Most of the current counterfeit parts discovered are just cheap substitutes or salvaged waste components that fail to meet strict military and aerospace specifications, said IHS, increasing their risk of potential failure.
Accidental failure aside, there is also a concern that some counterfeit devices like integrated circuits could act as malicious Trojan horses, capable of being disabled remotely to sabotage a mission at a critical junction.
The cost to fix and secure equipment once it has been found to be compromised with counterfeit parts can also be huge. IHS cited an example of the U.S. Missile Defense Agency discovering that its mission computers for Terminal High Altitude Area Defense (THAAD) missiles contained suspect counterfeit parts that could have caused the entire system to fail. Fixing it cost the government $2.7 million.
See the video below for a further explanation of the counterfeit electronics economy and how it’s affecting our lives.