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Networking gear is in short supply

Suppliers lag on orders
Thu Oct 08 2009, 11:11

NETWORK EQUIPMENT makers are experiencing shortages of key components.

According to Digitimes, these shortages are causing delays to order shipments. Currently supply for a number of key components, including both passive components and chips, is said to be very tight.

Most suppliers are sending parts to their favoured partners and not passing them down the food chain to new or less interesting customers.

Delivery of chips for high-end switch products has extended to as long as 20 weeks, compared to 12 to 18 weeks in the second half of 2008.

Network equipment manufacturers have been struggling to meet a sudden increase in market demand, Digitimes reports. In addition some of the big suppliers have overbooked parts and components leading to further shortages.

It is possible that some large networking projects might find it harder to get gear delivered quickly. µ

 

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