Forging new connections on the PC path; connector makers hook-up with the desktop, display

Article Abstract:

The worldwide electronic connector industry is expected to grow at an annual rate of 5.7% to $21.8 billion in 1996 and reach a 6.8% growth rate in 1997, according to research from Bishop & Associates. The connector industry relies heavily on demand from personal computer connectivity requirements, and major connector suppliers have experienced lower-than-expected results during the first half of 1996 due to lower demand for personal computer and cellular equipment. Connectors are used in almost all electronic equipment and the connector industry is likely to benefit from increasing demand for electronics. The universal serial bus is being fielded in a number of products released since summer of 1996, allowing the easy connection of computers to peripheral equipment. The Enhanced Video Connector (EVC) standard endorsed by the Video Electronic Standards Association is expected to drive a trend to more unified connectors attached to computer displays.

Electronic components, not elsewhere classified, Electronic components industry, Electronic connectors, Connectors, Connector, Market Trend/Market Analysis

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Contract manufacturers carry service torch; repair work emigrates from the OEM

Article Abstract:

Contract manufacturers have started servicing the circuit boards that they manufacture for OEMs. During the last several years, repairing and reworking the boards has changed from incidental work to a required part of getting a contract for some contractors. This change is seen as a continuation of the outsourcing process, since repair service, as well as manufacturing, is not a core competency for OEMs. For contractors, servicing the boards is generally considered a cost of doing business rather than a significant revenue generator. Contractor Diagnostic Instruments tracks quality problem information and sends repeat problems to the OEM's design engineers. Solectron's Service Division handles 20,000 boards a month, including boards from other manufacturers, and expects to be repairing 60,000 boards per month in 2000, although the division contributes under 1% of the company's total revenue.

Computer integrated systems design, Systems integration, OEM, OEMs (Original equipment manufacturers), Computer systems integration

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Specialists' growth outpaces the industry's

Article Abstract:

The demand for specialty items such as VLSI mixed-signal chips is growing, giving specialty distributors a big edge over the rest of the industry. The top 100 distributors enjoyed 24 percent growth last year, with specialists gaining even higher increases. Specialty distributors are able to handle market changes better than broad-line distributors because they are able to focus on a single area. Consequently, the specialist has a much better knowledge of that particular market than another vendor with multiple lines. Also, specialization is well-suited to smaller distributors, and presents an opportunity to get into the market. However, specialists must contend with the trend of one-stop shopping.

Computers, peripherals & software, Semiconductor industry, Marketing, Wholesale trade, Distribution, Distributors (Commerce), Wholesale dealer/distributor, Industry Trend Or Event

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