consequences of Counterfeits”, Kevin Lewis, The Park Place
Economist, Volume XVII, https://www.iwu.edu/economics/PPE17/lewis.pdf
“The Facts on Fakes”, Adele R. Meyer, 2015 NARTS: The Association of Resale Professionals,
http://www.narts.org/i4a/pages/index.cfm?pageid=3313
“Counterfeit Goods and the Public’s Health and Safety”, Michele Forzley, JD, MPH,
International Intellectual Property Institute, July 2003, www.iipi.org
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