CBP Enforcement Operation Seizes 420,000 Counterfeit Computer Parts

November 29, 2008 // Published as a news service by IHS

The seizures, conducted by CBP at 11 ports of entry, have a total domestic value of $1.3 million and an estimated retail value of $3.5 million.

ICs and computer network components are used in a range of applications, many of which have health and safety or national security implications. They are used in communication and weapons systems, automobiles, aircrafts, computers, medical devices and consumer electronics.

"Like other counterfeit products, counterfeit network hardware and ICs are not built up to the standards of genuine equipment," said Daniel Baldwin, assistant commissioner at the CBP office of international trade.

"These products have a higher failure rate than genuine equipment, and often fail upon installation or weeks or months after installation," Baldwin said. "One threat that these fake products pose is that when they fail, the entire system in which they are embedded in can also fail, crippling vital infrastructure and products on which we depend."

CBP said this initiative is part of its effort to protect the nation from counterfeit network hardware and ICs. Previous efforts announced earlier this year include:

• An ongoing U.S. Department of Justice (DOJ) and U.S. Department of Homeland Security (DHS) international initiative that resulted in more than 400 seizures of counterfeit Cisco network hardware and labels with an estimated retail value of more than $76 million.

• A joint intellectual property rights (IPR) enforcement operation undertaken by CBP and the EU, dubbed Operation Infrastructure, which resulted in the seizure of more than 360,000 counterfeit ICs and computer network components bearing more than 40 different trademarks.