Honest Components Inc

Jackie Schwab,  Honest Components Inc | Semi Conductor Review | Top Electronic Component DistributorsJackie Schwab, President
Counterfeit parts continue to be a growing problem in the commercial, industrial, medical, automotive, military and aerospace sectors. It is also becoming increasingly difficult to know a component’s true origin.

The military estimates that up to 15 percent of all spare and replacement parts for its weapons, vehicles and other equipment are counterfeit, making their equipment vulnerable to malfunctions. A high number of components can be easily replicated or modified which leads to the need for even more sophisticated testing to detect counterfeits.

New and original microchips are becoming harder to find, especially ‘end-of-life’ or obsolete components with many components now being sourced from China. Chip recycling is big business in China. Annually it is a multi-billion-dollar industry and is closely guarded. A small Chinese microchip recycling house could generate over $1 million each year. The majority of these recycled boards are from the USA and Russia. At these Chinese recycling operations, boards are often stored outside in the open-air causing water damage, with absolutely no ESD protection.

The alteration of electronic components is done through sanding and re-marking, blacktopping and re-marking, or similar methods of concealing the original manufacturer. Other strategies involve device substitution and die salvaging, where cheaper or used components are passed off as new or more expensive ones. They may actually be commercial grade passed off as industrial or military grade. Manufacturing rejects may also be repurposed and sold as new, and component leads may be re-attached to give the illusion of a new, unused product. Packaging can also be relabelled.

Inadequate inspection in the open market leaves room for an estimated $75 billion a year of counterfeit semiconductors ending up in $167 billion worth of electronics.

Because of the quality and sophistication of many of today’s counterfeit parts, they can often pass inspection protocols such as external and internal visual, dimensional, marking permanency and even electrical testing. Because such components can be easily cloned or altered, more sophisticated testing to detect counterfeit components is therefore necessary.

You may have come across distributors with their own test lab claiming that their capabilities are reliable enough to avoid counterfeit material to pass through. More likely than not, the price you pay for the components is suspiciously dirt-cheap.

However, it is a conflict of interest to test the parts that you also sell. They can easily alter the testing results in order to make the components appear genuine.

This technique consists of selling batches of brand-new components mixed with fake components, clone components or genuine components with different date codes - manufacturing dates (counterfeit in labelling).

It’s quite vicious because sometimes CMs and OEMs don’t even know that some of their components were not genuine, and performances could be decreased due to older versions hidden in the batch.

It is crucial to only use independent 3rd party test labs, and that they are certified to AS6081 test methods including functional electrical testing. If your current distributor will not allow an independent 3rd party test lab to test the parts, stay away from that distributor.

As the electronics industry grows, the risk of counterfeits increases. Over the next five years, the global EMS industry is expected to grow to $856 billion, driven by increased demand for self-driving cars, medical devices, space exploration and defense spending. This growth will lead to more demand for integrated circuits in critical electronics. Many independent test labs are now using AI technology to mitigate counterfeiting risks.

For example, Visual Inspection AI can simultaneously inspect dozens of individual components on high volume printed circuit boards to detect missing, misplaced, or damaged components, and soldering issues. AI systems can utilize data from SMT machines, and spot counterfeit and defective components in real time during the electronic component assembly process. Additionally, AI provides manufacturers with a verifiable record of meticulous component checks, potentially saving them from costly product recalls in case of field failures.

  • New and original microchips are becoming harder to find, especially ‘end-of-life’ or obsolete components with many components now being sourced from China. Because of the quality and sophistication of many of today’s counterfeit parts, they can often pass inspection protocols such as external and internal visual, dimensional, marking permanency and even electrical testing. Being able to be easily cloned or altered, more sophisticated testing to detect counterfeit components is necessary.

Honest Components takes a holistic approach to the responsible sourcing of minerals. HCI seeks to avoid sourcing minerals that contribute to armed conflict or human rights abuses in Conflict Affected and High-Risk Areas (“CAHRAs”), including the Democratic Republic of the Congo (“DRC”) and DRC-adjoining countries. HCI also seeks to avoid harming communities in CAHRAs through de facto embargoes of minerals sourced from those area.

Honest Components recently traveled to Asia and the U.K. to meet with valued suppliers and #1 trusted laboratory, Global ETS (GETS), a 3rd party, independent AS6081/ISO17025 military/aerospace-certified lab. Our supplier collaboration allows us to improve our business performance, customer satisfaction and reduce costs, while at the same time enhancing positive relationships with supply chain partners.

Further, because authenticity is Honest Components’ top priority, HCI bears the full cost of testing every order at Global ETS. Testing standards can include AS6081, AS6496, AS6171, AS6174, AS5553, MIL-STD-750, MIL-STD-883 or IDEA-STD-1010. Our customers always receive the Full Test Report and Honest Components’ COC before the parts ship.

About Honest Components

Honest Components uses AS6081 & ISO/IEC 17025 Accredited test labs. The company is ISO 9001:2015 and AS9120B Certified and WOSB (Woman-Owned Small Business) Certified by the SBA (Small Business Administration). They are also a GIDEP member and registered with ITAR. Every order they fulfil is meticulously tested at a 3rd-party, independent AS6081 and ISO/IEC 17025 accredited test lab. This military/aerospace-grade certification ensures the authenticity, reliability, and performance of every component customers receive.