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Olympus controlled demolition, follow topic to get realtime updates
  • 159 Replies sorted by
  • MarcioKMarcioK

    Maybe their plan is to use TruePic for security cameras? Olympus chips are outsourced?

  • johnbrawleyjohnbrawley

    I'm hearing of some good things still coming down the pipe.

    JB

  • Vitaliy_KiselevVitaliy_Kiselev

    @johnbrawley

    It's more like Olympus is going down the tubes :-)

    "Down the tubes". Hear that one a lot, the people say “Ahhh, the camera company is goin' down the tubes” …..What tubes? Have you seen any tubes? Where are these tubes? And where do they go? And how come there’s more then one tube? It would seem to me, one company, one tube. What, does every company have to have its own tube now? One tube is all you need. But a tube that big, somebody would have seen it by now. Somebody would of been like “Hey, Joey, Joey, look at the fuckin’ tube! Big ass fuckin’ tube over here!" You never hear that. You know why? No tubes. We don’t have tube. We are essentially, tubeless

    (c) GC

  • Vitaliy_KiselevVitaliy_Kiselev

    Mid-level Olympus employees in the imaging business, which includes digital cameras, also have a ray of hope that the parent company will change. They are hoping that, after the carve-out, they will be able to allocate sufficient resources under JIP. On the other hand, it has not been decided whether all the personnel in the imaging business will be transferred.

    For example, Hiroyuki Sasa, former president of Olympus, used to say, “The technology of the imaging business can be used for our mainstay endoscope technology”. In fact, it is reported that Olympus transferred personnel from the imaging business to other divisions, such as the administrative department at headquarters several years ago. The purpose of this move was not only to improve the loss-making nature of the imaging business, but also to transfer the know-how of the imaging business to the medical equipment business.

    In other words, the imaging business is an important part of Olympus’ medical equipment business. In fact, JIP is also concerned that it will not be able to acquire excellent human resources along with the acquisition. “One of the problems with carve-outs from large companies is that R&D personnel do not follow the carve-out destination. We are negotiating with Olympus on this matter,” said Mr. Inagaki.

    On the other hand, an analyst familiar with the digital camera industry is sceptical about the carve-out. “Similar to VAIO, sales of 20 billion yen and operating profit of 700-800 million yen can be achieved by cutting costs even if it”s not JPI,”. He added: “The problem is expanding business and entering new fields. The digital camera market can only survive with products for professionals and high amateurs. In this environment, it is unlikely that professional and amateur photographers will actively purchase micro four thirds cameras. In addition, if they cut costs to achieve the same level of performance as VAIO, they won’t be able to maintain the production scale needed for surveillance cameras and other products for business use” he said.

    In fact, some believe that Panasonic, which has adopted the Micro Four Thirds format, has failed to enough differentiate itself from smartphones and has therefore begun to focus on full-size cameras. Although it may be possible to break the ties of large companies, it is extremely difficult to grow the imaging business of Olympus into a business that can grow its core activities and achieve profit growth every year like VAIO.

    Will JIP’s carve-out of the Olympus imaging business repeat the success of VAIO? All eyes will be on JIP’s skills.

    https://www.43rumors.com/jip-press-text-translated-by-mistral/

  • MikeLinnMikeLinn

  • Vitaliy_KiselevVitaliy_Kiselev

    Olympus staff made redundant in UK today, some already gone in France and more to come across Europe in coming weeks. Around 2/3 of workforce lost their roles in UK today.

    From 43rumors.

    From my source can confirm that company is in total demise mode.

  • EspenBEspenB

    @Vitaliy_Kiselev

    The final JIP divestment deal should happen before october 1st, so we should read some news on the final agreement soon.

  • EspenBEspenB

    So there are some news:

    https://www.olympus-global.com/ir/data/announcement/2020/contents/ir00018.pdf

    Strangely enough Olympus will retain 5 % of the company shares after the sale to JIP in January 2021.

    Signing of Definitive Agreement for Divestiture of Imaging Business

    Olympus Corporation ("Olympus") hereby announces that its Board of Directors has resolved today to (i) succeed Olympus’ imaging business through an absorption-type split ("Company Split") to a wholly-owned subsidiary ("New Imaging Company")to be newly established by Olympus; and (ii) transfer 95% shares of the New Imaging Company ("Share Transfer"; and the Company Split and the Share Transfer, collectively, “Transaction”) to OJ Holdings, Ltd., a special purpose company established by Japan Industrial Partners, Inc. ("JIP").

    The Share Transfer is subject to certain conditions including JIP’s obtainment of approval(s) from relevant authorities pursuant to the competition laws of Japan and other relevant jurisdictions.

    1. Background and Purpose of the Transaction

    As announced in the "Signing of Memorandum of Understanding for Divestiture of Imaging Business" dated June 24, 2020, since commencing manufacture and sales of cameras using the photographic lens "Zuiko" in 1936, Olympus has operated its imaging business based on innovative technology and unique product development capabilities, aiming to enrich the lifestyle of the people in the world. However, in recent years the market has shrunk rapidly due to the rise of smartphones causing a difficult situation for the digital camera market. Olympus has improved its cost structure by restructuring its manufacturing bases and focusing on highvalue-added interchangeable lenses, aiming to rectify the earning structure. Despite all such efforts, the imaging business recorded operating losses for three consecutive fiscal years up to the fiscal year ended March 2020.

    Under such circumstances, Olympus consider that, by carving-out the imaging business and operating the business under JIP, its business structure may become more compact, efficient, and agile, and it is the most appropriate way to realize self-sustainable and continuous growth. As such, the Memorandum of Understanding was entered into between JIP on June 24, 2020, and based on subsequent negotiation, a legally-binding definitive agreement has been executed as of today.

    The scope of the Transaction is the global imaging business. After the carve-out and transfer of the imaging business to JIP, the New Imaging Company will maintain its restructured R&D and manufacturing structure and continue to provide high-quality, highly reliable products. The New Imaging Company will start operations from January 1, 2021 and continue to provide customer support for the Olympus products as well.

  • Vitaliy_KiselevVitaliy_Kiselev

    PR

    Olympus Corporation (“Olympus”) today concluded a definitive agreement with Japan Industrial Partners Inc. (“JIP”) regarding the transfer of the Olympus Imaging business. Under the agreement, Olympus will transfer its Imaging business to a newly established wholly-owned subsidiary of Olympus (the “New Imaging Company”), through an absorption-type split. This is to be followed by transferring 95% of the shares of the New Imaging Company on January 1, 2021, to OJ Holdings, Ltd., a special purpose company established by JIP.

    Olympus began the manufacture and sale of cameras using the Zuiko lens in 1936 and became one of the world’s leading camera makers. Olympus was among the first companies to make small, lightweight compact cameras with professional quality, such as the award- winning Olympus ‘OM’ and ‘Pen’ series. Driven by the desire to make people’s lives more fulfilling around the world, the company applied innovative technology and unique product development to distinguish itself in a highly competitive industry.

    In recent years, however, the market has shrunk rapidly due to the evolution of smartphones, leading to a significant downturn for the digital camera market globally. Despite taking various steps to improve its cost structure and efficiency, Olympus’ Imaging business recorded operating losses for three consecutive fiscal years up to March 2020.

    Under such circumstances, Olympus concluded that, by carving-out the Imaging business and operating the business under JIP, its business structure would become more compact, efficient, and agile, and it is the most appropriate way to realize self-sustainable and continuous growth. With a loyal following and long history of innovative products, the New Imaging Company would be committed to building on Olympus’ accumulated expertise and to continue providing customers with innovative, high quality cameras under the new business structure.

    “I would like to express my heartfelt gratitude to all our customers for their patronage and support of Olympus products, and for their passion devoted to photography. I have the utmost confidence that this transfer is the correct step forward in sustaining the value of our products and services,” said Yasuo Takeuchi, President and CEO of Olympus Corporation.

    “At the same time, I am certain that this opportunity is the best choice for our long-time patrons, new customers and photography enthusiasts. Under the new company, the development, manufacturing, sales and service functions will continue tight collaboration to introduce new products that will satisfy customers,” Takeuchi added.

    Olympus Agreed on Transfer of Imaging Business with JIP

    The agreement applies to Olympus’ global Imaging business, which includes all R&D and manufacturing facilities currently dedicated to its Imaging business. The New Imaging Company will continue to provide high-quality, highly reliable products. Built on a solid foundation, including the Zuiko and OM brands, which are grounded in optics and digital imaging technologies cultivated by Olympus over many years, the New Imaging Company will be appropriately positioned to further pursue new developments.

    Head of sales and marketing, R&D and designing departments for imaging products will be relocated to the headquarters of the New Imaging Company in Hachioji, Tokyo. Production will continue at the location in Dong Nai province, Vietnam, where imaging products are currently manufactured. The New Imaging Company will continue to provide customer support for the imaging products which have been manufactured and sold by Olympus.

    Following the transfer of the Imaging business, Olympus will concentrate on Medical and Scientific Solutions, in our ongoing efforts toward making people’s lives healthier, safer and more fulfilling.

  • Vitaliy_KiselevVitaliy_Kiselev

    New company name - OM Digital Solutions Co., Ltd.

    The representative director of the new video company OM Digital Solutions Co., Ltd. is Mr. Shigemi Sugimoto, who is currently the Imaging Division Head (Director in charge of the video business) at Olympus Corporation.

  • Vitaliy_KiselevVitaliy_Kiselev

    Influencers are always last to leave the sinking ship. They hope till the end that the dead milk cow will will rise again like Jesus. But no.

  • Vitaliy_KiselevVitaliy_Kiselev

    The production of high quality lenses in Nagano will stop and be outsourced

    • JIP expects annual sales of 25-30 billion yen (last years sales were 43.6 billion yen), fantastic
      • present year sales will be around 12 billion yens is they do some superb trick (6-8 otherwise)
    • In the medium term cameras will still be produced at the Olympus factory in Vietnam
    • JIP will continue to develop new MFT products and focus on the Micro Four Thirds system
    • JIP will also seek new businesses that utilize technology for the growth of the new company.

    As far as my source goes - JIP will fully kill Olympus m43 cameras and lenses. It does not mean that they won't sell remains and new old stock for months to come (at least mid 2021).

    They already killed lenses as I said, camera will follow during slow season.

  • EspenBEspenB

    The economics certainly don't add up. 40 per cent lower sales again in the future will not provide finances for much R&D.

  • Vitaliy_KiselevVitaliy_Kiselev

    Photolari had a chat with Olympus Europe manager Albert Marti:

    • OM Digital will still use the “Olympus” name
    • Olympus will focus (read - sell previously produced batches) on medium and high range cameras
    • The purchase includes the Olympus factories as well as its repair centers, including the technical service in Coimbra (Portugal) that deals with a large part of the products in Europe.
  • Vitaliy_KiselevVitaliy_Kiselev

    Inside Imaging is reporting that though the Olympus sub-brands like M.Zuiko, OM-D, and PEN were part of the acquisition deal between Olympus and JIP, the Olympus brand was not. The imaging assets were bundled under private equity operating under the name OM Digital Solutions, which notably leaves the Olympus branding absent.

    Olympus brand will be used until all existing assets will be sold out. On next stage it is not required.

  • Vitaliy_KiselevVitaliy_Kiselev

    Previous managers made all this with fraction of money current had:

    image

    Present just fucked all and everything focusing on their own personal life and consumption, talking mostly only with ambassadors and representatives who liked their ass, despite all the smiles and usual Japanese nice approach.

    sa14949.jpg
    800 x 517 - 115K
  • MikeLinnMikeLinn

  • Vitaliy_KiselevVitaliy_Kiselev

    I have some bad news from Olympus in Japan. Olympus has plazas and service stations in four cities (Tokyo, Osaka, Fukuoka, Sapporo) in Japan. Half of them are being closed. Yesterday, Olympus announced that the plazas and service stations in Osaka and Sapporo will be completely closed in December. Also, the service station in Fukuoka will move to somewhere else. Also, the service center and plaza in Tokyo, which is using two floors in a building, will be reduced to a single floor.

    https://www.olympus.co.jp/news/2020/an01868.html

    Remember that servicing and replacement parts will be unavailable for most models in less than 7-9 months time.

    If you want to get Olympus camera - get one spare or used one.

  • Vitaliy_KiselevVitaliy_Kiselev

    In less than 7 months Olympus remains will cease to exist, including service and anyhing material

    This business is soon to be divested and therefore accounted for as ‘discontinued operation’ (= not consolidated anymore) but they are still reporting the corresponding figures.

    They recorded an operating loss of ¥46bn in Q2 (July – September) and ¥48.6bn in H1 (April – September) and forecast a total operating loss of ¥53bn ($500m) until divesting the business to JIP.

    See https://www.olympus-global.com/ir/data/brief/pdf/Olympus_Q1FY2021_Presentation_E.pdf

    Headcount went down 30% in 6 months between 31 March 2020 (4,270 employees) and 30 September 2020 (3,031 employees). In Japan, less than 400 employees remain in the Imaging business.

    Between the first half of FY2020 and the first half of FY2021, capital expenditures fell by half and R&D expenditures by 30%.

    Q3 (October – December) business forecast is totally gloomy too:

    Revenue: ¥6.3bn, down more than 50% in comparison to the same quarter last year after -43% in Q1 and -26% in Q2.

    Operating loss: ¥4.5bn = 72% of revenue, even though all one-off costs should have been recorded in the Q2 accounts.

  • Vitaliy_KiselevVitaliy_Kiselev

    The official GetOlympus US page announced that it will resume operation on January 4.

    Rumor is that retailers asked for this to help them sale last remaining batches during hot season.

  • Vitaliy_KiselevVitaliy_Kiselev

    Destruction stage has begun

    On January 1, 2021, we progress as OM Digital Solutions Corporation. In recent years, moves towards digitalization have accelerated in response to changes in the marketplace, and new technological developments are being made in a number of fields. At the same time, the sense of value is critical, and we believe that what is truly being sought right now is a fulfilling life.

    During our business as the Imaging Division of Olympus Corporation, we contributed to society with products such as cameras, audio recorders, and binoculars. With the camera business in particular, we utilized original ideas when developing products. In the film era, we succeeded with the development of the unprecedented compact, lightweight design of the OM series of 35mm SLR cameras. We have inherited this passion and development philosophy in the digital age, leading to the Micro Four Thirds standard, and a compact, lightweight design, through the mirrorless OM-D series. In addition, we have developed various state-of-the-art technologies, including lens groups with high optical performance, world-class image stabilization, and the High-Res Shot function, delivering high resolution imaging to photographers everywhere.

    It is our manufacturing capabilities that have supported this business. This has been accomplished through forward-looking insight, a challenging spirit, and close relationships with our manufacturing site. We will continue to launch innovative products in existing business areas such as cameras, audio recorders, and binoculars, while combining our inherited manufacturing capabilities with state-of-the-art digital technologies, and will provide new solutions that stretch beyond the boundaries of existing products on the market.

    The launch of this new company brings together a more focused and flexible organizational structure. Moving forward, this will allow the freedom to explore new business opportunities, enabling us to contribute to society with more passion than ever.

    Witness as parts of company will be closed step by step.

  • Vitaliy_KiselevVitaliy_Kiselev

    OM Digital Solutions contacted many if not all vivid Olympus supporters asking to help them during dismounting period and promising nice bonuses and gear as some of them report privately. Most of them are in very uncomfortable situation as they can't find new brands, all places for internet influencers are long time taken.

    Reviews and assurances must help OM to sell all remaining stock and keep factory working at least 6 months before main big cuts will come (as they have huge stock of parts available due to COVID sales drop).

    During last two months Olympus bodies sales are quite good (compared to start of the year, not previous years), lenses not so much. Company is still extremely far from profits are is burning millions of dollars each month.

  • Vitaliy_KiselevVitaliy_Kiselev

    Dclife analyzed the current JIP situation and hopes the new OM Digital company will announce the new E-M1IV and PEN-FII at the CP+ show to prove their point. There may be also one or more new Macro PRO lenses.

    Both cameras actually could be produced before sale in some amounts.

    But LSI and all else are same old stuff, years old.

  • Vitaliy_KiselevVitaliy_Kiselev

    To our Olympus Community,

    It’s certainly been a year like no other. At Olympus, we’re thankful every day to be able to provide products, education, and inspiration that resonates with artists and professionals alike. Even in this year of hardships, you’re still engaging, creating and taking us along for the ride.

    Thank you to our customers and our team who helped us navigate these uncharted times. To reaffirm our commitment to you, we’d like to announce our newest chapter. Effective January 1, the consumer products division of Olympus is now OM Digital Solutions Corporation. OM Digital Solutions will retain our leadership and capabilities in Research and Development, Production, Sales, and Marketing. You can feel confident that we’ll continue to support the imaging and audio products previously manufactured and sold by Olympus, as well as you and your creative endeavors.

    I’m excited about the prospects for 2021, and I’m especially thankful for your patronage and loyalty.

    Wishing you cheer and inspiration for the new year, from our family to yours.

    Expect new cuts in service and more quite soon.

  • MikeLinnMikeLinn

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