1 ProductsQualityLogisticsHistory | Market Why NIC is preferred Passive Component Update Topics:

1

Products Quality LogisticsHistory

www.niccomp.com | www.LowESR.com

Market

Why NIC is preferred

Passive Component UpdateTopics:• Market• Technology • Production • Material Issues

New & Redesign RecommendationsNew Products

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Market


Sources:

Nippon Industries Company Ltd (Japan)

NIC Components Corp. (Taiwan)

Paumanok Publications, Inc Leading passive component market analysts… & publishers of

Passive Component Industry Magazine

Bi-monthly look at the passive component market and technology www.paumanokgroup.com/

Reed Electronics Research www.rer.co.uk

Electronic Buyer News (EBN) www.ebnonline.com

Electronic Component News (ECN) www.ecnmag.com

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Market


Changing Technology Impact Passive Devices

Technology Innovations

Lower voltage of operation = increased circuit current = higher demands on voltage - power management circuitry = tighter line (supply voltage) regulation (reduce ripple voltage) = increased demand for low ESR capacitors

Faster circuit speeds = reduced response time for voltage - power management circuits = increased demand on capacitor bank

Higher frequency operation = reduced trace distances = better performing & smaller devices All impact signal & supply voltage integrity

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Market


Development of Passive Components

Passive component research & development:

New & Improved Materials+ improve characteristics + reduce costs

Improved Processing & Equipment + expanded available range+ increased production+ reduced components sizes

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Market


Passive Component Usage by Market

Medical2%

Defense3%

Automotive11%

Industrial5%

Communication25%

Computer / EDP24%

Consumer (AV & Appl)

30%

I mportant Segments Global Units 2002 Production Passive Comp ValueCell Phones 420 Million $6.23Hard Disk Drives 185 Million $2.37TV Monitors 160 Million $12.96PC Motherboards 112 Million $19.50PC Monitors 85 Million $6.93Automotive 55 Million $49.45Game Console 45 Million $26.00Audio 25 Million $35.00Laptop PC 25 Million $21.60High Speed Modems 20 Million $8.68Digital Cameras 15 Million $12.67

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Market


Passive Components Markets

Review:

• ~12% growth in 2002 Passive Component Market ($ value) as compared to 2001 level

• Price erosion is substantial

• Limited capacity expansion

Alum E-Cap9%

MLCC80%

SLC6%

Tant E-Cap2%Film

3%CAPACITOR MARKET (2002) 615 Billion units = $8.38 billion

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Market


MULTILAYER CERAMIC CHIP CAPACITORS : Materials Shift

Electrodes (PdAg or BME- Base Metal: Nickel)

BME

Pd-Ag

2002 Estimates: 70% of global MLCC production is BME

Nickel Electrode Powder Shipments1995 = 95 Tons2000 = 645 Tons2005(E) = 1830 Tons

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Market


MULTILAYER CERAMIC CHIP CAPACITORS : Materials Shift

Pd-Ag … Price Per Troy Ounce (USD)

$152 $130$181

$300

$700

$591

$360

$ 0

$ 100

$ 200

$ 300

$ 400

$ 500

$ 600

$ 700

$ 800

1995 1996 1997 1998 2000 2001 2002

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Market


MULTILAYER CERAMIC CHIP CAPACITORS : Developments

Nickel electrodes & Copper terminations = reduced component costs

– Greater equipment (firing) costs

Increased number of layers [ >100 layers ]

1uF and above = very low ESR [ sub 0.010ohm @ 100KHz)

X7R (-55 ~ +125) & X5R (-55 ~ +85) = ±15% Cap change

Encroaching upon tantalum electrolytic range

100uF / 6.3VDC [1210 in X5R & Y5V TCs]

Thinner (sub–micron) dielectric layers = lower voltage ratings

– Voltage-coefficient effects

– Aging effects & piezo-electric noise

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Market


MULTILAYER CERAMIC CHIP CAPACITORS

NMC Series: MLCCsCeramic Chip Capacitors 0201 size NPO = (101) 100pF / 25VDC X7R = (332) 3300pF/16VDC X5R = (103) 0.01uF/10VDC New! X5R = (104) 0.1uF/4VDC 0402 size NPO = (471) 470pF / 16VDC X7R = (104) 0.10uF/10VDC New! X5R = (105) 1.0uF/10VDC Y5V = (105) 1.0uF/6.3VDC 0603 size NPO = (182) 1800pF / 50VDC New! X7R = (105) 1.0uF/10VDC New! X5R = (225) 2.2uF/6.3VDC Y5V = (225) 2.2uF/10VDC

0805 size NPO = (682) 6800pF /50VDC New! X7R = (475) 4.7uF/10VDC New! X5R = (106) 10uF/6.3VDC Y5V = (106) 10uF/10VDC 1206 size NPO = (103) 0.01uF /50VDC New! X7R = (106) 10uF/6.3VDC X5R = (226) 22uF/10VDC Y5V = (226) 22uF/10VDC 1210 size NPO = (103) 0.01uF / 50VDC X7R = (106) 10uF/16VDC X5R = (476) 47uF/6.3VDC New! X5R = (107) 100uF / 6.3VDC New! Y5V = (107) 100uF / 6.3VDC

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Market



MLCC Market:Year 2000 was record year (30% growth to $5.6Billion; source RER) for MLCC industry with demand exceeding supply and prices inching up. During year 2000 crunch many producers added considerable production expansion equipment. Supply should meet all demands through year 2002 & 2003. Pricing has eroded due to over-supply and reduced costs of raw materials (BME vs. Pd-Ag).

MLCC expansion has been focused on BME (Base Metal Electrode; nickel) construction for X7R and Y5V as opposed to Pd-Ag electrode construction. NPO will remain Pd-Ag (although with reduced Pd loading) and will likely transition to BME over time.

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Market



Case Size 2002 2003

0201 6KK 20KK

0402 400KK 600KK

0603 550KK 650KK

0805 200KK 200KK

1206 55KK 50KK

> 1206 15KK 15KK

Cap Arrays 5KK 20KK

TOTAL = 1230KK 1555KK

NIC Monthly Capacity by Case Size

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Market



NMC Series: 0201 size MLCCsUltra-Small Ceramic Chip Capacitors[L x W x H = 0.6 x 0.3 x 0.3mm]

NPO + 10V / 16V / 25V / 50V+ 0.47 ~ 100pF+ P/N: NMC0201NPOxxx

X7R + 16V / 25V / 50V+ 39pF ~ 3300pF + NMC0201X7Rxxx

Applications:Ultra-Small for Hand Held – Embedded Device

Precautions:Solder Paste & Placement Issues

X5R & Y5V+ 4 / 6.3 / 10V + 1200pF ~ 0.1uF + NMC0201X5Rxxx

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Market



NMC-L / NMC-M Series:Low ESR / High Q NPO Ceramic Chip Capacitors 0402, 0603, 0805 O.5 ~ 150pF Low ESR / High Q up to 2GHz

Ultra-Stable High Frequency NPO Ceramic Chip Capacitors NIC, has added a new range of low ESR multilayer ceramic chip capacitors. Ideally suited to high speed, high frequency applications such as those found in Bluetooth and Wi-Fi (IEEE 802.11b) products. Manufactured using ultra stable, low loss NPO/COG dielectric, the devices are available with values ranging from 0.5pF to 150pF. Both 50V dc and 100V dc rated parts are available. Supplied in tape and reel packaging, the NMC-L range is compatible with both re-flow and flow soldering processes.

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Market


Transition away from larger (>0805) sizes

Use 0603 and 0402 on new and redesigns as much as possible

Smaller sizes have best availability and lowest costs going forward

Be aware and plan for possible future P&D issues with:

– Larger (>0805) sizes

– Higher voltage parts (>100VDC)

– High capacitance (high Pd content) NPO

MULTILAYER CERAMIC CHIP CAPACITORS : Recommendations

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Market


SMT ALUMINUM ELECTROLYTIC CAPACITORS:

Market - Technology:SMT aluminum electrolytic types have led (and will continue to lead) in high demand. Useful as alternates to chip tantalum in many applications, and at lower cost has fueled growth – acceptance industry wide. No raw material – production issues are expected to impact this product type. Lower unit pricing expected over time as non-Japanese manufactures accelerate production.

Focus (chiefly solid electrolyte types) in development of lower ESR – Z types for lower voltage – higher current power management applications. Introduction of larger case sizes has allowed higher capacitance values and high voltage rated versions, as replacement for leaded & snap-in types.

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Market


NIC Monthly Capacity by Size

SMT ALUMINUM ELECTROLYTIC CAPACITORS:

2002 2003Size (Dia.) Capacity (unit: Kpcs) Capacity (unit: Kpcs)

3 ø 1,000 2,0004 ø 30,000 37,5005 ø 8,500 10,000

6.3 ø 18,000 21,5008 ø 10,000 12,50010 ø 3,500 4,000

12.5 ø & Larger 2,200 3,200Total = 73,200 90,700

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Market


SMT Low ESR ELECTROLYTIC CAPACITOR COMPARISON:

NICSeries

Type Voltage ESRRipple

CurrentRating

Life at (RatedTemperature)

Cost Size

NACXNACZNACZF

V-ChipLiquid

Electrolyte

6.3 ~100VDC

From0.028 ohm

0.03 ~ 2.49AMODERATE(+105degC)

LOWEST 4x5.5 ~ 18x22

NSPEV-ChipHybrid

Electrolyte4 ~ 16VDC

From0.023 ohm

0.90 ~ 2.18AMODERATE(+105degC)

MODERATE6.3x6.3,8x10.8,10x10.8

NSPVNSPZ

V-ChipSolid Aluminum

2.5 ~ 25VDCFrom

0.015 ohm1.35 ~ 5.10A

LONG(+105degC)

HIGH6.3x6, 8x7,

10x8

NSP Flat ChipSolid Aluminum

2 ~ 16VDCFrom

0.005 ohm1.30 ~ 4.00A

LONG(+105degC)

HIGHESTSMALL

D (7343)

NTPFlat Chip

Polymer CathodeTantalum

4 ~ 10VDCFrom

0.018 ohm0.10 ~ 2.89A

LONG(+105/+125degC)

HIGHSMALLJ ~ D

NTC-LFlat Chip

MnO2 CathodeTantalum

6.3 ~ 35VDCFrom

0.100 ohm0.37 ~ 1.10A

LONG(+125degC)

MODERATESMALLB ~ D

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Market


POLYMER CATHODE

TANTALUM

TYPE: SMT V-ChipPlastic Molded SMT Flat Chip Radial Lead SMT V-Chip Radial Lead

Plastic Molded SMT Flat Chip

ELNA PV - - - - - - - - - - - - - - -

FUJ ITSU - - - - - - FP-RE - - - - - - - - -

KEMET - - - AO-CAP - - - - - - - - - KO-CAP

NIC Components Corp.

NSPZ NSP NSPZR NSPE NSPER NTP

NICHICON NA - - - SEP - - - - - - F55

PANASONIC SPV SP - - - - - - - - - - - -

SANYO SVP - - - SEP - - - - - - POSCAP

UCC- NIPPON CHEMICON

PXA PT PS - - - - - - - - -

SOLID ALUMINUMHYBRID ELECTROLYTE

ALUMINUM

Many E-capacitor suppliers have developed low ESR capacitors…

NIC offers the most options – design choices…

SMT Low ESR ELECTROLYTIC CAPACITOR COMPARISON:

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Market


Use SMT aluminum electrolytic capacitors: + when low cost is needed (lowest cost per uF of SMT types)

+ when high voltage (>20VDC) rating (or no de-rating is possible) is required + when >470uF is required (values to 6800uF in SMT Alum V-Chip)

+ where component must be tolerant of voltage – current transients+ where component height can be tolerated+ when looking to replace leaded electrolytic capacitors + when high speed placement is needed & reflow soldering

SMT ALUMINUM ELECTROLYTIC CAPACITORS:Recommendations

SMT aluminum electrolytic capacitors are available in:+ Low ESR – Solid Aluminum (100KHz ESR to 0.005ohm)

+ High Voltage (up to 450VDC)

+ 125°C, 105 °C & 85°C Ratings+ Low Leakage Current & Bi-Polar Styles

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Market


LEADED ALUMINUM ELECTROLYTIC CAPACITORS

Market & Technology:Explosive growth in SMT type is replacing portions of radial leaded applications. No raw material – production issues expected to impact this product. Focus is upon development of lower ESR – Z types for lower voltage – higher current power management applications. Elimination or alternate to PVC Sleeving to be phased in. Migration of Japan – Taiwan production to China likely will result in price erosion over time

2002 2003Size (Dia.) Capacity (unit: Kpcs) Capacity (unit: Kpcs)

4 ø 4,000 5,0005 ø 8,910 12,000

6.3 ø 9,400 10,5008 ø 16,680 15,00010 ø 25,750 25,00012 ø 3,080 3,50016 ø 840 1,00018 ø 230 500

Others: 5,000 5,000Total = 73,890 77,500

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Market


LEADED ALUMINUM ELECTROLYTIC CAPACITORS

MARCH 2003 MARKET UPDATE:

+ Increasing lead times on Low ESR Radial (8 & 10mm diameters) from Japan

+ Motherboard producers in effort to isolate themselves from Taiwan E-cap troubles have booked available capacity from most Japanese suppliers

+ Consumer entertainment equipment showing strong demand; DVDs, set-top boxes, satellite dishes, video games, LCD televisions, flat panel plasma displays and audio systems

RECOMMENDATIONS:+ Prepare for longer lead times on 6.3mm, 8mm & 10mm diameter with scheduled orders out as long as four months.+ Consider building a buffer inventory on certain types and sizes.+ Choose quality manufacturers who can document raw material suppliers and provide life test data.+ Select suppliers with global logistic capabilities to insure allocation for each region.

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Market


LEADED ALUMINUM ELECTROLYTIC CAPACITORS: New Products

Ultra-Low ESR Solid Aluminum Electrolytic Capacitors(NSPZR Series) Radial Leaded100KHz ESR = 0.008ohm100KHz RCR = 5.500ArmsCapacitance Values = 180 ~ 820uFVoltage Ratings = 4 ~ 16VDCSizes = 8 & 10mm DiametersLowest ESR of Radial Leaded Types

Lower Cost Hybrid Electrolyte

Aluminum Electrolytic Capacitors (NSPER Series) Radial Leaded

100KHz ESR = 0.012ohm 100KHz RCR = 2.34Arms

Capacitance Values = 330 ~ 1000uF Voltage Ratings = 4 ~ 10VDC Sizes = 8 & 10mm Diameters

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Market


Low ESR Aluminum Electrolytic Capacitors(NRSK Series) Radial Leaded100KHz ESR = 0.012ohm100KHz RCR = 3.29ArmsCapacitance Values = 470 ~ 3300uFVoltage Ratings = 6.3 ~ 16VDCSizes = 8 & 10mm Diameters

4000 Hour Life Aluminum Electrolytic Capacitors

(NRSG Series) Radial Leaded100KHz ESR = 0.016ohm 100KHz RCR = 3.29Arms

Capacitance Values = 82 ~ 4700uF Voltage Ratings = 4 ~ 25VDC

Sizes = 6.3, 8, 10 & 12.5mm Dia.

LEADED ALUMINUM ELECTROLYTIC CAPACITORS: New Products

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Market


also see www.lowESR.com

NICSeries

Type Voltage ESRRipple

CurrentRatings

Load Life at+105degC

Cost Size

NRSZNRSX

LiquidElectrolyte

6.3 ~100VDC

From0.015 ohm

0.03 ~ 3.20AMODERATE

2000 ~ 7000hours

LOW4x7~

18x35.5

NRSG LiquidElectrolyte

6.3 ~ 35VDCFrom

0.016 ohm0.40 ~ 3.29A

BETTER2000 ~

4000hoursLOW

6.3x11 ~12.5x30

NRSJNRSK

LiquidElectrolyte

6.3 ~ 50VDC6.3 ~ 16VDC

From0.012 ohm

0.92 ~ 2.55A1.14 ~ 2.80A

MODERATE2000 hours

LOWEST 8x11.5 ~ 10x23

NSPER HybridElectrolyte

4 ~ 10VDCFrom

0.012 ohm1.45 ~ 2.34A

MODERATE2000 hours

MODERATE8x11.5 &10x12.5

NSPZR SolidAluminum

4 ~ 16VDCFrom

0.008 ohm4.36 ~ 5.54A

LONGEST(No Dry-Out)

HIGH8x11.5 &10x12.5

RADIAL LEADED Low ESR ELECTROLYTIC CAPACITOR COMPARISON:

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Market


Use Leaded aluminum electrolytic capacitors: when lowest cost is needed (lowest cost per uF of all types)

when high voltage (up to 450VDC) rating (or no de-rating is possible) is required when high capacitance is required (values to 1.2Farad = 1,200,000uF)

where component must be tolerant of voltage – current transients where component height can be tolerated

LEADED ALUMINUM ELECTROLYTIC CAPACITORS:Recommendations

Leaded aluminum electrolytic capacitors are available in: Low ESR – Solid Aluminum (100KHz ESR to 0.008ohm) High Voltage (up to 450VDC)

+125°C, +105 °C & +85°C Ratings Low Leakage Current & Bi-Polar Styles Radial, Snap-In and Screw Terminals

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Market


SMT TANTALUM ELECTROLYTIC CAPACITORS

Market :Year 2000 was record year (~50% growth from 1999* *source RER). High demand, with long lead times and pricing increases. Since late 2000 standard construction (MnO2 cathode) capacitors demand has dropped significantly. Industry over-stock and reduced demand has resulted in severe continued price erosion. Raw material supply - chain has been expanded and is projected to be stable for 10+ years. NEW Reduced case sizes low voltage 2.5VDC ~ 16VDC 0603 (J) 0805 (P)

MONTHLY CAPACITY

CASE SIZE 2002 (UNITS) 2003 (UNITS)

P & J 4 KK 10 KK

A 15 KK 25 KK

B 15 KK 20 KK

C 6.5 KK 7.5 KK

D/E 6.5 KK 7.5 KK

TOTAL 47 KK 70 KK

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Market


SMT TANTALUM ELECTROLYTIC CAPACITORS

STEPS PROCESS 1 Powder Mixing Tantalum Powder 2 Pressing Tantalum Wire 3 Vacuum Sintering 4 Pellet Assembly 5 Oxide Film Formation Forming Liquid 6 Manganese Dioxide or Polymer Cathode Formation 7 Graphite Baking Graphite 8 Conductive Layer Formation 9 Anode/ Cathode Connection

10 Silver Paste 11 Lead Frame 12 Conductive Adhesive 13 Molding Resin 14 Marking Ink 15 Burn-I n 16 Lead Forming 17 Inspection

Cathode Materials:MnO2 – Standard & reduced ESRPPY - Polypyrrole (Low ESR)

Refined tantalum powder suppliers – supply chain were source of year 2000 shortage

TANTALUM CAPACITOR PROCESS

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Market


LOW ESR POLYMER CATHODETANTALUM ELECTROLYTIC CAPACITORS

Technology: Use of POLYMER in place of MnO2 for CATHODE results in low ESR, high ripple current ratings (RCR) and suppression of combustion (will not support flame) under failure. Applications in high density low voltage – high current power management designs. Larger sizes C & D/V cases continue to be popular. Expansion has covered all sizes P ~ D/V. Newer NTP series parts developed include lower ESR 0.015-ohm products.

Polymer Cathode SuppliersNIC NTPKemet T520 "KO- Cap"Tokin- NEC PSL "NeoCap"Sanyo TP "PosCap"Nichicon F55

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Market


Niobium Electrolytic Capacitors

Niobium is one of the alternatives being considered to replace tantalum in capacitors. Estimates, niobium is over 100 times more plentiful than tantalum (less than 1/10th the cost). NIC’s NBP series has same construction as conductive polymer cathode tantalum (NIC NTP Series). It is anticipated that in the future, niobium capacitors will be used for high-capacity devices (up to 1000µF), which are too costly to produce using tantalum.

NIC’s niobium capacitor at a glance Specifications:Rated Voltage 2.5VCapacitance 220uFSize (D) 7.3 x 4.3 x 2.8mmESR 0.055ohmsPart Number NBP series (specifications in development)

[Higher material costs (as compared to tantalum types) has suppressed product develop activity on Nb types at most e-cap producers]

NEW TECHNOLOGY COMPONENTS:Materials - Product Development

41

Nb92.90638

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Market


Use SMT tantalum aluminum electrolytic capacitors: + when small size is required + when low profile (low head-row) is needed+ where long life at high temperature operation (>+65°C) is needed + where operation voltage is tightly regulated:

protected from transients, over-voltage or reverse voltage + when looking to replace leaded electrolytic capacitors + when high speed placement are needed+ when flow – wave soldering compatibility is needed

SMT TANTALUM ELECTROLYTIC CAPACITORS:Recommendations

Today SMT tantalum electrolytic capacitors are available in:+ Low ESR – Polymer Cathode and MnO2 Cathode Types+ Reduced 0603 (J) & 0805 (P) case size + Capacitance values to 470uF (2VDC)

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Market


FILM CHIP CAPACITORS (SMT)

Raw Materials: (PEN / PPS Films) Thin metallized films (16 ~ 100VDC) Stable characteristics over temperature, voltage & time

(as compared to X5R/X7R/Y5V/Z5U ceramics)

0805 / 1206 / 1210 / 1913 / 2416 Sizes High capacitance - tight tolerance (up to 0.47uF in ±2%, ±5%)

Low dielectric absorption (DA) characteristics for A/D conversion applications Low dissipation factor (DF) for high efficiency display circuits

(portable - battery powered designs) Immunity to cracking = good choice as compared to SMT ceramic capacitors

Recommendations:Use SMT film chip capacitors

When need better performance than ceramic types is needed When (MLCC) component cracking has been issue When lowest loss (DF) for high circuit efficiency is needed

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Market


Technology RoadmapSMT Magnetics Products

SMT – Surface Mount

Ferrite Chips Beads: Noise suppression – filtering at high frequency

Standard (low ~ medium current) 0603 ~ 1812 sizes

High Current (5Amp) Lead & Core 1612, 3119 & 3312 sizes

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Market


SMT – Surface Mount Chip Inductors:

NIS Series: Surface Sprial (high Q) 0201, 0402 & 0603 sizes

NML Series: Multilayer (MLI) Chips 0402 & 0603 sizes

NIN-H Series: WireWound Open Frame (high current)

0402, 0603, 0805 & 1008 sizes

NIN-F Series: WireWound Molded Case

1008, 1210 & 1812 sizes

NPI Series: Power Inductors (High Current Power Supplies)

9.0mm x 12.0mmm size

High Frequency Performance!

Low Cost!

Crosses – Replaces COILCRAFT

Power Supplies

Older Designs

Technology RoadmapSMT Magnetics Products

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Market


SMT Magnetics Products

Cross-Reference:

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Market


SMT RESISTORS & ARRAYS

Market & Technology:Slow market conditions for thick film resistor products. Pricing has eroded to historical low levels. Alumina substrates cost is largest cost factor. Focus on 0402 & 0603 sizes for new and expanded production. Smaller (0201) size will be expanded as market acceptance increases. 0404, 0408 & 0612 Array sizes expansion ahead of larger sizes. Development of better lower TCR,sub 1.0 ohm and high 100 Mega-ohm styles [ NRC-E series ]

MONTHLY CAPACITYCASE SIZE 2002 (UNITS) 2003 (UNITS)

0201 20KK 50KK

0402 330KK 450KK

0603 600KK 600KK

0805 350KK 350KK

1206 200KK 200KK

1210 / 2010 / 2512 40KK 50KK

ARRAYS 40KK 50KK

TOTAL 1580 KK 1750KK

Chip ResistorGlobal Market

Value: 1998 = $0.82 Billion2000 = $1.37 Billion2002 = $0.69 Billion

[ Source: 2002 Paumamanok ]

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Market


LEGACY LEADED TECHNOLOGIES

High Voltage Ceramic Disc Capacitors • 0.5pF ~ 0.22uF• 12V ~ 15,000VDC Rated• Temperature compensating TCs (N150 ~ N3300 PPM/degC) • Taped, Bulk or Cut – Formed Lead Styles

Radial / Axial Film Capacitors• Polyester, Metallized Polyester, Metallized Polypropylene • 1000pF ~ 6.8uF• 100V ~ 630VDC Rated

MLCC Radial – Axial Ceramic Capacitors• NPO / X7R / Z5U • 1.0pF ~ 4.7uF• 50, 100, 200VDC

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Market


Carbon Film, Metal Film, Metal Oxide Film Resistors • 1.0 ohm ~ 10 Meg-ohm• 1/8W, 1/4W, 1/2W, 1W, 2W, 5W, 3W, 5W, 7W Rated• +/-1%, +/-2%, +/-5% tolerance • Taped or Bulk Boxed

SIP Resistor Networks • 4 ~ 13 Pins • Common – Bussed, Isolated or Custom Circuits• 10ohm ~ 3.3Meg-Ohm elements

LEGACY LEADED TECHNOLOGIES

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Market


ENVIRONMENTAL:LEAD–FREE | PVC - FREE

Environmental pressure to remove LEAD (Pb) & PVC Sleeving from components. Item defined as LEAD-FREE if lead content is less than

0.2% (NEMI) or 0.1% (JEITA) of total (component) weight

World Lead-free Soldering Roadmap and Agree to Eliminate Lead by 2005European legislation and the JEITA roadmap will use a target of 0.1wt percent.

Lead-free Solder Alloy Selection… The type of solder composed of Sn-Ag-Cu is recommended for board assembly

National Electronics Manufacturing Initiative (NEMI)

Japan Electronics and Information Technology Industries Association (JEITA) was formed on November 1, 2000, through the merger of the Electronic Industries Association of Japan

(EIAJ) and Japan Electronic Industries Development Association (JEIDA).

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Market


LEAD-FREE Terminal Finish Versions available today…

MLCC (100% Sn)

Tantalum E-Cap (100% Sn) Aluminum E-Cap (100% Sn & Sn-Bi*) Film Cap (100% Sn & Sn-Ag-Cu)

Chip Resistors & Thermistors (100% Sn)

Inductors & Ferrite Chip Beads (100% Sn & Sn-Cu) Diodes (100% Sn)

ENVIRONMENTAL:LEAD–FREE | PVC - FREE

Complete elimination of lead from terminal finish is need for compatibility to Lead-Free (Sn-Ag-Cu or Sn-Zn-Bi) soldering processes

SMT Alum E-Caps: Sn-Bi*

Sn-Zn-Bi group : NEC, Sharp, JVC

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Market


ENVIRONMENTAL:PVC - FREE

Removing PVC Insulation Sleeving Aluminum E-Caps

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Market


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Market


• Flow Chart

• Calibration

• Contract Review

• Control of Non-Conforming Material

• Corrective Action

• Document Control

• Handling, Storage

• Packaging and Delivery

• Inspection and Test Status

• Inspection and Testing

• Management Responsibility

• Process Control

• Product Identification and Traceability

• Quality Audits

• Quality Records

• Quality System

• Statistical Techniques

• Training

• ISO-9001:2000 Certification

• Global Support – Product Quality

Bruce HaskinDirector of Quality AssuranceNIC Components Corp.(631) 396-7500 x [email protected]

QUALITY CONTROL

44



Market


FLOW CHART:Customer Order QC Process

Customer OrderRequirement

Resolve withCustomer

Contract Review

Review CustomerSpecial

Requirements

Complywith

RequirementsNo

AddSpecial

RequirementsTo

CustomerMaster File

Yes

Yes

Enter order usingCX entry screen.

Print order inDist. Center

Picking Process.QMP 280-3

Pick and verify P/N and Qty.Comply with

customer specialinstructions

Yes

Final InspectionQMP 200

Verify P/N and Qty.Verify compliance

with customerspecial Instructions.

(Labeling /Packaging) Does the ordermeet customers

requirement

No

Packagingand

Shipping

Yes

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Market


Calibration

NIC Components maintains and controls all Measurement and Test equipment used to ensure product quality by:

• Identifying the calibration requirements of this equipment, and ensuring that the equipment remains in a state of calibration throughout specified intervals and conditions of use.

• Ensuring equipment is labeled with calibration status and next calibration due date.

• Using qualified external calibration facilities for all calibrations. The company maintains certified calibration records, which are traceable to NIST standards.

46



Market


Contract Review

All customer requests for quotations are reviewed by NIC Components to ensure that:

• The requirements are adequately defined and documented; where no written statement of requirement is available for an order received by verbal means, NIC Components ensures that the order requirements are agreed upon before their acceptance.

• NIC Components has the capability to meet the contract or accepted order requirements.

• All special contract requirements, special instructions, quality requirements, and delivery requirements are carefully reviewed, to determine whether the company is able to meet these requirements.

• Any requirements differing from those in the order are resolved.

• After acceptance, any changes to the scope of the contract will force additional contract review.

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Market


Control of Non-Conforming Material

A documented system is in place to control non-conforming material. The procedure outlines how non-conforming material is segregated and dispositioned.

All identified non-conforming material is segregated into the (RJ1) warehouse. Material received into this warehouse code cannot be inadvertently mixed or used as good inventory.

The Product Manager is responsible for the disposition of non-conforming material identified during receiving inspection.

The VP of Operations, Director of Quality Assurance, and the Warehouse Manager are responsible for the disposition of all other non-conforming material.

Records are maintained on all non-conforming material.

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Corrective Action

The company maintains a system for the timely corrective action of all conditions detrimental to product and process quality, including deficiencies encountered during processing. Supplier, Customer and Internal Audit corrective action systems are in effect.

The prime objective of the corrective action system is to preclude the recurrence of a nonconformance by identification and correction of the root cause and contributing factors.

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Document Control

The Director of Quality Assurance has overall responsibility for the creation, approval and issue of all QMS documents.

The Director of Quality Assurance is also responsible for ensuring that:

• Copies of appropriate documents are available at all locations where operations that can affect quality are performed.

• Obsolete documents are promptly removed from all points of issue and use.

Changes to controlled documents are permitted only after formal submission to the Director of Quality Assurance, who has overall responsibility for approving all changes. He/she will consult with the party(s) responsible for adherence to the document before approving a change.

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Handling, Storage, Packaging, Preservation and Delivery

Necessary protection of all products is provided to prevent damage, loss, deterioration, or substitution.

•Product is packaged with materials necessary to prevent deterioration, corrosion, or handling damage.

•A FIFO inventory usage system is in effect.

•Packaging and marking of products is in accordance with specified requirements to assure proper identification, preservation, and segregation, including delivery to the customer.

Inspection and Test Status

A system is in place to identify product and customer orders throughout the inspection process. Inspection status is identified on our computer system from product receipt through final inspection.

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Inspection and Testing

Inspection and Test is performed using documented procedures in the following areas: Receiving Inspection - A documented system exists for receiving inspection. 100% of all incoming receipts are visually inspected for manufacturer's part number, quantity, packaging, condition and documentation. Based on receiving history, suppliers are identified as "Skip Lot" and "Non Skip Lot". All "Non Skip Lot" suppliers require a more in-depth physical inspection.

In-process Inspection - Inspection is performed during the picking process to identify product that does not meet customer special requirements such as, date code restrictions, revision levels, packaging, and labeling. When an error is detected, the product is moved to a "mark out" area-awaiting disposition. Final Inspection - 100% final inspection is performed on all orders prior to shipment. Verification of manufacturer's part number, quantity, date code, packaging, bar code labeling, and customer specific instructions are performed.

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Management Responsibility

The Director of Quality Assurance is the Management Representative responsible for all matters related to quality and the Quality Management System (QMS).

The Director of Quality Assurance is a member of the company's senior management, and is afforded the authority, support, and resources necessary to adequately fulfill his/her responsibility.

The Director of Quality Assurance is charged with the following:

• Ensuring that the Quality System is established, implemented, and maintained in accordance with the requirements of ISO 9002.

• Setting quality objectives with other management personnel.

• Determining the root causes of non-conformances, initiating corrective / preventive action and verifying solutions.

• Measure quality performance in key areas and review with senior management staff.

• All managers and supervisors are responsible for ensuring that company quality policies are understood, implemented, and maintained throughout the organization.

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Process Control

A system is established and maintained for monitoring all processing operations. Documented procedures are developed and maintained to ensure that material/product are consistently delivered to meet customer requirements.

Product Identification and Traceability

The part number, lot number and date code and a NIC internal item number identify all products. Inventory is traceable from the time of receipt to the time of shipment.

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Quality Audits

Internal quality audits are performed to verify that all Quality Operating Instructions are in compliance with the NI Components QA Manual. The internal quality audit addresses all clauses in ISO 9002. Personnel independent of the function(s) being audited perform audits. Corrective action requests are generated on non-conformances, and corrective action effectiveness is verified. Audit results are reviewed with the area manager/supervisor and distributed to upper management.

Quality Records

Quality records are maintained for all quality and inspection activities. Quality records are filed and retained for auditing, tracking, and reference purposes. Records are easily retrievable and maintained under appropriate environmental conditions.

Records are kept on file for a minimum of 5 years after the conclusion of a contract or activity.

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Quality System

The Quality Management System (QMS) is comprised of the following:

• The Quality Assurance Manual, which defines the policies relating to the elements of ISO 9001:2000.

• Quality Manual Procedures (QMPs) are the instructions written at the operator level to provide the operator with precise direction on how to perform his/her tasks.

• Records of work and inspections performed.

• Auditing of the system, to ensure compliance with procedures and the requirements of ISO 9001:2000.

• Documentation / Data control system.

• Corrective / Preventive Action system.

• Management Review.

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Statistical Techniques

Statistical techniques are used to measure internal and external quality data. The data collected is used to identify trends, reject types, and when necessary, to initiate corrective action.

The Director of Quality Assurance is responsible for creating monthly reports to be reviewed with upper management. The review is designed to monitor quality performance and continuous improvement efforts.

Training

It is an essential requirement of our Quality Management System that all staff be suitably trained, and demonstrate a satisfactory level of skill and knowledge in their functional areas.

Training records are kept on file and updated accordingly.

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ISO-9001:2000 Certification

NIC has been ISO-9002 certified since February 01, 1996NIC received ISO-9001:2000 certification on October 20th, 2002 Auditor: Underwriter's Laboratories Inc. Certification covers NIC facilities located: Melville, NY (USA) & San Jose, CA (USA)

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NIC Global Support – Product Quality

Asia Operations: NIC Components Asia Pte Ltd 701 Sims Drive, #07-01 LHK BuildingSingapore 387383Tel: 65-8441575Fax: 65-8441646 1 Supplier Quality Personnel on Staff

European Operations: NIC Eurotech Ltd14 Top AngelBuckingham Industrial ParkBuckingham MK18 1THUnited KingdomTel: 44 1280 813 737Fax: 44 1280 814 7371 Supplier Quality Personnel on Staff

e-mail:Global Technical Support: [email protected]

North American Operations Corporate Head Quarters: NIC Components Corp.70 Maxess Road Melville, NY 11747Tel (631) 396-7500Fax (631) 396-75753 Supplier Quality Personnel on Staff

Japan OperationsNippon Industries (Tokyo, Japan)

3 Supplier Quality Personnel on Staff

Taiwan OperationsNIC - EIAN (Taiwan)

1 Supplier Quality Personnel on Staff

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NIC Global Logistics Locations

Asia Operations: NIC Components Asia Pte Ltd 701 Sims Drive, #07-01 LHK BuildingSingapore 387383

Additional Sales Personnel in: Penang, Malaysia Hong Kong Shanghai, China

European Operations: NIC Eurotech Ltd14 Top AngelBuckingham Industrial ParkBuckingham MK18 1THUnited Kingdom

North American Operations Corporate Head Quarters: NIC Components Corp.70 Maxess Road Melville, NY 11747

Japan OperationsNippon Industries (Tokyo, Japan)

Taiwan OperationsNIC – EIAN(Taipei, Taiwan)

West Coast Operations: NIC Components Corp.2070 Ringwood Avenue San Jose, CA 95131

3PL: Monterey, Mexico Guadalajara,Mexico

3PL: Hong Kong

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Global Support

Shared Unified Data-base

Move programs – builds from location to location seamlessly

Single Global Part Numbers No competing -disputing regional divisions

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Eastern Europe

Mexico

Western Europe

SE Asia

West CoastUSA

Scandinavia

Mid-AtlanticUSA

Mid-WestUSA

NIC LocalWarehouses

(7)

NIC CA

NIC COMP ASIA

NIC NYNIC CA

NIC EUROTECH

NIC NY

NIC EUROTECH

NIC EUROTECH

Global Support Network

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NIC Components Corporation [ ™], in association with Nippon Industries Co. Ltd is a designer, manufacturer and worldwide supplier of passive components.

• Established in 1975 as a manufacturer of aluminum electrolytic capacitors, NIC has developed into a major supplier of capacitors, resistors, magnetics and specialty products.

• Using Nippon Industries' manufacturing and design expertise, a select group of specialized factories was recruited to augment our core products and add complimentary products to our expansive line.

• NIC's expertise and diligence in selection and integration of quality fabs is world-renowned. Long-term supplier relationships (averaging over ten years) have been fostered by shared strategy and partnering management teams.

• Quality is our number one commitment. Every step, from component design to raw material selection, manufacturing processing to final inspection is meticulously controlled.

1975 1982 1990 1996 1998

Nippon Industries Company - Japan

“NIC”

NIC Components Corp. (North America)

NIC West (San Jose)

NIC Eurotech(Europe)

NIC Asia(SE Asia)

2000~2002

NIC Regional Sales Offices

• Pacific North West• South East• Southern California• Canada

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NIC Products SURFACE MOUNT COMPONENTSCapacitors: » Aluminum Electrolytic Capacitors » Ceramic Capacitors: Chip - Array - IPC » Film Capacitors » Tantalum Electrolytic Capacitors » Low ESR Electrolytic Capacitors

Resistive Products: » Thick Film Chip - Array - IPC » NTC Thermistors

Magnetics: » Inductors » Ferrite Beads

Diodes & Circuit Protection: » Silicon Rectifier Diodes » Schottky Barrier Diodes » Varistors (MLV)

NEW! Lead-Free Products

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NIC Products

LEADED (TH) COMPONENTSCapacitors: » Aluminum Electrolytic Capacitors » Ceramic Capacitors » Film Capacitors » Tantalum Electrolytic Capacitors

Resistive Products: » Film Resistors » Networks


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Cutting Edge Technology Ultra-Low ESR Capacitors: Solid Aluminum E-Caps


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Cutting Edge Technology Ultra-Low ESR Capacitors: Solid Aluminum E-Caps


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Cutting Edge TechnologyLow ESR Capacitors: Hybrid Electrolyte Aluminum E-Caps


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Cutting Edge TechnologyLow ESR Capacitors: Polymer Cathode Tantalum E-Caps


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Cutting Edge TechnologyLow ESR Capacitors: High Capacitance & High Frequency MLCCs


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Cutting Edge TechnologyHigh Frequency (Wireless) Design Components


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Cutting Edge TechnologyUltra-Small (0201) Components

» MLCC Capacitors » Chip Inductors» Chip Resistors


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END

Documents

1 ProductsQualityLogisticsHistory | Market Why NIC is preferred Passive Component Update Topics: