Nikon to cease production of film cameras

[JDArt]

Did we see this coming?

Following the success of our digital line-up over the last seven years, which has resulted in more than 95% of Nikon’s UK business being within the digital area, Nikon Corporation has made the decision to focus management resources on digital cameras in place of film cameras. This decision will allow Nikon to continue to develop products that match the demands of an increasingly competitive market place.

Despite this growing competition Nikon Corporation has continued to outperform the market, and has recently reported positive financial results which saw group net profit climb by 20% in the fiscal first half which ended in September. Group sales also increased by 9.8% to 342.85 billion yen in the same period. Sales of high end digital SLR cameras and the success of products like the D70s and D50 have helped contribute to these positive figures.

As the film camera market shrinks and the popularity of compact digital cameras increases, demand for products that offer advanced features and extra value is continuing to grow. High performance digital SLR cameras are performing well as users shift from film-based SLR cameras or upgrade from compact digital cameras to digital SLR cameras.

As a result of the new strategy Nikon will discontinue production of all lenses for large format cameras and enlarging lenses with sales of these products ceasing as soon as they run out of stock. This also applies to most of our film camera bodies, interchangeable manual focus lenses and related accessories. Although Nikon anticipates that the products will still be in retail distribution up to Summer 2006.

http://www.nikon.co.uk/press_room/re...w.aspx?rid=201

[Paul Shields]

It's not surprising that they're canning the manufacture of compact film cameras. I suspect the sales figures for that section of the market is moving in the opposite direction to equivelant DSLRs/compacts. It's now coming to a point where only the real enthusiasts/pros are likely to buy a film camera, and I wonder how long that will last?

[Mr. Pickles]

A crying shame that Nikon won't make film camera bodies no more. Dang techie world.

As for "prosumer" digitals, I'd think the market is not so much switching to DSLR's, as it is dieing from everybody already having one. Now the market is left to the new ones, and to upgraders. I still think for a TON of people, a prosumer type camera is ALL they need.

But you can probably get a bigger percentage of profit on a DSLR...and it's lenses

[DavidRM]

Compact digital cameras are a consumable item, currently, and generally have to be replaced in 2-3 years. Before digital, how many people used the same camera for 5-10 years and only then considered buying a new one? That shift alone increases profit margins considerably, or at worst makes up in volume what might've been sacrificed to keep the price down.

So it's no wonder companies are moving away from the less profitable item that no one wants any more in favor of the pricier item with the built-in obsolescence and upgrade path.

I do wonder when the "high-tech glow" that currently surrounds digital camears will fade, and life cycles will stretch out again. Probably not for years. Because digital cameras opened up a whole lot of nifty new things that can be done, and simplified a few old things.

-David

[JDArt]

Originally Posted by DavidRM

I do wonder when the "high-tech glow" that currently surrounds digital camears will fade, and life cycles will stretch out again. Probably not for years.
-David

Or perhaps never. Hasn't happened with computers, although yes, people aren't needing to upgrade every year like they used to. Now it's every two years.

[DavidRM]

Originally Posted by JDArt

Or perhaps never. Hasn't happened with computers, although yes, people aren't needing to upgrade every year like they used to. Now it's every two years.

For people who use their computers to make a living (and tend to have laptops, another consumable item), yes. For the general populace, though, computers are approaching what I like to call "Refridgerator Status". Which is, they buy them, park them in a corner, and "just use" them for years and years.

So I think it will eventually settle down. Advances will continue, as they tend to do, but the urge to must-have-the-latest-and-greatest will fade as the difference between the generations gets smaller and smaller, to the point where only the professionals know the difference, despite what sales people might claim.

-David

[mikej]

What do you know... Nikon finally beat Canon in doing something.

I don't believe their comment about it being profitable. If it was, they would keep making at least some of the products. *I suspect that Nikon hasn't been making most of these non-camera body items for some time, just putting their name on them.

Based on what has been going on in the camera world in the last few years, I suspect this is not as big a deal with Nikon as it might sound. They have probably been cutting back and shifting products for the last several years based on the decreasing use of film cameras, film and darkroom equipment.

Mike

[JDArt]

Originally Posted by DavidRM

For people who use their computers to make a living (and tend to have laptops, another consumable item), yes. For the general populace, though, computers are approaching what I like to call "Refridgerator Status". Which is, they buy them, park them in a corner, and "just use" them for years and years.
-David

This can only happen so long as software advances don't force users to upgrade their machines. Remember that Microsoft Vista is due to be released later this year. No doubt another big upgrade cycle in computer hardware will follow.