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72 PCB007 MAGAZINE I JULY 2022 While the Asian Shi may mean a dimmer future for the PCB industry in North America, there are some opportunities. Figure 1 indicates the importance of high- layer-count PCBs, flexible circuits, rigid-flex, and high-density (HDI) technologies in North America. Fabricators have some of the capa- bilities to support these technolo- gies currently. us, there is a foot- print that needs to be expanded further. End Markets for PCBs While the consumer and low- end computer and office equip- ment segments may not offer growth opportunities for the U.S. PCB fabrica- tion base, there are opportunities in telecom- munications and internet infrastructure; aero- space and defense (A&D); industrial automa- tion (think Smart Factory and CFX); and other "protected" industries and applications includ- ing data transfer, cybersecurity, and servers/ data storage. Technology Trends By most estimates, the top 100 electronics companies in the world produced more than $2.4 trillion worth of electronic equipment in 2020. is is significant for several reasons: • e top 100 firms drive the technology for everything else • Most of these firms are headquartered in the United States • Most PCBs are manufactured elsewhere. Today, the most advanced technologies related to high-end PCB fabrication are no longer being developed in North America. When the leading OEMs decided they would shutter their PCB fabs in favor of buying on the outside, much of the R&D capability went along with it. For example, HDI technology was invented in the United States. It is a great enabler because it allows faster signal speeds, smaller form factors, and lower overall system costs. Yet, the majority of HDI production— as well as of the interconnect (IC) substrates that HDI depends on—resides in Asia. is is a major concern because the technology hubs follow the production footprint. is includes specialized equipment, materials, chemistry, and of course, PCB assembly. Further com- pounding this situation is the now well-publi- cized computer chip shortage. Embedding components into IC substrates was invented in the 1950s and '60s in North America. It was a laboratory exercise at the time. Today it is another multi-billion-dol- lar technology. But it's not about the dollars. It's about the technology. HDI and embedded components are enabling technologies. ey are the building blocks for the next genera- tions of hardware. And we have lost the ability to build such products in North America. Worse, many procurement managers would like to commoditize the PCB, with the expressed goal of driving down price. Fortu- nately, thanks to the U.S. International Traf- fic in Arms Regulations (ITAR), and the U.S. Department of Defense's PCB requirements, several protected market segments, e.g., aero- Figure 2: Primary PCB end markets served by OEMs.