An open letter to all of our customers:
It is apparent that 2021 will have its challenges. A most pressing matter is the world wide shortage of parts and materials. I have contacted most of you in the past and inquired about your future plans for this fiscal year regarding production levels. To meet your future needs, we here at E.L.I Holdings and ElectroLogic have prepurchased processors, chips sets, and critical semi-conductors to meet those production levels.
However, shortages of other active parts, such as arrays, operational amplifiers, and similar active components are now becoming problematic. New shortages in some passive devices is complicating the field even more. Finally, factory fires here in the United States and in the Pacific Rim have cut the supply of monomer feed stock (plastics of all kinds) as well as created a shortage of FR4; the material used to make printed circuit boards. Multi-layer PCB’s are very difficult at the moment. Other factory fires have cut a major source of the world supply of polysilicon. This is used in the manufacture of dozens of different types of semi-conductors, providing yet another body blow to an already besieged industry.
Because of these pot holes in the production road, our lead times are moving out – dramatically. We are seeing part lead times go out past 22 weeks and a few are now set at 18 to 20 months.
The purpose of this letter is to ask you to again look at your future projected needs and if you will need product this year, now is the time to place your orders for that future delivery and we will do our best to meet the date you request. This letter is not an attempt to bump sales. Far from it. We are doing our best to meet your needs and commitments on product orders will help us do that. Waiting will result in lead times that project to 2022 and 2023. This condition is expected to last well into the middle of the decade as semi-conductor manufacturers show a continued reluctance to expand capacity beyond present levels.
Best Personal Regards
Manager of Operations
E.L.I. Holdings, Inc.