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The Electronics Supply Chain: a Macro-Level View

August 6, 2012

Since we’re a company deeply involved in the packaging of electronics goods, we thought we’d share this story: as of this year, large companies like Apple and Samsung have grown increasingly dominant in setting the agenda for the international electronics supply chain. In other words, companies like Apple (or Samsung, or Hewlett-Packard, or Dell) have increased their total spending on semiconductors manufactured from overseas. By doing so, they put themselves in a better position at determining what prices semiconductor and printed circuit board manufacturers should set their products at. The name-brand competition is fierce, with Apple spending $29B alone on OEM semiconductor products. Samsung comes in second at $14.9B, Hewlett-Packard comes in third at $13.7Bm and Dell comes next at $10.2B.

Other top-of-the-game players include such household brand-names as Sony, Panasonic, Cisco Systems, Canon, Toshiba, and Fujitsu. All of this fierce but friendly competition in semiconductor spending can only mean great things not only for OEM circuit and electronics manufacturers, but those in the electronics packaging industry as well. With such a huge number of OEMs getting in on the act of supplying the mega-companies with quality product, it’s a vast opportunity that few packaging companies would care to miss out on. With our own extensive history of providing box partitioning for electronic components, we at M&M feel as though we are in the right space at the right time. Let the packaging – and partitioning – begin!

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