At Component Sense, we know a lot about the grey market. We are technically part of it, after all. Many electronic component buyers do not understand the different shades of the grey market. It is certainly not black and white.
Component Sense Blog
Supply Chain Solutions
Many electronic manufacturers put excess and obsolete (E&O) component stock in the ‘too-hard’ basket. These companies are missing out on an extra revenue stream. Plus, failure to act means they are contributing to global electronic waste (e-waste) pollution.
The e-waste produced worldwide each year is worth over $62.5 billion. A tonne of e-waste contains 100 times more gold than a tonne of gold ore. Gold is just one of many precious metals used in microchips.
There is money to be made with excess inventory, so where are companies going wrong?
Most electronic manufacturers are unaware they are sitting on roughly 10% of their revenue in excess and obsolete (E&O) component stock. This truth can be concerning to learn for many OEM companies. It is no surprise that more and more OEMs are enlisting Component Sense to redistribute their E&O inventory through our local consignment option. We do the heavy lifting with our cutting-edge consignment process to provide you with effortless cash flow.
The electronic manufacturing industry has experienced an economic bubble marked by high demand and low supply in recent years. However, this bubble has now popped, and our market continues to level. Yes, the COVID-19 pandemic has contributed significantly to market volatility, but there is another force pulling the strings of our global supply chain: environmental change.
Are you concerned about the climate crisis?
Component Sense is. Established in Scotland in 2001, our business was born out of a need to reduce electronic waste and...