Hearing rumors (from a good source) that the company decided not to invest in components to make inkjet systems for at least the next 3 to 6 months..... what will they sell? How will this affect the stock price in Q2/Q3? Will this drive more layoffs? How are the customers and competition going to behave with this information?
OR is the plan to doll up the books with no inventory to make facilitate sale of the company? Thoughts??
THIS (inkjet) is the KEY LINK to all that we have been going through.
A3/A4 Office Inkjet is the future. ALL devices will be inkjet in the somewhat near future. There will be a day when the nightly news announces "the final toner based printer rolled off the assembly line today, bringing an end to a technology first created by Chester Carlson in 1938, and launching Xerography". My guess, Toner won't make it to 100 years old.
Xerox doesn't have the A3 Inkjet technology, but HP does.
HP doesn't have the distribution to the SMB A3 Office market, but Xerox does.
We'll be selling HP PageWide products as an HP subsidiary in 2020 or 2021. Sorry Toner.
This is why we are for sale.
We also run out of fusers and feedrolls for A3/A4 at every quarter end because we stop buying common parts to keep our equipment running. This leads to hard down customers for better quarter numbers. We've been doing this for as far as I can remember
What will Little Sean Dickey Hickey do?
All our inkjet products are junk.
https://www.xerox.com/en-us/digital-printing/continuous-feed-inkjet-presses
This also links to production cutsheet inkjet
I'm not familiar with the inkjet business. How many products do we have? Are they all production inkjet?
Customers and competition are going to keep on doing what they’ve been doing. They buy Ricoh, Canon and some HPinkjet and don’t really even consider us. Xerox is too far behind to be taken seriously in the production inkjet market.
They’ve been “built on order” for a while now. And it’s not like we were selling any anyway. Our ink jet program has been a fiasco since the beginning.
Taking the supply chain down to minimum (or even below minimum) levels is common around here. It usually happens at the end of the year to try and make the financials look better for year-end, but I can definitely see them doing it for either 1. a sale of the inkjet business (or overall company) or 2. reducing inventory to make the 1st Half results look better.