In the wake of a bankruptcy filling last month, Kodak has now decided to cease production of digital cameras, video cameras, and photo frames by early 2012. Kodak is making this move to save money and focus on more profitable businesses.
The company announced that digital cameras, video cameras, and digital photo frames will be phased out of their business in the first half of 2012. The change is expected to save the company more than $100 million annually. Kodak is planning to focus their efforts on photo printing and desktop inkjet printers, which have proven to be more profitable business areas for them.
Kodak has committed to work with retailers to ease the transition. The company is also promising to honor all existing warranties and provide continued technical support for its discontinued products.
The press release from Kodak states that while the company is phasing out digital cameras, video cameras, and digital picture frames it is also looking to “expand its current brand licensing program, and seek licensees in these categories.” That implies that the Kodak name may still appear on products in these categories but Kodak doesn’t intend to manufacture any hardware themselves.
The statement also made it clear that Kodak will focus on its commercial business as well as the photo printing and desktop inkjet printer business. Kodak says commercial business accounts for up to 75 percent of total revenue.
Do any of you still own a Kodak camera or video camera? I still have one digital photo frame with the company’s name on it but I haven’t purchased Kodak hardware besides that in quite some time.