The company utilizes contract manufacturers Jabil Inc., Sanmina Corporation, and Foxconn Hon Hai to produce products internationally in locations including Malaysia, Vietnam, and Mexico. These manufacturing sites are required to maintain ISO-9001 certification. The contract manufacturers source components based on the company's design specifications, enabling the company to benefit from their purchasing power. Key components include merchant silicon, integrated circuit components, and power supplies, which are obtained from a limited number of suppliers, some of which are sole source providers. Broadcom serves as the primary merchant silicon vendor for the company's switching chips. There are generally no written agreements guaranteeing supply or exclusive rights to key components; purchase commitments are limited to submitted purchase orders or forecasts. The company works closely with key suppliers such as Broadcom to align product development with enhanced silicon features and to utilize vendor investments for cost-effective solutions.
Arista Networks Inc's Comment on Supply Chain
The company utilizes contract manufacturers Jabil Inc., Sanmina Corporation, and Foxconn Hon Hai to produce products internationally in locations including Malaysia, Vietnam, and Mexico. These manufacturing sites are required to maintain ISO-9001 certification. The contract manufacturers source components based on the company's design specifications, enabling the company to benefit from their purchasing power. Key components include merchant silicon, integrated circuit components, and power supplies, which are obtained from a limited number of suppliers, some of which are sole source providers. Broadcom serves as the primary merchant silicon vendor for the company's switching chips. There are generally no written agreements guaranteeing supply or exclusive rights to key components; purchase commitments are limited to submitted purchase orders or forecasts. The company works closely with key suppliers such as Broadcom to align product development with enhanced silicon features and to utilize vendor investments for cost-effective solutions.
Sources:
Arista Networks inc 's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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