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42 SMT007 MAGAZINE I FEBRUARY 2019 type to preparing your components for volume manufacturing. What are the immediate types of challenges you're facing as you transition to optimizing for production and selecting manu- facturing sources? Ramanathan: This industry is going through the early stages of an "ah-ha" moment—the next big thing. Everybody wants to go there, but the proof is, "Can you do the volumes?" Not just volumes, but at automotive quality. One or two pieces for prototyping is great be- cause you can tinker with it and fine tune it. But when you go to the 100,000, 200,000 units, or a million units and you have a small flaw, it just blows up the market. So, how do we get this technology over to that level, like everyday use, where everybody gets in and out of an au- tonomous vehicle and feels confident. When I came on board, the very first ques- tion when I talked to AEye was, "Are you going to manufacture in-house?" They said, "No, we don't have that core competency." "Thank you. I'm on board." That's all it took me because I've dealt with a lot of manufacturers. I have been on both sides of the aisle. I was with a large medi - cal company—$80 billion—being a customer to most CMs. Then, I switched places and came over to CM for four years, and I saw on both sides there is a communication gap. When I came on board with AEye, I said the first thing is design for manufacturability (DFM), design for cost (DFC), design for supply chain efficiency, and design for quality (DFQ). Everything starts at the design. If you are going to make it in the millions, think and act like that. For CMs, play the game early. If you do not know the technology and are not keeping up to speed with what is needed in your manu- facturing, you won't have the setup to attract companies like us. When I talk to any CM right now, I tell them the same message: "I'll give you the list. There is no hide and seek. I want the supply chain to become large enough that we can achieve cost efficiency." If it's micro and there are only very few players, we don't get the cost efficiency. The message is, "If you want to play this game, invest some time in the technology and follow us." Johnson: It sounds a little bit like, "Build it, and they will come." Ramanathan: It's not build anything, and they will come, but build what is needed. They will come. I've already opened the door to some of the CMs and told them, "If you are interested in earning the business, here is what you need to have for capabilities, and then we'll talk." I'm not going to wait for you to build a fac - tory after I am ready with a product; it will be too late. Walk with me from the beginning. This is the technology that is growing by the day. I want somebody to be ready when I'm showing these things as concepts. I show the timeline and the brick wall. It's just 11 months out, that's it, and they look at me like, "Oh my gosh." It is aggressive, and we know it. If you want to play this game, you have to be ready. That means you cannot have that, "We will wait for them to give me an RFI, RFP, or RFQ, and then I will shop for equipment."

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