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Pandemic delays launch of more than half new electronic products

Jun 3, 2020
product launch

53% of new product launches within the electronics industry have been delayed or cancelled because of Covid-19, reports EET India.

These are the conclusions of an online survey conducted by Dimensional Research of supply chain managers at OEMs with at least 500 employees.

The study found that 91 percent of electronics manufacturers surveyed said sourcing issues resulted in delayed product launches. A greater number agreed OEMs must integrate engineering, sourcing and suppliers to overcome pandemic-driven components shortages, reports EET India.

Among their findings are that global supply chain disruptions attributed to Covid-19 have significantly driven up component costs. Further, electronic product re-designs around component shortages also have increased. That means product designs must now be “de-risked” early in the design cycle.

“Clearly, electronic product manufacturers heavily reliant on Chinese and other Asian component sources find themselves in a bind. That’s unlikely to change until supply chains can be reconfigured and scaled to meet the industrial demands of a post-pandemic economy,” says the report.

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