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Ferreting out the fakes in the chip supply chain

8/15/2011 01:01 PM EDT
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Cliff Keller
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re: Ferreting out the fakes in the chip supply chain
Cliff Keller   8/15/2011 7:55:33 PM
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I disagree with the tone of this article. It is actually very easy to avoid counterfeit and reused devices. Just buy the devices directly from the supplier or through franchised distributors. The problems come from buying through "gray market" sources to save a little money.

maryl19
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maryl19   8/16/2011 12:10:00 AM
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It is not always a matter of money. Sometimes the "gray market" is the only choice if you are supporting designs that require obsolete components when there are issues redesigning the product to use newer parts. I believe the article mentions this in relation to the military and aerospace industries.

Etmax
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re: Ferreting out the fakes in the chip supply chain
Etmax   8/16/2011 12:18:56 AM
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I'm sorry Cliff, but the author did cover what you said elaborating on how the parts make their way into the "official" channels. Yes most of it is grey market, but there are exceptions. Consider also that the semi companies now manufacture in china and distribute to the world from there. What makes you think that a country that puts melamine in baby milk resulting in kidney damage won't add a duds to the mix?

ibm221
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re: Ferreting out the fakes in the chip supply chain
ibm221   8/16/2011 7:32:46 AM
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this is devil, dude, and it's everywhere. US president could also lie about his everything.

pdudley
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re: Ferreting out the fakes in the chip supply chain
pdudley   8/19/2011 6:25:00 PM
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That is like Miss America wanting "Peace on Earth" ....it's a real nice thought - but totally unrealistic!

Zappers
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re: Ferreting out the fakes in the chip supply chain
Zappers   8/16/2011 1:11:59 PM
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It is not only US where counterfeit portable memory chips are sold but all over the world. Memory Chips (especially upgraded ones which are originally 512Mb are sold as 2GB) are sold one third of the price of original 2GB memory Chips. I am almost postive that Asia consumes probably equally or even much more of these counterfeits than USA today!!!

DrQuine
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re: Ferreting out the fakes in the chip supply chain
DrQuine   8/16/2011 2:00:48 PM
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A really effective means to secure the supply chain would have wide application across many industries. The same problem affects the pharmaceutical business where counterfeit pills sometimes manage to cross into the "legitimate" distribution channels.

ddeisz208
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re: Ferreting out the fakes in the chip supply chain
ddeisz208   8/16/2011 3:03:06 PM
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Buy from Authorized Distributors first and then go to independents if there is no Authorized solution anywhere. Franchised does not mean Authorized necessarily. If buyers consistently want to buy based primarily on price or who they have worked with in the past, regardless if they are authorized, counterfeit will continue to grow. Rochester Electronics has over 500,000 obsolete device types. This obsolete product story along with many other Authorized providers/solutions means most of the obsolete market is covered very well. No excuses not to buy Authorized when that solution is available in my opinion.

prabhakar_deosthali
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re: Ferreting out the fakes in the chip supply chain
prabhakar_deosthali   8/17/2011 6:48:04 AM
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Buy from the supplier who is ready to take back his supplies if the parts are found to be fake. As long as this guarantee is given by the supplier, you don't have to worry if the supplier is an authorized distributor or an independent one

ddeisz208
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re: Ferreting out the fakes in the chip supply chain
ddeisz208   8/17/2011 11:32:59 AM
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Except this requires YOU to figure out if you have a problem. You have to take on the burden of proof and risk to your product and schedules. Authorized sources with fully authorized product ensure no counterfeit.

agk
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re: Ferreting out the fakes in the chip supply chain
agk   8/17/2011 7:40:20 AM
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A difficult area to make counterfeits. Once at my work place we found that QC rejected whole lot of elctronic isolators as it was not meeting the production specifications. The samples were brought to us. We could not find any difference in the product when compared with the previous lot. but still they were failing. That was tested stage by stage and we found that an op amp was not performing as it should. Few samples were brought from the stocks in our stores. Examined under magnifier and found to be a fake one. While seeing the purchase records it was supplied by a dealer who is not an authorised for that brand. The part was again purchased from an authorised seller and all the isolators reworked with this part. Then it passed in the QC.

McGookin
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re: Ferreting out the fakes in the chip supply chain
McGookin   8/24/2011 5:29:58 PM
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I'm tasked with investigating just such situations for the FBI. I would love to receive tips like this at Cory.mcgookin@ic.fbi.gov

AMPT/OEM-Sales
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re: Ferreting out the fakes in the chip supply chain
AMPT/OEM-Sales   8/17/2011 2:15:33 PM
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Or partner with a reliable Independent Distributor like Advanced MP Technology which has all of the precautionary measures (laboratory-grade high-powered microscope, an X-ray inspection system, decapping capabilities, strict ISO 9001: 2008 & ISO AS9120:2009-A QC Procedures) in accordence with each of our individual customers stringent shipping and receiving requirments to ensure the authenticity of the product. www.linkedin.com/in/mikestifter

RogerD_#2
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RogerD_#2   8/17/2011 3:28:07 PM
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How much longer are we going to tolerate the inaction of the Chinese government to halt counterfeiting of all types - from ICs to Apple Stores?!?!?!? The Chinese authorities only give lip-service to the world's complaints about rampant counterfeiting, while at the same time allowing it with a wink and a nod - it's all about money folks, money=power, and the Chinese government is bound and determined to become the most powerful entity on the planet by whatever means necessary. You think China really cares about counterfeiting as long as it brings in profits to their country?? Don't be naive! China is the problem - and nobody is taking decisive action to stop them!

Saturation
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re: Ferreting out the fakes in the chip supply chain
Saturation   8/17/2011 7:11:52 PM
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A scary part is, and reiterated in this article, even if you buy from authorized distributors you can still get counterfeit instead. It seems in-house testing is the most foolproof way to spot them, and if they meet design specification, it won't matter if its counterfeit.

mountaincore
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re: Ferreting out the fakes in the chip supply chain
mountaincore   8/17/2011 7:49:17 PM
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Accept that is rewards bad behavior.

ddeisz208
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re: Ferreting out the fakes in the chip supply chain
ddeisz208   8/17/2011 10:26:32 PM
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Through most Authorized Distributors like my company (Rochester Electronics), it is not possible to get counterfeit. No returns and no grey market, only OCM product. In-house testing doesn't guarantee no counterfeit, this too is a huge variable. Buy Authorized is if available is still your best first step.

McGookin
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re: Ferreting out the fakes in the chip supply chain
McGookin   8/24/2011 5:32:27 PM
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It still matters. Buying counterfeit only helps the bad actors succeed and continue their ways. Ultimately it will matter a lot when lives are lost. Have a tip - email me - cory.mcgookin@ic.fbi.gov

Cliff Keller
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re: Ferreting out the fakes in the chip supply chain
Cliff Keller   8/17/2011 7:39:42 PM
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Yes, you could even get bad parts direct from the Manufacturer. But, in the supply chain buying direct or through the franchised distributors drastically cuts the chances of getting bogus parts. Franchised distributors will be terminated by the supplier if they sell "gray market" devices, and that is too big a penalty for them to risk.

elctrnx_lyf
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re: Ferreting out the fakes in the chip supply chain
elctrnx_lyf   8/18/2011 2:53:52 PM
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The recycling of electronic products is probably one reason for the fake components to enter the market. The only way to make sure that no fake components is to buy from authorized suppliers.

Patk0317
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re: Ferreting out the fakes in the chip supply chain
Patk0317   8/18/2011 6:19:24 PM
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Gray market parts are more common during a downturn when companies who bought parts above board are forced to get rid of excess inventory that the supplier refuses to take back. The parts are probably perfectly good, but the manufacturer won't support them if they can show that those date codes were sold to company A and some other company is coming to them for tech support. Counterfeit parts are always an issue but again, date codes may prove they are counterfeit.

Mike.Dillon
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re: Ferreting out the fakes in the chip supply chain
Mike.Dillon   8/19/2011 8:18:45 PM
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The issue facing the DOD (and others) is that there is no traceable supply chain for parts that have been out of production for years. The gray market is the only game, you hope there is unused inventory sitting on the shelf somewhere, but since all that was written off and surplussed (to get it off the books) a long time ago from the traditional supply chain, hard to tell what you get, testing does not help, since you don't have any idea of the production process, how do you do a statistical analysis ?

TFCSD
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re: Ferreting out the fakes in the chip supply chain
TFCSD   8/26/2011 2:11:54 AM
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Back in the old days, older electronics disposal was so dispersed that reclaiming useable amounts of items to turn into counterfeits was unprofitable. Now everybody in a "green" effort are shipping everything to a few concentrated recyclers and vola! We have counterfeits galore.

Charles Tran
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re: Ferreting out the fakes in the chip supply chain
Charles Tran   9/12/2011 8:25:11 PM
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Apple selling its well known apps, musics, videos for less than $5 or much less. The more populars, it costs much less. You can rent or stream high quality videos from Hulu, Wal-Mart, Amazon, NetFlix for less than $15/mo with little annoying advertisements. Industries listening to lawyers and spending billion of dollars on Digital Right Managements and fighting with copyrights. Cutting down all the unnecessary "middlemen" and pass on saving to customers directly. Only values added providers will survive and grow. Suddenly, all the "counterfeits" and "copyrights" in Entertainment Industry disappears.

thiagorulez
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re: Ferreting out the fakes in the chip supply chain
thiagorulez   5/13/2013 4:56:19 PM
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Most of these fakes are poorly refurbished products pulled from places like electronics disposal in Chicago, or wherever, and spotting them is really not that hard. As suggested, don't be cheap. If you must have the tech, pay for it. http://www.acmeelectronicsrecycling.com/services/electronics-recycling

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