— Digital Cameras
Kodak announces it's getting out of the camera-making business
After previously filing for bankruptcy protection, Kodak has now announced that it will cease making cameras (Photo: Gizmag)
After making and selling cameras for over 120 years, the Eastman Kodak Company announced yesterday that it plans to stop producing its "dedicated capture devices" - in other words, its digital cameras, pocket video cameras, and digital picture frames. The company plans on phasing out the products throughout the first half of this year. This news doesn't come as a surprise, as Kodak filed for Chapter 11 bankruptcy protection just last month, at which time it announced that it would be undergoing a "reorganization" in order to focus on its most valuable business lines.
Those lines, it turns out, will mainly include its retail photo-processing kiosks, digital dry lab systems, and consumer inkjet printers. The company will also be focusing on its online photo-sharing and -processing services, its camera accessories and batteries, and its products for traditional film-based photography, including photographic paper and processing equipment.
In its announcement yesterday, Kodak noted that the increasing quality of smartphone cameras was creating less of a demand for stand-alone image capture devices.
The company expects to pay approximately US$30 million in separation benefits for employees displaced by the decision, but it also predicts that the change will result in annual operating savings of over $100 million. There is no word on exactly what number of people are expected to lose their jobs.
Warranties on existing Kodak cameras will still be honored, and technical support and service will continue to be provided for them.
About the Author
An experienced freelance writer, videographer and television producer, Ben's interest in all forms of innovation is particularly fanatical when it comes to human-powered transportation, film-making gear, environmentally-friendly technologies and anything that's designed to go underwater. He lives in Edmonton, Alberta, where he spends a lot of time going over the handlebars of his mountain bike, hanging out in off-leash parks, and wishing the Pacific Ocean wasn't so far away.
All articles by Ben Coxworth
They really haven\'t been making their own cameras for years. They just slap their badge on cheap cameras made by someone else.
very sad, I have an Olympus 7040 Stylus 14.8 megapixel that I found on Gizmag for $105.00 that kicks ass, sweet pictures, video, kills my old Fuji 2.8 that cost $250.00, Kodak got stuck in the last century, like my employer who does not understand that some of our customers only want to contacted thru email or texting, only person I know without a cell phone
I hope there is a museum to visit this company and it\'s contribution to photography. It would be fun to visit.
Eastman Kodak is spinning in his grave. Kodak invented the digital camera! Yet another shining example of corporation lunacy killing jobs.
They\'s are gunna get their asses sued!!!
If they had to file for chapter 11, that means they\'ve got lots of creditors wanting money, so what\'s the best way to deal with that?
Methinks it probably is not taking the most valuable asset of the entire company (it\'s reputation and history), and smashing it apart on the rocks.
And why? I mean - making that decision, stupid as it is, ... nobody cares? But to announce it, and actively work to destroy your own reputation deliberately?
I\'m pretty sure there\'s laws protecting shareholders against the wanton destruction of their assets. Here\'s to some lawsuits, coming soon to a court near you :-)
Maybe Bain Capitol will do a leveraged buyout of Kodak, and Mitt can use the cash Bain extorted from Kodak for his poresidential run.
Your photo of the Canadian Kodak Duaflex is on its side. Is that intentional?
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