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Publisher & Editor-in-Chief Leo Simpson, B.Bus. Editor Greg Swain, B.Sc.(Hons.) PUBLISHER'S LEITER Technical Staff John Clarke, B.E.(Elec.) Robert Flynn Darren Yates, B.Sc. Reader Services Ann Jenkinson Sharon Macdonald Sales & Marketing Mgr. Sharon Lightner Phone (02) 979 5644 Mobile phone (018) 28 5532 Regular Contributors Brendan Akhurst Garry Cratt, VK2YBX Marque Cro.zman John Hill Jim Lawler, MTETIA Bryan Maher, M.E., B.Sc. Jim Yalden, VK2YGY Bob Young Photography Stuart Bryce Editorial Advisory Panel Philip Watson, MIREE, VK2ZPW Norman Marks Steve Payor, B.Sc., B.E. SILICON CHIP is published 12 times a year by Silicon Chip Publications Pty Ltd. A.C.N. 003 205 490. All material copyright©. No part of this publication may be reproduced without the written consent of the publisher. Printing: Magazine Printers Pty Ltd, Alexandria, NSW; Macquarie Print, Dubbo, NSW. Distribution: Network Distribution Company. Subscription rates: $42 per year in Australia. For overseas rates, see the subscription page in this issue. Liability: Devices or circuits described in SILICON CHIP may be covered by patents. SILICON CH IP disclaims any liability for the infringement of such patents by the manufacturing or selling of any such equipment. Editorial & advertising offices: Unit 1a!77- 79 Bassett Street, Mona Vale, NSW 2103. Postal address : PO Box 139, Collaroy Beach, NSW 2097. Phone (02) 979 5644. Fax (02) 979 6503. ISSN 1030-2662 4 SILICON CHIP Australia's unseen electronics industry From time to time, some of our readers express concern that the Australian electronics industry is dying or dead and that this is a symptom of the problems with our economy in general. Well it is true that our economy does have problems, in common with many countries around the world. And it is also true that we have a worryingly high level of imports. But all is not black; far from it. Surprising though it may seem, there is a large electronics industry in Australia although it is very fragmented. This may be news to many of our readers because there are few Australian brands represented in the consumer electronics market and therefore people naturally assume that the industry has largely disappeared. In fact, the amount of electronics manufacturing in this country is much larger than it ever was in the past, and considerably larger than before 1973 when we had a substantial consumer electronics industry. The biggest sector is in communications but it is represented right across the board and a considerable amount is exported. As an example of this, a press release has just crossed my desk telling of $131 million of exports in 1991 from IBM's Wangaratta plant - this in spite of rumours in the press about IBM's long-term plans. More surprising still, 25% of Australia's exports are manufactured goods and this has a substantial electronics component. Still not reassured? Go into a club or casino and see all the poker machines - most are made in Australia. Or go into an amusement parlour - again, most of the machines are made in Australia. Or what about your computer modem? Again, it is probably made in this country. Or what about all the security electronics in the places where you live, work, shop or play? Again, it is mostly made in Australia. I could go on but it is clear that electronics manufacturing is happening on a large scale in this country and has been for many years. The question which then arises is should the Government do more to encourage local industry? The classic answer is to say yes but each time government acts to help one particular sector of the economy it causes distortions in other sectors. However, it would be good if government did more to buy locally made products - too often overseas made goods are favoured. Overall though, there are considerable grounds for optimism about Australian industry and the electronics industry in particular. Leo Simpson