FOA Purchasing Partners, Inc., (PPI), the official group purchasing organization of the Fab Owners Association, and CapOneSource Alliance, LLC. have announced an agreement that gives selected companies dual membership and participation in each organization’s preferred vendor agreements. “We have added the members of CapOneSource (COS) to our GPO membership, bringing our combined membership to 38 companies with gross revenues of over $34billion. This greatly increases our potential purchasing power, expands our preferred vendor base, and enables our GPO to become a procurement force in the semiconductor industry,” said L.T. Guttadauro, President FOA PPI. “COS and PPI will gradually release selected co-shared agreements to the membership during the coming months. This is the power of collaboration,” he concluded.
“By combining resources, our two semiconductor focused associations can generate an enormous procurement force within the industry that will drive down operating costs for all of our members,” said Darryl Buck, vice-president of CapOneSource. “In these lean times, it makes sense for our organizations to work together and align the product and service requirements we have in common.”
FOA PPI and COS perform member procurement studies leading to aggregation of demand, procurement negotiations and contract administration for their members. The current FOA PPI members are Anadigics, Atmel, Austriamicrosystems AG, Avago Technologies, Cypress Semiconductor, Diode FabTech, Fairchild Semiconductor, International Rectifier, Intersil, JAZZ, Micrel Semiconductor, Microchip Technology, ON Semiconductor, Skyworks Solutions, SVTC, and X-FAB. The members’ combined gross revenues were approximately $14 billion in 2007.
CapOneSource members are Advanced Energy, ASML, ATMI, Avago Technologies, Brooks Automation, Bullen Semiconductor, Celerity, Inc., Coherent, Electro Scientific Industries, Edwards Vacuum, Purple Communications, KLA-Tencor, Kulicke & Soffa, Lam Research, Mattson Technology MKS Instruments, Newport Corporation, Omnicell, Suntron, Teradyne, Ultra Clean Technology, Ultratech, Varian Medical, and Varian Semiconductor Equipment Associates. Together, the companies represented more than $20 billion in 2008 revenues.
CapOneSource is a member owned California LLC headquartered in Fremont, Ca. In addition to creating group procurement contracts for its members, value is provided to its members by facilitating communities of functional experts and executives who share best practices and engage in systematic benchmarking exercises. Membership is targeted at medium-sized high tech capital equipment companies in the semiconductor and medical industry.
About FOA PPI
FOA Purchasing Partners, Inc (PPI) is a California corporation headquartered in Cupertino, California. PPI is an affiliate of the Fab Owners Association (FOA) and the official group purchasing organization of the FOA, providing, among other services, purchasing negotiations and contract management.
Fab Owners Association (FOA) is an international, nonprofit, trade association, founded in 2004 and headquartered in Cupertino, California. The FOA provides a forum for semiconductor manufacturing executives and industry suppliers to discuss common manufacturing issues often leading to company wide cost savings. Full Membership companies must own and operate a semiconductor fabrication facility. Other membership levels are available.
“Fab Owners Association[TM]” and the “FOA[TM]” logos are used solely by permission of the Fab Owner’s Association. “FOA PPI” is a trademark of FOA Purchasing Partners, Inc.