Olympus photo division losses double

Started Mar 11, 2013 | Discussions thread
alatchin
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Re: Olympus photo division losses double
In reply to chillgreg, Mar 13, 2013

chillgreg wrote:

rovingtim wrote:

According to the latest Amateur Photographer (AP) magazine, Olympus losses nine months to Dec 2012 doubled from those of the previous year. AP notes Olympus's aggressive cost cutting strategy that will lead to a 7% decrease in their workforce by 2014. AP also notes that Olympus implied that they will be reducing their DSLR presence.

I would love to be proved wrong, but at the moment I still think the end of 2013 will be the countdown to backtracking on this forum rather than an E7.

Prediction A: Sony will buyout Oly camera divison (not medical/industrial etc). Likelihood? Seeing Sony's heavy losses unlikely. They are more likely to be looking to offload their current stakeholding, especially with the massive costs of the PS4 release.

Prediction B: Samsung buys Oly camera division inc. Sony shares. Samsung's cash reserves are enough to buy all of Nikon if they wanted. But chance to get m43 market + NX APS-C might be attractive to SS, as they like to dominate multiple markets. But according to their company philosophy, they only enter a market if they know they can be top 2.

Prediction C: Google or Amazon buys Oly camera division inc. Sony shares. Google and Amazon are also both cash-reserve positive. Google bought Motorola for its Android smartphone platform, with google glass gaining access to Oly's imaging know how and patent's might be attractive. Amazon has seen greaty success with the Kindle Fire. It would probably keep Oly running as is, but perhaps look to introduce a $99 m43 body...

All complete conjecture...

Greg

I am not sure many companies want to get into the camera market. Sony has done what it does best, hammer out electronics. Samsung has the cash reserves to keep mucking around in this market, but seem to be failing to make any headway... Google and Amazon do rather well but again I cant see them interested in traditional photography.

It is more likely Olympus soldiers on in m43rds and 43rds, thinning their compacts to next to nothing and releasing 2 bodies in 43rds to draw in additional sales. Keeping a camera division is important for an optical company, it maintains the brand awareness in the consumer sphere and it leverages assets such as optical manufacturing which is important in their medical division.

So I see them with a simplified release schedule resuming shortly in 43rds using similar tech from m43rds, and m43rds being their volume sales... I dont see anyone buying a camera division today when all camera companies are struggling.

Abraham

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