A Brief Overview of Electronic Component Distribution
An electronic component distributor is a company that supplies electronic parts and components to manufacturers, repair businesses, and other customers. These distributors act as intermediaries between component manufacturers and end-users, ensuring a reliable supply of components such as semiconductor chips, resistors, capacitors, connectors, and circuit boards.
Key Functions of an Electronic Component Distributor:
- Sourcing & Supply Chain Management – They maintain inventories of electronic parts from multiple manufacturers, ensuring availability for customers.
- Quality Control & Testing – Many distributors test and verify components to prevent counterfeit or defective parts from entering the market.
- Logistics & Delivery – They handle storage, packaging, and shipping, ensuring timely delivery.
- Technical Support – Some distributors offer engineering assistance and design services to help customers select the right components.
- Obsolete & Hard-to-Find Parts – They source discontinued or rare components for industries that need replacements.
Who Uses Electronic Component Distributors?
- OEMs (Original Equipment Manufacturers) – Companies that build electronic products.
- EMS (Electronics Manufacturing Services) – Third-party manufacturers producing electronics for other brands.
- Repair & Maintenance Companies – Businesses fixing electronic devices, such as aerospace, military, or medical equipment providers.
Distributors are broadly categorized as either franchised distribution or independent distribution. The main difference between a franchised distributor and an independent distributor lies in their relationships with manufacturers and the way they source and distribute electronic components. In some cases, a distributor can be both an independent distributor and a franchise distributor.
Franchised Distributor
A franchised distributor has an official agreement with one or more component manufacturers to sell their products. They act as an authorized link between the manufacturer and the end-user.
Key Characteristics:
- Authorized by Manufacturers – They have direct relationships with component makers.
- Guaranteed Authenticity – Components come directly from the manufacturer, reducing the risk of counterfeit parts.
- Full Manufacturer Warranty – Buyers receive factory warranties and technical support.
- Direct Access to New Components – They offer the latest products and updates from the manufacturers.
Examples of Franchised Distributors:
- Digi-Key Electronics
- Mouser Electronics
- Arrow Electronics
- Avnet
- TTI, Inc.
Independent Distributor
An independent distributor operates without an exclusive agreement with manufacturers. They source components from multiple channels, including excess inventories, third-party suppliers, and direct purchases.
Key Characteristics:
- Access to Hard-to-Find & Obsolete Parts – Ideal for legacy systems and discontinued components.
- Competitive Pricing – Prices fluctuate based on market demand and sourcing channels.
- Flexible Supply Chain – Can respond quickly to shortages or sudden demand spikes.
- Risk of Counterfeit Components – Since sourcing is not direct from manufacturers, quality control and verification are crucial.
- No Manufacturer Warranty – Independent distributors provide their own warranties or guarantees.
Examples of Independent Distributors (some may also be franchise distributors):
- Fusion Worldwide
- Lintech Components
- SMT Corp (A division of Certify Holdings)
- A2Global Electronics & Solutions
- Rebound Electronics
The most critical concern when sourcing parts from an independent distributor is the pedigree and quality of the components sourced since there is no guarantee the parts are authentic or have been handled correctly throughout their life. For this reason, it is critical that an independent distributor be highly accredited and have a stellar reputation for sourcing products and ensuring that they are authentic and of the right level of quality.
Founded in 1998, SMT Corp is a highly accredited global, Independent Distributor of electronic components.
SMT is a trusted provider of strategic sourcing, authentication, testing, and supply chain solutions for aerospace, defense, and critical infrastructure applications. SMT has a 25+ year history of supporting high compliance industries that demand the highest level of accreditation, processes, quality assurance, traceability and inspection documentation for critical applications. SMT provides the highest quality products and value-added services directly to the government, OEMs (Original Equipment Manufacturer) and CMs (Contract Manufacturer). SMT is well known for its best in industry test labs which are at the forefront of counterfeit detection, quality verification, component up screening and standards qualification. SMT’s vast supplier network reaches global inventories at the OCM (Original Component Manufacturer), Authorized Distribution, OEM & CM excess as well as time-proven open-market suppliers. SMT warranties and stands behind its products and services. SMT has offices and test labs in both the United States and United Kingdom. SMT carries multiple accreditations and certifications including ISO9001:2015, AS9120B, ANSI/ ESD-S20.20-2021, ISO/IEC 17025:2017, AS6081 & AS6171.
About SMT Corp
SMT Corp is an AS6081 / AS6171 accredited and industry recognized expert with full on-site sourcing, authentication, and electrical testing services to mitigate the risk of counterfeit, cloned, altered, or substandard electronic components from entering the Aerospace, Defense and critical infrastructure supply chain.