I-Connect007 Editor’s Choice: Five Must-Reads for the Week

Estimated reading time: 4 minutes

In this week’s world news, the U.S’s credit rating was knocked down a notch from AAA to AA1 in an announcement by Moody’s that cited rising debt and interest rate payments higher than comparable sovereigns. This may be bad news for anyone looking to borrow money anytime soon. Also in the U.S., the latest version of the federal tax and spending bill was released and blatantly disallows state regulation of AI for 10 years, presumedly in an effort to achieve technical dominance more quickly. With no apparent guardrails for developers of AI technology, states are not happy. There seems to be growing concern among tech workers around layoff news (Microsoft and Intel, to name two), though they have yet to outpace 2023 numbers and seem to follow the “normal” annual trend for achieving a favorable balance sheet.

In the electronics manufacturing industry, the global PCB market is estimated to reach $86.5 billion by 2029, a 5.9% annual growth, per IPC’s Global Market Forecast, and the global new cycle is still being dominated by U.S. news. This week, we are talking about the status of the CHIPS Act and what the new tax and incentives bill does and does not include. We also take a minute for some marketing wisdom to shed light in a challenging and noisy market environment. We also take a long look at cutting-edge technology in both optical inspection and data interconnectivity in EMS, but something to which all parts of our industry should be paying close attention.

For Americans, Happy Memorial Day weekend, and here’s to the unofficial start of summer. Grab your coffee and let’s settle into this week’s collection of stories.

Defense Speak Interpreted: Is There Still a CHIPS Act?
Published May 23

It’s great to have Denny Fritz back as a columnist, regenerating his Defense Speak Interpreted column with new vigor and necessity given all that is happening in that realm daily. This month’s installment is the third (Click here to view his April and March columns) of his recent writings. This time, he asks what likely many of have been wondering to ourselves, “Is there still a CHIPS Act?” Denny clearly defines the CHIPS Act in its initial provisions to provide $39 billion in investments and incentives to fuel the building of semiconductor manufacturing plants in the US. He further explains the current confusion and where Defense fits into the picture, as well as contributing elements like President Trump’s U.S. Investment Accelerator. This is a good, quick recap and state of the state on the CHIPS Act.

Revolutionizing Inspection With Delvitech
Published May 19

From neural networks to the most cutting-edge technology for inspection, Roberto Gatti chats about Delvitech’s Horus machine and what it brings to the marketplace. With six custom cameras that gather information very quickly, it works on a neural network that allows access to not just one, but multiple data sets. He says that AOI is a bit of a misnomer for this technology, as it is more than simply optical inspection, but they are sensitive to working within accepted industry vernacular. If you are interested in advanced AI and machine learning (and who’s not?), this is a must-read for assemblers, as well as for the future of PCB inspection.

The Marketing Minute: Wired for Trust
Published May 21

“Publishing, partnering, and showing up as a thought leader aren’t just ‘nice extras.’ They’re credibility builders, and in this industry, credibility is currency,” says Brittany Martin, I-Connect007’s digital marketing manager. In her latest column, The Marketing Minute, she talks about how trust is essential in any impactful marketing effort, and how positioning yourself to showcase your expertise as a thought leader is a primary way in which you can show up and be visible in the marketplace. It only takes a minute to read it, but it’s worth your time.

Breaking Down Barriers: The Connectivity of Machines in SMT Production Lines
Published May 20

In today’s global climate, it is nice to hear someone talk about breaking down barriers for any reason. In Bill Cardoso’s article, he discusses the essential need for greater integration and data interconnectivity in SMT production lines. Noting the inherent complexity of SMT systems and the increased load that the very high-tech, high-cost products being built today represent, it has never been more important to incorporate actionable data from every step of the process. “This convergence of data and machine intelligence is reshaping the way electronic devices are manufactured, creating unprecedented opportunities for improving product quality and accelerating innovation.” Well said. If you are in this process, or thinking about how you will undertake such interconnection in your own factory, this is a worthy read.

Tax Policy Update from IPC: The House Tax Bill, and What It Means for Electronics Manufacturers
Published May 20

IPC President and CEO Dr. John W. Mitchell called the U.S. House Tax Bill proposed on May 13, “a strong step forward,” and indeed, includes many provisions supported by IPC, along with a few that are glaringly missing. This article is a clean breakdown of everything that is and is not in the new tax and incentives bill and how it may affect electronics manufacturers. Though we do not know what changes will occur between now and the time some form of the bill is passed, highlights of this bill include a restoration of 100% bonus depreciation and immediate expensing for domestic R&D costs.