Olympus photo division losses double

Started Mar 11, 2013 | Discussions thread
esco Senior Member • Posts: 1,789
Re: Olympus photo division losses double

alatchin wrote:

esco wrote:

alatchin wrote:

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...


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.


I can see samsung making noise in the little niche they've carved themselves, smart cameras and I can see the others doing it as well. Point and shoots either fade completely or they integrate a mobile os like a smartphone and access familiar applications and can upload photos to the internet right away or link with smartphones to do it like the canon point and shoot that was unveiled recently.
It's a completely feasible market that hasn't been tapped into much and the first couple examples released were clunky but it's bound to become a really smooth experience soon. One of the main reasons people use their smartphones other than the fact that they carry with them all the time is for the very intuitive editing apps and also the immediate and ease of uploading. You take those qualities and put them into a point and shoot and there will be a decent amount of people willing to buy a point and shoot camera, you are offering the consumer a lot more value along with a very familiar experience vs a sole camera with nothing else on it. Most photographers won't care of course but this is the huge mainstream market we're talking about, the market that actually accounts for most profits.

The way I see the problem, is that people believe they already have a camera in their phone... So most dont see the need in buying a "second camera" especially if it does the same thing as their phone...

However there will always be a market for larger sensored cameras, the look is different, there is a seriousness and prestige to the equipment which many people seek out... However it wont be mass by any means. And there lies the issue, where will these camera companies find their volume again...

You know everyone was saying the same thing with tablets. Why have one when you have a smartphone on you at all times and you have a laptop that you can carry? Nobody will buy another device to do the same thing. It's not necessarily that it's doing the same thing but it's more so how it does these things.

A zoom lens and better low light capability is something many people desire and these are things that take up too much space in a slim phone. A point and shoot that happens to do more than just take a picture is something that is very appealing here, I'm not sure you realize the impact that mobile applications such as instagram and twitter have. Nothing else comes close to the volume of media (with engaged users) that flows through their networks, nothing and it just so happens that there isn't a camera(or worthy one yet) that taps into that.
I'm not saying this is something that will sell in the same qauntities as the first few generations of digital elphs but more so saying there is quite a decent market for this and a few of the smart corporations will at least give it a try or come up with something very similar.

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