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In many sectors—especially aerospace, defense, medical, and industrial controls—products can remain in production or field support for 10, 15, even 25 years. But while the lifespan of the product is long, the window to secure critical components is often alarmingly short. Once a design is frozen and bill of materials (BOM) is locked, procurement teams…
When companies think about risk in semiconductor inventory, they usually focus on cost, obsolescence, or supply chain disruptions. But there’s a quieter threat—one that strikes without warning and exposes critical vulnerabilities in onsite storage strategies: power loss. As more manufacturers store end-of-life or mission-critical semiconductor components for extended periods, storage resilience is becoming a serious…
In 2025, long-term service contracts (LTSCs) are becoming more common across aerospace, defense, and healthcare. These multi-year agreements—often guaranteeing parts availability for 10 to 20 years—are critical to securing new business. But they also come with a hidden operational burden: ensuring inventory is available, stable, and protected for the full contract term. For OEMs and…
In today’s fast-paced electronics landscape, semiconductor obsolescence has become an increasingly pressing challenge. As innovation accelerates, component manufacturers regularly phase out older parts to make room for newer, more advanced technologies. But for OEMs and EMS providers operating on extended product lifecycles — especially in sectors like aerospace, industrial equipment, and medical devices — the…
The semiconductor industry is poised for significant expansion in 2025, with projections indicating a market size increase from $623 billion to $697 billion, driven by advancements in AI, data centers, and high-performance computing . This growth presents both opportunities and challenges, particularly in managing supply chain complexities and ensuring component availability. The Implications of Rapid…
Semiconductor inventory management goes far beyond merely storing components; it’s a strategic financial consideration. Yet, many companies fail to fully appreciate the extensive financial burden associated with inventory carrying costs—expenses tied to storing, maintaining, and safeguarding valuable semiconductor components. Typically representing up to 30% of inventory value annually, these costs silently erode profit margins. Why…