About Mike

Mike Buetow is president of the Printed Circuit Engineering Association (pcea.net). He previously was editor-in-chief of Circuits Assembly magazine, the leading publication for electronics manufacturing, and PCD&F, the leading publication for printed circuit design and fabrication. He spent 21 years as vice president and editorial director of UP Media Group, for which he oversaw all editorial and production aspects. He has more than 30 years' experience in the electronics industry, including six years at IPC, an electronics trade association, at which he was a technical projects manager and communications director. He has also held editorial positions at SMT Magazine, community newspapers and in book publishing. He is a graduate of the University of Illinois. Follow Mike on Twitter: @mikebuetow

Researchers’ Take on Trade Wars Hard to Swallow

A group of researchers are asserting that onshoring low-cost manufactured goods back from China would not solve the US’s current economic woes.

The cost of an Apple iPad, they point out, includes about $10 for the workers who assemble it (and that may actually be high, from what I’ve heard). Meanwhile, each device sold helps maintain thousands of higher-paying design, software, management and marketing jobs.

OK, that’s all believable. But it’s the next part is harder to stomach. “Without China, Apple couldn’t be so successful and Apple products wouldn’t be so affordable,” said Yao Shujie, professor of economics at the University of Nottingham in England.

Not so fast. Apple’s margins are by far the highest in the industry. With lower margins, Apple might not be so profitable, but the affordability (an Apple comes at a premium for no other reason than consumers are willing to pay it) is a whole different bag of potatoes. Apple could pay a significantly higher price for onshore EMS work, yet given the fairly low labor content of an electronics assembly, could do so with no effect to the end-product price.

And it says here, those design, software, management and marketing jobs would exist regardless of where the product is manufactured.

Furthermore, the researchers extrapolate from this the idea that the effects a big change in the price of the yuan would have on US manufacturing would be fairly limited in scope. “Multinational firms that think currency appreciation is going to have a big effect on their export capacity from China to the United States are going to shift to other countries, not to the United States,” one researcher said.

Good point. But I would counter that the monies pouring from US consumers into Chinese hands serve to boost the latter’s national coffers, from which its military is deriving great benefit. Cuts in purchases of Chinese-made goods would help reduce China’s ability to assert itself militarily around the world. That would be a positive, too.

Should the US wean itself from its Chinese teat, the benefits would be seen in multiple, if somewhat less obvious, ways.

Making the Rounds

We will be at several events over the next six weeks.

On Thursday, senior editor Chelsey Drysdale will attend IMAPS’ annual symposium in Long Beach, CA. There’s a number of EMS companies focused on medical electronics exhibiting and it will be interesting to hear what the latest trends are.

The following week, I will be at SMTA International, covering it for the magazine and cochairing (with CIRCUITS ASSEMBLY columnist Sue Mucha) the session “Global Strategies for Lowering EMS Costs” on Oct. 18 from 10:30-1 pm. CIRCUITS ASSEMBLY also is taking part as an exhibitor (booth 528).

On Nov. 8, I am honored to be speaking at Zuken’s US ZDAC users group meeting. We also will be out in force in mid November at Productronica, the biennial trade show to end all trade shows.

Looking forward to seeing you … somewhere.

Data Transfer in the News

A couple new articles are out on the IPC-2581 and ODB++ data transfer formats.

On Oct. 2, longtime EDA journalist Richard Goering provided a well-written writeup on the “lively panel discussion” (“Data Transfer in the 21st Century”) we held during PCB West on Sept. 29. Richard does a nice job capturing the frustration of the designers present and historical give-and-take that has led us to the current situation.

And yesterday, EDN weighed in with interviews of participants from the data transfer panel held at PCB West and other key spokespersons.

Given the new support for IPC-2581 by Cadence and Zuken, among others, this issue isn’t going away.

Stopping the Fakes

The US on Saturday (hey, good to know I’m not the only one working weekends) signed a seven-nation agreement to implement an infrastructure for preventing counterfeits. Other assignees include Australia, Canada, Japan, Korea, Morocco, New Zealand and Singapore, while the EU, Mexico and Switzerland appear to be about ready to come on board as well.

I’m not entirely optimistic this will staunch the flood of fakes pouring into the US — without China’s active involvement, that just cannot happen — but it’s good to be on the same page with the majority of our other trading partners. Perhaps together we can accomplish that which we cannot do alone.

 

 

PCB West Recap: Still Great After 20 Years

I’m thrilled to be reporting on PCB West 2011 because for the past few years I haven’t been able to attend. I had almost forgotten what it was like to be among that rare breed of “off-grid” individualism, the Circuit Board Designer.Lately I’ve become more involved in IPC standards development committees and therefore feel obligated to attend those conferences, but since few designers participate in IPC activities, PCB West felt like coming home again. If you are one of the designers working alone out there for your company, or are a lone designer supporting multiple companies, this conference is a great opportunity to meet your peers, get away from the daily grind for a few days and see what the rest of the world is doing …  

20 and counting? This was the 20th anniversery of PCB West? Seriously? How could we have gotten so old already? Now I’m feeling nostalgic … UP Media gave out “20 Years and Still Off-Grid” t-shirts to literally everyone that registered. I thought that was a really nice thing to do. Thanks, Uncle Pete! (and while I’m thinking about it, thanks to K&F for supplying free Starbucks coffee for everyone!)

Continuing education. The conference started off with a bang as I attended a presentation by Kevin Coates where he introduced a new series of devices by Texas Instruments (well, new to me anyway) where fine pitch BGAs are being developed using a pin-out method that leaves room for fan-out vias and decoupling devices. Using these “via channel” devices may enable designers to use conventional board fabrication technology, where an HDI solution was required before. It was nice to hear additional comments by Wayne Pulliam, who works on similar efforts for AMD.

Darren Hitchcock’s “Design for Manufacturing” presentation was very informative, mostly focusing on various board materials and their characteristics.
Gary Ferrari gave a great introduction to HDI technology, the various types of HDI constructions (and the materials required for them) and the use of microvias. He gave some good real-world advice and warned about some common pitfalls, and if you are moving in the direction of HDI I would strongly recommend this course. Gary has done so much work with this type of fabrication at his company (FTG), and with so much related experience in his involvement with IPC, you can pretty much take whatever he says to the bank.
Susy Webb seems like the hardest working gal in the game, and has nearly accomplished a complete curriculum for new board designers.
Starting with the basics in her introductory “Symbols and Schematics” class, and moving from “Parts and Placement” through “Routing and Finishing” and even “PCB Layer Stackups,” finishing with “EMI” and “Signal Integrity” presentations. She is getting close to offering the new designer a start-to-finish introduction to the whole electronics development process.
And the good news? All of her presentations are available on the Proceedings CD.
Finally, many of you may wonder what exactly happens to your Gerber data once it leaves your CAD system, and whether that ubiquitous fabrication note “Data May Not Be Modified” really means anything at all. Well, Mike Tucker’s presentation about CAM departments is a welcome addition to any PCB design program, and thanks go to Colonial Circuits (his new employer) for letting him continue to present it.
This is definitely something any board designer worth his salt should know about.
Feeling left out? I apologize to all of the presenters that I wasn’t able to mention in this review. With multiple events happening in every time slot, I simply wasn’t able to make it to everything this year. Fortunately, the proceedings disk contains most of the information from the conference and is available from UP Media at http://pcbwest.com/2011/proceedings/.
Exhibitionism. Although the exhibit spaces have seemed to be shrinking in size over the last decade or so, UP Media does a great job of bringing folks onto the floor. The time frame was shorter, and I suspect the exhibitors are happy enough with not having the show drag on and on for days, so that now the entire event happens in a single session! I love it.
Everyone is there for one entire day and it seemed downright festive.
The event included free lunch for everyone, bringing a lot of traffic into the space virtually the moment it opened, and ended in the evening with open bar for everyone, so even those who need a little of that old-fashioned “social lubricant” could get into the scene. The vendors I talked to seemed to be getting a lot of worthwhile leads this year, and I sensed a real note of optimism that I haven’t felt lately. Hope it was a worthwhile experience for everyone who participated.
Gossip column: Happy for Happy. Many of you know Happy Holden from his long career at Hewlett Packard, many of you know him from his educational conference presentations while working with NanYa, many of you know him for his most excellent introduction to HDI, The HDI Handbook, many of you know him for his work divining the future for Mentor Graphics, and many of you know him for his “retirement” to become the CTO of Foxconn’s Advanced Technology Division in Taiwan. I might have predicted that we had seen the last of Happy; that he had moved so high up the ivory tower that we would never hear from him again. Not so! Happy is moving back to the states! (hope he doesn’t resent me for this announcement). Maybe we will all benefit from his presence again.
Stay tuned … (Michigan?)

Howdy PODners! OK, how many years ago did we start talking about a Universal Library? How long ago was it that Tom Hausherr started collecting PADS library components, analyzing them, collating them, creating a consensus that eventually turned into the PCBLibrary Viewer and Calculator and Wizard?

And when these tools got linked together with the IPC-7351 Land Pattern Standard, it seemed like we were close to crossing the goal line, from then on into the future the world could have a consistent approach to creating reliable footprints for every major CAD system. So, what happened? Well, the short story is that Valor bought PCBLibraries, which seemed like a good idea since Valor was already supporting every major CAD system, but then Mentor Graphics bought Valor. Uh Oh! would Mentor support the dream? Not exactly … they soon started stripping off the interfaces to the competitor’s products, and the most recent news that is that in July they kicked Tom and his team to the curb. sad, Sad, SAD. But, looking at it another way, it could be the best thing that ever happened to propel us toward the dream of a Universal Library, because Tom and his Partners are back together and working on a monster plan for a new web-based library (which will eventually be at http://PCBpod.com). Right now they are putting together the parameters for a set of new and improved land pattern conventions that address many of the common issues. For example, why should we be screening so much silkscreen underneath components for high-volume products that can’t even be seen after assembly? We are wasting a lot of ink for no reason, folks.
Anyway, that might be a minor issue for many of you and it is just an example, but the good news is that these issues are actively being discussed, hopefully to be resolved with the IPC during some meetings in October, and then these parameters will be public-domain for all to use.
And what will happen to Mentor’s calculator? Who cares…!

PCU for me and you. Also, you’ve probably already heard, but UPMedia is putting together various educational materials which will hopefully evolve into a full curriculum under the banner “Printed Circuit University.

Registration is free, and once your account is set up you will have access to many free resources, and for a fee you can access the in-depth tutorials such as Eric Bogatin’s Signal Integrity series. Check it out! You might even find some videos there from this year’s conference by Kelly Dack.

The missing piece. Finally, the conference just wasn’t the same without Rick Hartley, one of the educational icons of our industry. Hope you’re feeling better, Rick!

Surfin’ the learnin’ curve,
Jack Olson
http://HowToPCB.net

Talk Isn’t Cheap

Communicating is hard. It took thousands of years just for man to develop a common language. I don’t suppose, then, even in our “enlightened” state, we should expect it to be easy to develop a common, complete method for describing all the myriad features of a printed circuit board.
This week at PCB West, the Silicon Valley annual trade show, a special panel will convene to address just that decades-old issue. (Disclosure: I’m the moderator.) I don’t expect the group to solve all the industry’s data problems in just 90 minutes, but I do think a few key aspects will be noted.

Here’s a question I plan to raise: Would the problem of unintelligent data files be essentially resolved if the initial cost to upgrade were lower?

Upstream, Intel, for example, sends an army of engineers to its suppliers to help them implement new processes. Few companies have the resources of Intel, of course. No fabricator does. And this leaves the fabs in a bind: They know that Gerber is insufficient, and spend countless hours massaging (often without their customer’s knowledge) the bad or incomplete data received from design. But with tooling jobs stacking up on their desks, and margins cut to the bone, they claim no resources to spend on implementing one of the richer data transfer formats like ODB++ or IPC-2581.

So who pays?

Neither IPC nor Valor make any money directly from their respective data transfer formats, so it’s unlikely either would see the value in extending themselves further by underwriting the onsite development and implementation work. (Whether they should anyway is a column for another day.) Designers tend to be risk-averse: They are unlikely to risk their jobs on something upper management is not mandating. Thus, it may be that the fabricators need to start assigning a CAM engineer to its key customers — perhaps one at a time, to keep costs down — to help them get up and running — no matter which rich format they choose.

The argument for switching to a superior format(s) is that manufacturers will save money down the road. I understand, however, that quantifying the cost savings is exceedingly difficult. Moreover, as one CAD developer told me, there’s an unwritten incentive for the status quo (read: Gerber) because manufacturers don’t want to appear inflexible.

I would argue that the industry’s margins can’t afford to keep sending bad data downstream and hoping for a miracle in return. Fabricators over the past decade have lost most of their influence over the printed circuit board development. This is an area where they can truly coach their customers — and add value in the process. They should grab it.

Talk Isn’t Cheap

Communicating is hard. It took thousands of years just for man to develop a common language. I don’t suppose, then, even in our “enlightened” state, we should expect it to be easy to develop a common, complete method for describing all the myriad features of a printed circuit board.

This week at PCB West, the Silicon Valley annual trade show, a special panel will convene to address just that decades-old issue. (Disclosure: I’m the moderator.) I don’t expect the group to solve all the industry’s data problems in just 90 minutes, but I do think a few key aspects will be noted.

Here’s a question I plan to raise: Would the problem of unintelligent data files be essentially resolved if the initial cost to upgrade were lower?

Upstream, Intel, for example, sends an army of engineers to its suppliers to help them implement new processes. Few companies have the resources of Intel, of course. No fabricator does. And this leaves the fabs in a bind: They know that Gerber is insufficient, and spend countless hours massaging (often without their customer’s knowledge) the bad or incomplete data received from design. But with tooling jobs stacking up on their desks, and margins cut to the bone, they claim no resources to spend on implementing one of the richer data transfer formats like ODB++ or IPC-2581.

So who pays?

Neither IPC nor Valor make any money directly from their respective data transfer formats, so it’s unlikely either would see the value in extending themselves further by underwriting the onsite development and implementation work. (Whether they should anyway is a column for another day.) Designers tend to be risk-averse: They are unlikely to risk their jobs on something upper management is not mandating. Thus, it may be that the fabricators need to start assigning a CAM engineer to its key customers — perhaps one at a time, to keep costs down — to help them get up and running — no matter which rich format they choose.

The argument for switching to a superior format(s) is that manufacturers will save money down the road. I understand, however, that quantifying the cost savings is exceedingly difficult. Moreover, as one CAD developer told me, there’s an unwritten incentive for the status quo (read: Gerber) because manufacturers don’t want to appear inflexible.

I would argue that the industry’s margins can’t afford to keep sending bad data downstream and hoping for a miracle in return. Fabricators over the past decade have lost most of their influence over the printed circuit board development. This is an area where they can truly coach their customers — and add value in the process. They should grab it.

A New Trend in Assembly Shows?

Years ago, three major events dotted the US electronics assembly trade show landscape. They included Nepcon East, Surface Mount International, and the mother of them all, Nepcon West.

While Nepcon West was the undisputed champ, all three shows were worth attending, and exhibitors often made new product announcements at each one.

Interestingly, and for reasons too detailed to get into here, none of those shows exist today. And for much of the 2000s, the place to roll out new products became IPC’s Apex. Other events were relegated to regional status, and traditionally were staffed as much by distributors as by OEMs.

There’s a few small signs that trend may be shifting again. While IPC Midwest, taking place this week in the Chicago suburbs remains a local show (and honestly, could they make seeing the exhibitor list any more user-unfriendly?), SMTAI is at long-last beginning to fill the niche for a seasonal alternative to Apex. To wit, we’ve received numerous press releases of late reporting new products to be introduced at SMTAI. That’s evidence suppliers see the venue as a viable place to make product launches.

Also at SMTAI, on Oct. 18, I am cochairing (with CIRCUITS ASSEMBLY columnist Sue Mucha) a panel titled “Global Strategies for Lowering EMS Costs” at SMTAI in Ft. Worth, TX. Topics include EMS in Eastern Europe; networking technical trends; improving quality, delivery and cost in high mix manufacturing; and vapor phase technology, and feature speakers from Kimball, Tailyn, Fabrinet and IBL Technologies. We conclude with a panel on building an EMS cost model.

I can’t mention these events without touting our own. Next week marks the 20th annual PCB West conference and exhibition at the Santa Clara (CA) Convention Center. Traditionally the industry’s leading conference for printed circuit board design and fabrication, we have beefed up the electronics assembly side (with a big assist from the Silicon Valley SMTA Chapter). Highlights include papers on low silver solder alloys, advanced packaging, new plasma-based PCB surface finishes, and lead-free electronics risk reduction, presented by such leading companies as Hewlett-Packard and Amkor. Check out the program at pcbwest.com.  We really hope to see you there.

Served Up

The trend toward “do it yourself” servers among the major Internet and social media companies reinforces the end-customer’s position at the top of the electronics supply chain.

Google, Facebook and other major dot.com companies are migrating away from off-the-shelf equipment in favor of custom-designed and built machines that better meet their specific needs. While the trend — custom-built servers now make up 20% of the US server market, according to a recent report by research firm Gartner — isn’t completely new, it is now affecting the bottom lines of H-P, Dell and other OEMs that live in that space.

Moreover, Google and Facebook are employing large numbers of hardware designers, once again taking the top talent away from the manufacturing floor (the companies then outsource the actual product build). It could also change the services model: Will repair be performed by the major EMS companies, or by local or even internal specialists?

I suspect the major server makers will try to adapt their product lines, but the question remains whether the Googles of the world will let them far enough through the door to get a good feel for the technology needs, or whether the major dot.coms become mini-Apples in which paranoia trumps partnering.

Served Up

The trend toward “do it yourself” servers among the major Internet and social media companies reinforces the end-customer’s position at the top of the electronics supply chain.

Google, Facebook and other major dot.com companies are migrating away from off-the-shelf equipment in favor of custom-designed and built machines that better meet their specific needs. While the trend — custom-built servers now make up 20% of the US server market, according to a recent report by research firm Gartner — isn’t completely new, it is now affecting the bottom lines of H-P, Dell and other OEMs that live in that space.

Moreover, Google and Facebook are employing large numbers of hardware designers, once again taking the top talent away from the manufacturing floor (the companies then outsource the actual product build). It could also change the services model: Will repair be performed by the major EMS companies, or by local or even internal specialists?

I suspect the major server makers will try to adapt their product lines, but the question remains whether the Googles of the world will let them far enough through the door to get a good feel for the technology needs, or whether the major dot.coms become mini-Apples in which paranoia trumps partnering.