Japan Quake Disrupts Component Fabs
Japan Quake Disrupts Component Fabs

Japan Quake Disrupts Component Fabs

Japan Quake Disrupts Component Fabs

iSuppli has issued update on further critical component disruptions as a result of the Japan earthquake & tsunami http://bit.ly/ialpD0

Note: previous detailed warnings posted last week Here and Here [Eds]

Digital Compass Makers Work to Maintain Supply Amid Earthquake Aftermath

IHS iSuppli research indicates that 97 percent of all digital compass manufacturing worldwide in 2010 was conducted in Japan. The world’s top four suppliers of digital compasses are Japanese firms AKM Semiconductor, Yamaha, Aichi Steel and Alps. Global demand for digital compasses is rising rapidly, increasing to 263 million units in 2010, up 354 percent from 58 million in 2009. By 2015, shipments will rise to 1.28 billion.

The issue of compass supply gained attention recently on account of Apple’s use of such a device in the iPad 2 that is supplied by Japan’s AKM. Because the calibration of digital compasses regarding electromagnetic interference is specific to the systems in which they are used, the components supplied by one company are not easily replaceable with those from another. See Full Report Here

Earthquake’s Impact on the Automotive Infotainment Industry

The earthquake and subsequent tsunami have impacted the entire automotive industry supply chain in Japan, including the infotainment segment. This will have worldwide repercussions for the car electronics and infotainment businesses. Key automotive components produced in the affected area of Japan include semiconductors, liquid crystal displays (LCD) and optical sensors.

Japan in 2010 accounted for 35 percent of the $31.5 billion worldwide automotive infotainment electronics market. The country produced $11 billion worth of infotainment electronics during the year. Japanese manufacturers in 2010 were responsible for 32 percent of the $22.9 billion worldwide market for automotive semiconductors. The country’s automotive chip production amounted to $7.3 billion in 2010.

Northeastern Japan, the worst-hit area following the magnitude 9.0 earthquake and subsequent tsunami, is also home to many semiconductor wafer fabrication facilities. Renesas Electronics, Texas Instruments, Freescale Semiconductor and Fujitsu all are important suppliers to the auto industry and have been affected. See Full Report Here