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[OM] the future of OM

Subject: [OM] the future of OM
From: Joseph <joseph@xxxxxxxxxxx>
Date: Mon, 13 Dec 1999 12:43:55 -0800 (PST)
Tony writes:

============
I think the Om system is about to finish. Unfortunately, cause I a owner of
a OM-1. Where are the Olympus executives? I'm feeling alone with my OM-1, a
============

My own take on the status and future of the OM system is fairly atypical.
Olympus manufactures lenses in a single run.  Thus, if they design a
lens, they then set up a manufacturing facility, make all they want
to make with the manufacturing run, box them up and store them in a
warehouse, then take down the manufacturing facility for this lens.
Thus, they make all they expect to sell in the one run.  They might
set up a new run if they run out, but more likely, they do a re-design
of the lens as well at that time to take advantage of the latest in
optical technologies.

I don't know if camera bodies are made the same way, but I suspect
they are.  It is the only way to get an economy of scale in the
manufacturing process for a relatively low-volume product.   I think
most cameras are made this way.

It is my belief that Olympus has already discontinued manufacture of the
OM system.  However, they seem to think it is important to have the
system officially on the market as it adds prestige to the Olympus
name as a camera seller, thus enhancing their very profitable point & shoot
business.  This would explain their having raised the prices of the
OM-4T and lenses to astronomical levels while demand has fallen off.
(Normally, prices fall in response to falling demand when someone wants
to sell something).  Olympus wants to sell their existing stock very
slowly, only selling a piece of a premium price is paid.  This enables
them to officially keep the OM system on the market at low cost to
them (just cost of warehouse space, and it probably isn't that much).
This is just my theory of course, but it is consistent with the evidence
we have.

Where does this leave the OM user?  First, it means that the system is
largely a system where you buy used stuff, not new stuff.  there are
exceptions, eg if you just have to have a 21/2 you might have trouble
finding it used.  Of course, if you want to find a new one, you'll have
some problems.  B&H doesn't stock many OM lenses, and they have to be
special ordered.  You have to have your credit card charged up front,
and then wait a long time to receive an expensive lens you already paid
for.

Second, there are not many 3rd party lenses available new.  Sigma has
discontinued most of their OM mount lenses, and Tokina is doing the same.
Tamron still supports OM pretty well with their adaptall system, but
some new tamron lenses are only available in autofocus (eg the 20-40 zoom
as an example, but this might change in the future).

However, the main problem with a system that is largely only available
used and/or has been discontinued, is that it becomes unrepairable,
like Konica SLRs or Topcon SLRs.  This is not the case here.  Olympus USA
is obliged by law in the US to support a product with repairs for
10 years after it is discontinued.  So if the OM-4T were discontinued
tomorrow, you'd still have 10 years of support.  Thus, their policy of
jacking up the prices to keep the system officially on the market makes
it a viable system to use if you don't mind buying stuff used.

If they should decide to discontinue it, you'd most likely see a fire sale
on stuff with plumeting prices.

Just some thoughts.

Joseph


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