Sonos reported on Wednesday that they had a strong second quarter fiscal 2022 result with good revenue growth. In the case of revenues, the company notes that they continue to track toward its annual revenue guidance of $1.95 billion – to – $2.0 billion. However, the company admitted that its profit margin took a hit as supply chain issues continue to bedevil it (and the rest of the industry) as well. They cut their forecast for profits in 2022.
supply chain
Smart Savant 3-Point Strategy to Beat Supply Chain Shortages and Fill Orders
I’m not sure that anyone in Tech has done more than Strata-gee to report on the issue of the failing supply chain and its at times ruinous impact on our industry. My very first report on the supply chain – AKM Fire: 2020 was Almost Over, Then Disaster Struck Again – is the second most-read story I’ve ever written in my life. I had always assumed that the issue was so big that everyone was affected equally.
But then I discovered, almost by accident, that one company has a clever strategy to beat the shortages. That company is Savant, and their strategy is equal parts brilliant…and a bit insane.
See how Savant has mostly beaten the supply chain shortage that bedevils other brands…
[Read more…] about Smart Savant 3-Point Strategy to Beat Supply Chain Shortages and Fill OrdersWhat’s Delaying New Chip Fabs to Reinforce the Supply Chain? Yep…The Supply Chain
Ever since supply chain shortages hit many industries, particularly in relation to the availability of integrated circuits or chips, there has been a massive scramble to increase capacity and to build new chip fabricating facilities (fabs) or factories. There has been a series of announcements from huge companies like Intel, Taiwan Semiconductor Manufacturing Co. (TSMC), Samsung, and others launching massive multi-billion projects to add more chip production facilities.
There’s just one problem…the equipment they need to build these facilities are themselves delayed.
See more on the supply chain shortages delaying new factories to help the supply chain
[Read more…] about What’s Delaying New Chip Fabs to Reinforce the Supply Chain? Yep…The Supply ChainSputtering Supply Chain Takes Another Hit as China Forces Factories to Close
Here we go again! Yet another major blow has been dealt to the supply chain, this time from another round of COVID-19 hitting China, forcing lockdowns in many critical areas of the country – including Shenzhen. You may or may not know that much of the electronics goods manufactured in China come out of the Shenzhen region – so we all have a direct connection to the impact of this development. Add to this, new reports of container costs rising again and transportation disruptions from the Russian invasion of Ukraine. What’s next?
See more on the latest supply chain disruption
[Read more…] about Sputtering Supply Chain Takes Another Hit as China Forces Factories to CloseFragile Supply Chain Takes A Direct Hit From the Russian Invasion of Ukraine
An analysis of our still-fragile supply chain by various experts in the field concludes that the Russian invasion of Ukraine will impact the global supply chain in many damaging ways. We are likely to face more shipment delays and cost increases for both the immediate future, and for a period of time that will extend until well after the invasion concludes.
See what supply chain experts are seeing from the Ukraine invasion
[Read more…] about Fragile Supply Chain Takes A Direct Hit From the Russian Invasion of UkraineBiden Administration Announces Major Supply Chain Mining Initiative
Boosting Local Supply of Essential Minerals
The Biden Administration announced on Tuesday a comprehensive public/private mining initiative that is designed to boost the local supply of essential minerals. These minerals are required in a wide range of strategic products and the administration’s new programs will achieve several goals: they will use new technology to boost the mining of the minerals in new areas of the country, create a large number of good-paying American jobs, and reduce our reliance on China. What looks to be a savvy program, this new initiative partners with key American companies to improve the U.S.’s supply chain structure in order to make it more robust to “build a future that’s made in America.”
See more on the Administration’s plan to improve the supply chain
[Read more…] about Biden Administration Announces Major Supply Chain Mining InitiativeSupply Chain Kills Exogal, CEO Says
‘If You’re Watching This…We’re Dead’
If you try to go to the website of Exogal, a high-end digital electronics manufacturer, you’ll end up at a YouTube video titled, “If you’re watching this, we’re dead.” The video consists of Exogal CEO Jeff Haagenstad looking directly into the camera and explaining to viewers that the company has died..and why that happened. It’s a cautionary tale for all manufacturers who are universally buffeted by supply chain issues – especially the worldwide, multi-industry chip shortage.
See more on how the supply chain took down Exogal
[Read more…] about Supply Chain Kills Exogal, CEO SaysAKM Responds to Strata-gee Request for Comment on Damaged Factory
Last week, I updated the story of the Asahi Kasei Microdevices (AKM) factory fire that destroyed one of the world’s largest fabs producing semiconductors, particularly LSIs (large-scale integrated circuits) for digital-to-analog converters (DACs) and analog-to-digital converters (ADCs) widely used in audio for consumer, pro, and commercial applications. [See post: AKM Fire Update: Co. Makes Progress, Interim Solution Shows Promise] At the time I was working on that report, I reached out to AKM for comment on what I was learning from my sources, but did not receive a reply by the time the story was posted.
This morning, AKM responded to my request…
See what AKM said in a statement to Strata-gee…
[Read more…] about AKM Responds to Strata-gee Request for Comment on Damaged FactoryAKM Fire Update: Co. Makes Progress, Interim Solution Shows Promise
Commits to Deliver New DACs & ADCs in 2022!
In one of the most-read stories ever posted on Strata-gee.com, I reported on a fire in October 2020 at an AKM factory in Japan. AKM is one of the world’s largest manufacturers of large-scale integrated circuits (LSI) used in a variety of products, including digital-to-analog converters (DACs) and analog-to-digital converters (ADCs) for the audio industry. In that post, I warned you that this fire threatens to “disrupt the global supply of critical digital ICs.” It was the bright red flag of what was to become a massive supply chain headache that the world continues to struggle with to this day.
UPDATE: What’s happening now after the AKM fire
[Read more…] about AKM Fire Update: Co. Makes Progress, Interim Solution Shows PromiseToday in Malaysia, Intel CEO Warns Chip Shortage Will Last to 2023
Speaking at a press conference in Malaysia today, Intel CEO Pat Gelsinger said that the global chip shortage will last until 2023. Gelsinger pointed to the fact that demand keeps expanding, even as the industry struggles to bring more production online to fill the demand.