WebProNews

Category: SupplyChainPro

SupplyChainPro

  • The Growing Importance of Supply Chain Visibility (SCV) in Ecommerce

    The Growing Importance of Supply Chain Visibility (SCV) in Ecommerce

    Supply chain visibility (SCV) is the ability to track and monitor a product or shipment from its origin to its destination. This allows businesses to stay informed on their shipments’ progress, anticipate delays, and make adjustments if needed.

    With eCommerce growth continuing at an exponential rate, supply chain visibility has become increasingly important for companies looking to remain competitive in today’s digital marketplace. Not only do businesses need to meet customer demands for fast delivery times, but they also need to manage costs, minimize losses, and ensure security. 

    Be that as it may, only 65% of companies are able to report full visibility across their supply chains, and 43% of small businesses are not tracking inventory levels at all. With economic uncertainty on the horizon and customer expectations at an all-time high, now is the time to invest in supply chain visibility so you don’t find yourself falling behind while your competition sails away with their loyal customers.

    Benefits of Supply Chain Visibility for Ecommerce Businesses

    There are a multitude of benefits to be realized through the implementation of supply chain visibility in eCommerce. These include:

    Improved customer satisfaction and loyalty

    The more visibility you have into your own supply chain, the better equipped you are to anticipate customer needs and deliver products in a timely manner. With improved visibility, eCommerce businesses can increase customer satisfaction by reducing their response times, improving delivery accuracy, and providing customers with real-time updates about the status of their orders. This helps foster greater loyalty from customers, which in turn increases the likelihood of repeat business.

    Reduced costs associated with inventory management

    “Knowing inventory costs is extremely important because they affect the majority of decisions one makes as a retailer,” explains Abir Syed, co-founder of UpCounting, an eCommerce accounting firm.

    Unsurprisingly, inventory management is the single largest expense for eCommerce businesses. For every dollar a US retailer generates through revenue, they have $1.35 tied up in inventory. As such, being able to accurately track and monitor inventory levels is essential for minimizing losses and maximizing efficiency.

    By leveraging supply chain visibility technology, businesses can reduce the amount of inventory they need to keep in stock and their associated costs. This can be achieved through better forecasting and planning, more precise order fulfillment processes, and improved inventory accuracy.

    Increased efficiency and speed of delivery

    Knowing where products are throughout their journey allows businesses to better plan and adjust for delays, ensuring customers get their items as quickly as possible. Supply chain visibility also facilitates increased collaboration between all parties involved in the delivery process, allowing for a transparent and overall more efficient supply chain.

    Enhanced flexibility and scalability in supply chains

    As the demands of customers and markets shift, businesses need to be able to quickly adjust their supply chains accordingly. With supply chain visibility, businesses can quickly adapt to changing conditions, such as unexpected spikes in demand or supply disruptions. This increased flexibility and scalability of the supply chain is essential for businesses to remain competitive and responsive. This scalability also benefits businesses as they grow and expand into new markets. 

    Increased control over returns management 

    Returns are an unavoidable part of eCommerce and managing them can be difficult. Supply chain visibility gives businesses the ability to track a returned item as it moves through the supply chain and make adjustments to minimize losses. This includes tracking returned items on their journey back to the supplier, identifying potential issues and quickly resolving any discrepancies.

    Challenges of Implementing Supply Chain Visibility

    While the benefits of supply chain visibility are clear, there are still some challenges associated with its implementation. These include:

    Establishing and maintaining relationships with suppliers

    Before any supply chain visibility technology can be deployed, businesses need to build relationships with their suppliers. This requires open communication and collaboration between all parties involved, as well as a certain level of trust.

    “When it comes to choosing partners, it’s wise to do some research to ensure the best deal possible while emphasizing transparency and flexibility. This is invaluable during times of frequent supply chain disruption,” explains Roei Yellin, Co-Founder & Chief Revenue Officer of 8fig, a planning and funding platform for eCommerce companies. 

    “Sellers shouldn’t be afraid to negotiate for a better deal and they should make sure that communication is open and honest. This is true of suppliers, 3PLs (third-party logistics providers) and any other partners brought in to help manage the supply chain,” concludes Yellin.

    Complexity of the supply chain and data formats

    Securing buy-in from all parties and managing the data exchange between different organizations is challenging. Not only do various supply chain participants have differing needs and processes, they also use different systems. Unifying these systems and ensuring harmonious data exchange can be difficult.

    To overcome this, businesses need to create a single source of truth that all supply chain participants can work from. This means creating common protocols and standards that all parties are comfortable with and can adhere to, and potentially leveraging a third-party solution to manage the data exchange.

    Costs associated with technology and infrastructure

    The technology and infrastructure required for supply chain visibility can be costly. Businesses need to invest in the right hardware, software, and people to ensure that the system is secure and effective.

    Fortunately, there are solutions to this issue. RFID and code-based tracking solutions, in particular, are relatively inexpensive and easy to implement. Companies such as Scurri allow you to easily create a single bar code for all carriers, as well as a reporting dashboard that gives you full control over your operations with actionable insights. 

    Cybersecurity concerns

    Data is the lifeblood of supply chain visibility and ensuring its security is paramount. However, supply chains are coming under increasing attack from hackers and malicious actors, making them vulnerable to data theft and manipulation.

    In fact, 97% of organizations say they have experienced the negative consequences of a supply chain cyber breach within their operations, demonstrating just how prevalent these attacks have become.

    As such, businesses need to ensure that they have the appropriate protocols in place to protect their data from cyber-attacks. This includes using secure networks and encryption, as well as regularly auditing system access and usage. Multichannel cyber security solutions, such as VMware, can also be of great help in mitigating cyber risks.

    Conclusion

    Supply chain visibility is becoming increasingly important in today’s volatile and highly competitive marketplace. However, if businesses are to reap the full benefits of a visible supply chain, they must first overcome the various challenges associated with implementation.

    Ultimately, with careful planning, a comprehensive approach to risk management, and the right technology in place, businesses can ensure that their supply chain visibility efforts are successful and that they remain agile and competitive in the long run. 

  • AMD Continues to Chip Away at Intel’s Server Dominance

    AMD Continues to Chip Away at Intel’s Server Dominance

    AMD is continuing to make inroad against Intel in the server market, chipping away (pun intended) at the latter’s lead.

    Intel was once the undisputed king of the semiconductor market. While that was true across the entire PC industry, it was especially true in the server market, where the company’s market share was 98% as recently as five years ago. According to Mercury Research (via Network World), as of Q122, AMD’s server market share is now 11.6%, dropping Intel’s to 88.4%.

    AMD has its Epyc line of processors to thank for the success it’s enjoying.

    “It’s been a long, gradual increase. If you look at the data set now, AMD has completed their third consecutive year of having on-quarter gains in share,” said Dean McCarron, president of Mercury Research. “The main driver there is that AMD has its Epyc processors … and each generation has been a little bit more successful than the prior one.”

    See also: Linus Torvolds Switches to AMD, Slams Intel

    AMD’s reputation for consistently delivering quality products is also helping the company gain new business.

    “This isn’t the first time [AMD]’s had success in the market, they had success more than a decade ago, and now they’re getting back in,” McCarron added. “The key here is that they’ve established a pattern of delivery on product reliability.”

    McCarron’s comments confirm the issues Intel has had in recent years. Dell, one of Intel’s most loyal partners, had to look to AMD in 2019 as a result of Intel’s supply issues. Similarly, Cloudflare pivoted away from Intel in late 2021 because AMD’s Epyc processors were much more energy efficient. Google Cloud also moved to AMD, thanks to the performance gains it offered over Intel.

    AMD’s performance has also helped it achieve the highest share of the x86 processor market in its history, according to TechSpot. As of Q122, AMD has 27.7% of the overall market, and 18.3% of the x86 desktop market.

    Under CEO Pat Gelsinger, Intel is determined to turn the tide back in its favor, with Gelsinger even going so far as to say “AMD [is] in the rearview mirror.”

    Unfortunately for Gelsinger, the facts don’t support that claim just yet.

  • The Chip Shortage Is Now a Chip Glut

    The Chip Shortage Is Now a Chip Glut

    The semiconductor industry has swung from one extreme to another, going from a shortage to a glut as consumer demand changes.

    During the height of the pandemic, semiconductors were in short supply. A combination of production issues as a result of lockdowns, combined with increased demand for computers and other electronic as people worked from home, led to a massive shortage of chips. The shortage was also spurred by stimulus money being poured into the economy, giving individuals more disposable income to spend on tablets, gaming consoles, and more.

    According to The Wall Street Journal, that situation has changed dramatically as consumer spending has decreased. The overall economy is in the midst of a downturn, with stimulus money having long-since dried up, layoffs impacting multiple industries, and growing uncertainty about the future of the economy.

    The result has been increased availability of computers and other electronics, not to mention falling prices.

    “Today we have a large inventory, especially on the consumer side, which is driving very aggressive pricing because all of us are trying to reduce those inventories,” said HP Chief Executive Enrique Lores.

    Chipmakers and PC manufacturers are already taking steps to stabilize supply and demand such as reducing the number of chips they manufacture, or computers they ship, to help drive up demand.

    “Even as they were selling through their inventory, they were not replenishing stock to the same levels,” said AMD chief Lisa Su. “I think the market will continue to be volatile.”

  • Foxconn Issues Accelerate Apple’s Plans to Diversify iPhone Production

    Foxconn Issues Accelerate Apple’s Plans to Diversify iPhone Production

    Apple is stepping up its plans to diversify its iPhone production, moving more manufacturing out of China.

    Apple has long been dependent on China for the production of its products, with Foxconn building the iPhone. Unfortunately, Foxconn has experienced a wave of protests at iPhone City, its facility in Zhengzhou.

    According to The Wall Street Journal, Foxconn’s issues have resulted in Apple looking to accelerate its attempts to move some production outside of China. The company was already looking to move at least a quarter of its production to India, but this latest development has underscored the need to have diversified manufacturing.

    “In the past, people didn’t pay attention to concentration risks,” Alan Yeung, a former US executive for Foxconn, told WSJ. “Free trade was the norm and things were very predictable. Now we’ve entered a new world.”

  • Intel CEO Calls China Sanctions ‘Inevitable,’ Says Supply Chain Must Rebalance

    Intel CEO Calls China Sanctions ‘Inevitable,’ Says Supply Chain Must Rebalance

    Intel CEO Pat Gelsinger has weighed in on US restrictions on China’s semiconductor industry, calling the measures “inevitable.”

    The US has been aggressively restricting semiconductor exports to China, limiting any such exports to older technology that is several generations old. The US has even used its export rules to prevent overseas companies from exporting to China if they use US tech in their manufacturing process.

    According to The Wall Street Journal, Gelsinger says such measures are to be expected.

    “I viewed this geopolitically as inevitable,” Mr. Gelsinger said. “And that’s why the rebalancing of supply chains is so critical.”

    Gelsinger likened the importance of semiconductors to the role oil has played for half a century.

    “Where the oil reserves are defined geopolitics for the last five decades. Where the fabs are for the next five decades is more important,” Mr. Gelsinger added.

    Intel, like many companies, is working to rebalance the semiconductor supply chain, buoyed by US legislation making more than $52 billion available to companies that increase chip production in the US. Intel has announced plans for a $20 billion semiconductor “mega-site” facility in Ohio, as well as $80 billion in EU-based production.

  • SolarWinds Is in Trouble With the SEC Over Supply Chain Attack

    SolarWinds Is in Trouble With the SEC Over Supply Chain Attack

    SolarWinds is facing monetary and enforcement consequences as a result of its supply chain attack in 2020.

    SolarWinds was the victim of a supply chain attack in which attackers compromised one of SolarWinds IT tools that was used by companies and government agencies around the world. As a result, at least 18,000 of SolarWinds customers downloaded the compromised software, with many being directly hacked.

    It appears the company is now facing the consequences, both with shareholders and the SEC. In a filing with the SEC, the company says it has agreed to pay shareholders $26 million.

    SolarWinds entered into a binding settlement term sheet with respect to the previously disclosed consolidated putative class action lawsuit….The settlement, if approved, would require the Company to pay $26 million to fund claims submitted by class members, the legal fees of plaintiffs’ counsel and the costs of administering the settlement.

    In addition, the company also revealed that it had been notified of an SEC Wells notice, which could lead to enforcement action.

    Also on October 28, 2022, the enforcement staff of the U.S. Securities and Exchange Commission (the “SEC”) provided the Company with a “Wells Notice” relating to its investigation into the previously disclosed cyberattack on the Company’s Orion Software Platform and internal systems. The Wells Notice states that the SEC staff has made a preliminary determination to recommend that the SEC file an enforcement action against the Company alleging violations of certain provisions of the U.S. federal securities laws with respect to its cybersecurity disclosures and public statements, as well as its internal controls and disclosure controls and procedures.

    It is not surprising the SEC is taking such action. The SolarWinds attack was one of the most devastating cyberattacks in history and had a profound impact on companies and agencies. The US Judiciary even went so far as to return to paper records in the wake of the attack.

  • Workers at Amazon’s Largest Air Hub, in Northern KY, Push for Unionization

    Workers at Amazon’s Largest Air Hub, in Northern KY, Push for Unionization

    Amazon’s unionization woes are increasing, with workers at the company’s largest air hub pushing to organize.

    Amazon has aggressively battled union organization efforts for years, even going so far as to deploy Pinkerton detectives to deter attempts. Despite its stance, support for unionization has been growing, and the company’s largest air hub outside of Cincinnati Northern Kentucky international airport is the latest site to experience significant union pressure.

    According to The Guardian, workers are displeased with annual pay raises, with at least 400 of them signing a petition to have a peak season premium hourly rate enacted. Amazon normally pays its warehouse workers more during the holiday season, when sales reach their yearly peak but has yet to implement it at the NKY site.

    Read more: Amazon Once Again Going Full-Press Against Unionization Efforts

    “We have to operate a lot of heavy machinery, freight loaders, cargo tractors and things like that, and people aren’t paid any extra to do that work,” said Griffin Ritze, an air associate and ramp agent, and one of the organizing members onsite. “They just cross-train you in as many roles as possible and you’re constantly shuffled around.”

    Workers have also complained that Amazon is not clearly communicating with them, including over things as serious as being written up.

    “We do not have any clue that we are written up and never notified about it until we go to apply for a better position, that’s when we’ll find out,” said Steven Kelley, a learning ambassador at the KY site.

    The employees ultimately make the point that Amazon depends on its warehouse and shipping workers as the lifeblood of the company and should therefore take better care of them.

    “We’re the lifeblood of the company, not corporate, not upper management. We’re actually the ones who are sorting the freight, and loading the freight,” said Jordan Martin, a ramp associate at the air hub. “It’s the lifeblood of the company, the workers, who are actually organizing this effort and why we’re pushing for the better benefits that we’re trying to fight for.”

  • Japanese Government Wants to Remotely Turn Down Home AC Units

    Japanese Government Wants to Remotely Turn Down Home AC Units

    The Japanese government is looking for unprecedented power over people’s home, wanting the ability to remotely turn down AC units.

    According to Japan Today, the Energy Conservation Subcommittee of the Ministry of Economy, Trade and Industry made clear in a November 2 meeting that it wants to gain authority to turn down AC and heating units in people’s private homes.

    The subcommittee’s goal is reign in energy usage and reduce pressure on Japan’s power grid, especially as the country transitions away from fossil fuel. Renewable sources of energy, such as solar, don’t always have the constant power generation as traditional sources, making power usage regulation far more important.

    Needless to say, people’s reaction to the idea is predictably negative. At best, people think the idea is “creepy,” with others believing the measure will ultimately lead to people dying during Japan’s hot summers — something that happens with increasing frequency.

    One thing is for sure: the subcommittee is going to have its work cut out to push its agenda through.

  • US Pressures Allies to Restrict Chip Exports to China

    US Pressures Allies to Restrict Chip Exports to China

    The US is ramping up pressure on China, asking its allies to restrict semiconductor exports to the country.

    The US has been trying to limit China’s access to advanced semiconductors, even using its recently passed CHIPS Act to force companies that accept funding not to provide China with their latest tech. According to Nikkei Asia, the US is trying to convince its allies to follow suit.

    “We were talking to our allies. No one was surprised when we did this, and they all know that we’re expecting them to cover likewise,” said Alan Estevez, undersecretary of commerce for industry and security.

    Japan is already considering similar measures, and is looking to see what action other countries may take. Should Japan move forward with restrictions, it will be a significant step given that it has an even larger share of the semiconductor market than the US. According to Nikkei, the US holds 12% and Japan holds 15%. Taiwan and South Korea each have roughly 20% of the market.

    Should Japan follow the US’ lead, experts believe it could result in much closer ties and trade between the two countries.

    “I expect of addressing a common concern about China, then that creates an opportunity for the Japan and the U.S. governments to reduce barriers on trade between Japan and the United States,” said Kevin Wolf, former assistant secretary of commerce for export administration under the Obama administration.

    “This will actually result in even better cooperation between Japan and the United States and fewer restrictions on joint development and production of advanced node items,” Wolf added.

  • Foxconn’s ‘iPhone City’ Area Locked Down Over COVID

    Foxconn’s ‘iPhone City’ Area Locked Down Over COVID

    The area around Foxconn’s “iPhone City” plant has been locked down as a result of an increase in COVID cases.

    Foxconn is Apple’s primary iPhone manufacturer and its plant in Zhengzhou is its main one, leading to the nickname “iPhone City.” China has a well-established reputation for aggressively locking down areas hit with COVID, and the country’s authorities are doing so with the Zhengzhou region, according to Bloomberg.

    The lockdown is scheduled to last seven days, until November 9…provided the outbreak doesn’t get worse.

    With Zhengzhou accounting for 80% of iPhone 14 capacity and 85% of the iPhone 14 Pro’s capacity, the lockdown is sure to impact iPhone 14 availability, although only time will tell how much.

  • Thomson Reuters Data Leak Could Lead to Supply-Chain Attack

    Thomson Reuters Data Leak Could Lead to Supply-Chain Attack

    Thomson Reuters is the latest company to be hit with a data leak, one that exposed more than 3TB of data, including passwords.

    According to the Cybernews research team, Thomson Reuters left three databases exposed to the public. One of them included 3TB of ElasticSearch data, including passwords stored in plaintext.

    Cybernews researchers fear the data could ultimately be used in a supply-chain attack:

    The naming of ElasticSearch indices inside the Thomson Reuters server suggests that the open instance was used as a logging server to collect vast amounts of data gathered through user-client interaction. In other words, the company collected and exposed thousands of gigabytes of data that Cybernews researchers believe would be worth millions of dollars on underground criminal forums because of the potential access it could give to other systems.

    The threat is even more severe since the data is current, with some of it logged as recently as October 26.

    “ElasticSearch is a very common and widely used data storage and is prone to misconfigurations, which makes it accessible to anyone. This instance left sensitive data open and was already indexed via popular IoT [internet of things] search engines. This provides a large attack surface for malicious actors to exploit not only internal systems but a way for supply chain attacks to get through. A simple human error can lead to devastating attacks, from data exfiltration to ransomware,” said Mantas Sasnauskas, the Head of Security Research at Cybernews.

    Thomson Reuters addressed the issue immediately, but only time will tell what the long-term ramifications will be.

  • Semiconductor Delivery Times Shrink by Four Days

    Semiconductor Delivery Times Shrink by Four Days

    The tech industry received some of the best news it’s had in years, with delivery times for semiconductors shrinking by four days in September.

    The tech industry, automotive industry, and countless others have been plagued by a shortage of semiconductors amid wider supply chain issues. According to Bloomberg, the shortage may finally be easing, with a four-day delivery time reduction that is the largest in years.

    In many ways, the semiconductor industry was a victim of its own success. As the pandemic forced record numbers of employees to work from home, the demand for computers, smartphones, and tablets skyrocketed at a time when production was experiencing slowdowns as a result of lockdowns.

    As the pandemic has eased, demand for electronics has dropped and a decrease in lockdowns has helped supply catch up. While there’s still a long way to go, a reduction of this size is the biggest reason for hope those in the industry have had for a long time.

  • FedEx Ends Its Robot Delivery Program

    FedEx Ends Its Robot Delivery Program

    FedEx is pulling the plug on its robot delivery efforts following a pilot program to test using robots instead of humans for last-mile delivery.

    FedEx is one of several companies that has been investigating the possibility of using robots for delivery. The company was running a pilot program in conjunction with DEKA Research and Development Corp. According to Robotics 24/7, the company is ending the program.

    “Although robotics and automation are key pillars of our innovation strategy, Roxo did not meet necessary near-term value requirements for DRIVE,” Sriram Krishnasam, chief transformation officer, wrote in an email to employees. “Although we are ending the research and development efforts, Roxo served a valuable purpose: to rapidly advance our understanding and use of robotic technology.”

    The company confirmed the news to Robotics 24/7, saying it was focusing on “several nearer-term opportunities.”

    It’s been a bad week for robotics, with The Verge reporting that Amazon has similarly canceled its robot delivery pilot program.

  • BMW Will Invest in $1.7 Billion US-Based EV Production

    BMW Will Invest in $1.7 Billion US-Based EV Production

    BMW announced a major commitment to US-based electric vehicle (EV) production, with plans for a $1.7 billion investment.

    The automotive industry is working to electrify its lineups amid increasing regulatory and consumer incentives. Despite not being a fan of EV-only strategies, BMW’s executives announced a $1.7 billion investment in US-based EV production.

    The investment will be split between $1 billion to produce EVs at its existing plant in Spartanburg, SC, and $700 million to build a new high-voltage battery plant in Woodruff, SC.

    “For decades, Plant Spartanburg has been a cornerstone of the global success of the BMW Group. It is the home of the BMW X models that are so popular all over the world. Going forward, it will also be a major driver for our electrification strategy, and we will produce at least six fully electric BMW X models here by 2030. That means: The ‘Home of the X’ is also becoming the ‘Home of the Battery Electric Vehicle’,” said Oliver Zipse, BMW Group Chairman of the Board of Management. “In addition, we can showcase BMW Group’s ‘local for local’ principle: Our newly developed sixth generation battery cells, which were specifically designed for the next generation electric vehicles, will be sourced here in South Carolina – where X goes electric.”

    South Carolina Governor McMaster praised the company’s investment:

    “BMW’s sustained and impactful presence in South Carolina demonstrates the power of partnership and shared commitment to our state’s automotive industry success. With today’s announcement of a $1 billion expansion to Plant Spartanburg for manufacturing electric vehicles as well as $700 million for a new plant in Woodruff to assemble battery units, the road to the future is here. And I applaud BMW on helping lead the way.”

    Zipse has previously expressed his doubts about the industry’s move toward an EV-only future:

    “When you look at the technology coming out, the EV push, we must be careful because at the same time, you increase dependency on very few countries,” Zipse said.

    “If someone cannot buy an EV for some reason but needs a car, would you rather propose he continues to drive his old car forever? If you are not selling combustion engines anymore, someone else will,” he added.

    Whatever misgivings Zipse has, it’s clearly not stopping BMW from moving full speed ahead.

  • TikTok Is Planning to Build US Fulfillment Centers

    TikTok Is Planning to Build US Fulfillment Centers

    TikTok appears to be moving forward with its e-commerce plans, with it reportedly looking to build US fulfillment centers.

    TikTok is reportedly planning to expand its e-commerce ambitions, with a possible launch of TikTok Shop in the US in time for the holidays. According to Axios, the company is now planning to build fulfillment centers in the US.

    The discovery comes from various TikTok job postings, more than a dozen total, that describe an escalation of e-commerce plans.

    “By providing warehousing, delivery, and customer service returns, our mission is to help sellers improve their operational capability and efficiency, provide buyers a satisfying shopping experience and ensure fast and sustainable growth of TikTok Shop,” reads one job listing.

    Another Seattle-area job listing describes building fulfillment centers “from scratch.”

    It’s clear that TikTok is looking to significantly grow its e-commerce ambitions, although it remains to be seen what regulatory hurdles the company may encounter. Lawmakers are already leery of the company as a result of its ties to Beijing and its absolutely horrible reputation for privacy. It’s a safe bet the US will not be thrilled with the company becoming more intertwined with users’ lives and data.

  • Analyst: US Sanctions Have ‘Collapsed’ China’s Semiconductor Industry

    Analyst: US Sanctions Have ‘Collapsed’ China’s Semiconductor Industry

    The Biden Administration has been cracking down on China’s semiconductor industry, utterly crippling it, according to one analyst.

    The Biden Administration has largely kept and extended Trump-era measures to limit China’s access to advanced semiconductors, as well as limit their ability to make their own. The measures appear to be having a devastating effect, according to Jordan Schneider, an analyst at Rhodium Group.

    According to Schneider’s lengthy series of tweets, the Biden Administration gave Americans working in China’s semiconductor industry the choice between quitting or losing their American citizenship. The result was a mass walkout on the part of the engineers, leaving China’s industry reeling.

    Only time will tell if China will be able to recover, but Schneider believes there is “no chance of survival.”

  • Honda and LG Energy to Build $4.4 Billion EV Battery Plant in Ohio

    Honda and LG Energy to Build $4.4 Billion EV Battery Plant in Ohio

    Honda and LG Energy are partnering on an electric vehicle (EV) battery plant, with plans to build it in Ohio.

    Automakers are racing to speed up the transition to EVs, but that transition requires a massive increase in battery production. According to CNBC, Honda and LG Energy have formed a joint venture to build a $4.4 billion EV battery plant in Ohio.

    The two companies will begin construction in 2023, with plans for full-scale production in late 2025.

    Honda also plans to spend some $700 to retool some of its existing factories to produce EVs. The company plans to produce EVs in North America as early as 2026.

  • Honda Cutting Production by 40% in Japanese Plants

    Honda Cutting Production by 40% in Japanese Plants

    Honda is the latest automaker to be hit with supply chain issues, cutting production at two Japanese plants by up to 40%.

    The auto industry has been especially hard hit by the semiconductor shortage and supply chain issues. Companies have had to scale back production, cannibalize some models to finish others, and ship some vehicles without their full complement of electronics.

    Honda is the latest to have issues, according to Reuters, and is cutting production as a result. In early October, the company plans to reduce production by 40% on two lines at its Suzuka plant in western Japan. The plant in the Saitama prefecture will reduce production by roughly 30%.

    In the meantime, Honda plans to reduce its Saitama production by 40% in September while also reducing Suzuka production by 20% for the rest of the month.

    Honda’s announcement illustrates the ongoing challenges automakers are facing, even as much of the world is rushing to return to normal. It’s still unclear how long supply chain issues will last or when automakers will be back to full production.

  • Russia Is Turning Off the Gas to Europe

    Russia Is Turning Off the Gas to Europe

    After months of sanctions, Russia says it is cutting off the gas to Europe in a move that could have serious repercussions.

    Europe relies heavily on Russia for its energy needs. In spite of that, the bloc has the international community in levying sanctions on Russia over its invasion of Ukraine. Russia is now blaming those sanctions for cutting off gas to Europe, saying they have led to maintenance issues of the Nord Stream 1 pipeline, according to Forbes.

    Despite the pipeline closure, Kremlin spokesperson Dmitry Peskov said gas exports would resume if the sanctions were lifted, saying the sanction have “brought the situation to what we see now.”

    According to Forbes, Europe’s gas reserves currently sit at 81.55%. The bloc set a goal of having its reserves at 80% by November 1, putting it ever slow slightly ahead of its target. With Russia cutting off supplies, however, it’s unclear if Europe will need to tap into those reserves immediately, lowering them below the target threshold going into winter.

  • Google Tackles Supply Chain Attacks With New Bug Bounty

    Google Tackles Supply Chain Attacks With New Bug Bounty

    Google is tackling supply chain cybersecurity attacks with a new bug bounty program.

    Supply chain attacks involve hackers compromising the source code or service used by a range of industries and companies rather than targeting each individual organization. As a result, a single successful supply chain attack can compromise hundreds or even thousands of organizations using the service or product.

    WIih supply chain attacks growing in popularity, Google is looking to address the problem with a bug bounty program. Bug bounties refer to the payouts paid to professional hackers and security experts, also known as “white hats,” who find bugs and report them to companies so they can fix them before bad actors exploit them.

    Google posted the new bug bounty program in a blog post:

    Today, we are launching Google’s Open Source Software Vulnerability Rewards Program (OSS VRP) to reward discoveries of vulnerabilities in Google’s open source projects. As the maintainer of major projects such as Golang, Angular, and Fuchsia, Google is among the largest contributors and users of open source in the world.

    Google made it clear that the goal of the new program was to help secure open source software supply chains.

    The addition of this new program addresses the ever more prevalent reality of rising supply chain compromises. Last year saw a 650% year-over-year increase in attacks targeting the open source supply chain, including headliner incidents like Codecov and the Log4j vulnerability that showed the destructive potential of a single open source vulnerability. Google’s OSS VRP is part of our $10B commitment to improving cybersecurity, including securing the supply chain against these types of attacks for both Google’s users and open source consumers worldwide.

    Google says payouts will range from $100 to $31,337, depending on the severity and importance of the bug, as well as whether it is particularly interesting or unusual.

  • Japan Wants a $24 Billion Investment in Battery Production

    Japan Wants a $24 Billion Investment in Battery Production

    Japan wants to ramp up battery production in-country, calling for a $24 billion investment to increase manufacturing.

    Battery production is becoming more important to companies and countries alike as the world pivots to renewable energy, battery-powered vehicles, and energy storage. Amid growing international tensions, many countries are looking to increase production within their own borders rather than rely on China.

    According to Reuters, Japan is the latest country that wants to increase its in-country production, calling on the public and private sectors to develop the manufacturing capabilities the country needs.

    “The government will be in the forefront and mobilise all its measures to achieve the strategy’s goals, but we can’t achieve this goal without the efforts of the private sector,” said industry minister Yasutoshi Nishimura.

    Japan has set the goal of becoming carbon neutral by 2050, and increased battery production is a critical step in that direction.