Counterfeit Detection

How prevalent is Counterfeiting?
  • 142% increase in reported counterfeit components from 2005 to 2008 which has skyrocketed in the past 12 months
  • White Horse quality history on inspected product:
  • 30% lot failure rate on tested product
  • 32 % substandard rating on inspected product
  • Estimated total cost impact of counterfeit components is in the billions of dollars and that the value of the market exceeds that of the drug trade
Rough Timeline of Counterfeiting of Electronic Components
  • 2009 – Counterfeit devices found in USA military hardware, US Senate Armed Services Committee launches investigation
  • 2010 – distributor in the USA convicted and jailed for trafficking counterfeit electronics
  • December 30, 2011 – United States Senate passes Anti-Counterfeit legislation
  • Started about 15 years ago and awareness slowly developed over 10 years
  • The past 5 years awareness has gone mainstream and the past 24 months has grown to fever-pitch
  • OCM outsourcing supply chain production and materials controls
  • E-waste transfers to developing countries leading to the rise in recycled components
  • Development of Tier II and below manufacturers making alternative devices readily available
  • Unregulated independent distribution/broker industry cannot control the introduction of virtually anyone into the market
  • E-platforms for component sourcing facilitates the proliferation of “Starbux Brokers”
  • Slow industry response to the threat of substandard and counterfeit devices until the proliferation was firmly entrenched
  • Lack of regulatory control
Industry Mitigation Efforts
  • Supply Chain Management
  • Distributors implement inspection controls
  • Purchasing controls
  • Supplier qualification
  • OEM/EMS implement detection protocols
  • Development of International Standards
  • CCAP – perhaps the first commercial recommendation for quality control methods
  • IDEA-STD-1010 – a “best practices” standard for external visual inspection
  • AS9100 – standard for traceability requirements for end-users
  • AS9120 – standard for traceability and quality control requirements for distributors
  • AS5553 – standard for quality control requirements for buyers (end-users)
  • AS6081 – standard for  quality control methods by distributors
  • AS6171 – standard for test providers
  • Anti-Counterfeit Legislation passed in USA
  • Supplier and Suspect Part Reporting

Where do Counterfeits come from?

  • Recycled Devices (eWaste)
  • Competitor Clones, particularly on unmarked parts
  • Remarked Alternatives (speed and temperature grades, electrical characteristics)
  • Manufacturer Rejects and Downgrades illegally channeled out of scrap and into the Supply Chain
Detection Methods
  • External Visual Inspection (EVI)
  • Material Analysis (XRF)
  • X-ray
  • Decapsulation
  • Scanning Accoustic Microscopy
  • Electrical Testing
  • Endurance Testing
  • Analysis and Investigation