A surgical instrument system is disclosed, the system including a first component and a second component, the first component being a reload assembly and the second component being selected from a group consisting of a handle assembly and an adapter assembly, the surgical instrument system including at least one chip assembly having a housing assembly on the first component, the housing assembly containing a chip, and a plug assembly on the second component, the chip having data for, and being configured to, prevent use of the reload assembly if the reload assembly is unauthorized.