EMERGING TECHNOLOGY DEMANDS FOR THE CONTRACT MANUFACTURER: “Time to Technology”
Author: Roger Liptak Company: Intn'l Business Machines Corp. Date Published: 9/10/1996
Surface Mount International
Abstract: The contract manufacturing industry is on the verge of a major paradigm shift regarding the level of technical services and advanced packaging demands that will be required by customers. A trend toward turnkey versus consignment has been evident in recent years as OEMS continue to off-load non-core competencies. This turnkey trend will require more than financial strength and materials logistics as advanced packaging technologies, such as area array and direct chip attach technologies, are required by developers for their performance and economies of size advantages. This paper will examine three different types of contract manufacturers - the dedicated CM, the OEM CM, and the Distributor CM - and the advantages and challenges each will face in the emerging technology environment based on their current industry positioning.