Panic buying of electronic components in progress, claims IHS iSuppli
Many electronic original equipment manufacturers (OEMs) worldwide could be engaging in panic buying of semiconductors and electronic components, spurred by fears of supply disruptions from Japan, according to IHS iSuppli. It backs up its claim with statement that electronic component distributors are reporting a surge in orders from customers trying to ensure they have sufficient inventory to hand.
IHS iSuppli chief analyst Len Jelinek said that while the semiconductor supply disruptions are bad, they could have been worse; the recent buildup in global semiconductor inventory may serve to mitigate the impact of reduced supply from Japan. IHS iSuppli warned in February that global semiconductor inventory levels had risen to alarmingly high levels. Although not completely compensating for supply disruptions from Japan, these excessive inventories may provide some cushion for global semiconductor supply.
