Online Component Market Ideas Never Die, But Can They Prosper?

More than 30 years ago, one of the first stories I reported on in the electronics industry was a startup whose founder wanted to create a marketplace for electronics components.

Called FastParts, the idea was based loosely on the US stock exchange. Sellers of excess parts could come together with buyers, and FastParts would act as the intermediary — much like the NYSE — providing a trusted guarantor of one company’s inventory and another company’s monies.

Depending on your perspective, founder Gerry Haller was either ahead of his time, or a solution in search of a problem. FastParts never panned out, but over the years we’ve seen several other companies attempt the same thing.

Today, the supply chain has rebounded more or less back in balance after the Covid shortages. In fact, there’s probably more inventory than buyers right now. Right on queue, another startup has entered the fray, offering safe harbor for buyers and sellers.

I’m not entirely sure what separates BidChip, the latest entrant, from its predecessors. But I do know this: Sooner or later, Amazon will recognize that the electronics components industry is one of the largest in the world and jump in with its both of its very oversized feet. And when that happens, will any of the others be left upright?

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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