Lower RP System prices

From: Yakov Horenstein (Electon)
To: RP-ML
Date: Monday, February 27, 1995
Subject: Lower RP System prices
Ian Gibson wrote :
> 1. Cost (obviously) - thanks to some of the manufacturers for
> addressing this point already - lets see those prices come 
> rolling down.

I have news for you. Just received a quotation from Helisys for both 
their machines, which now carry price tags of $140,000 & $240,000 
respectively. In the case of the small machine (original price $99,000) 
this new price is the second increase I've seen. 
So much for descending prices!

Marshall Burns wrote:
> Look at the productivity gains that manufacturers using
> these machines are realizing. Vern Schmidt at Chrysler and 
> others in the industry have reported these machines paying for 
> themselves in less than a year. Ford has a case study of saving 
> about $10 million in one 64-hour run.

If that's so then how come sales of RP units is still only a $70-80 
million a year industry? I don't doubt that productivity gains are 
being recorded by the large companies you mention, but for the 
small/medium sized setup its a little harder to recuperate your 
costs. Here in Italy 90% of all companies have fewer than 50 
employees, so telling them about how much they can recuperate 
from half a million $ spent on RP equipment doesn't convince many, 
especially since the costs don't end there. If you really want to benefit 
from RP it means having a 3D CAD culture (more costs), and having 
some kind of replication facility (keep adding up the expenses), 
by which time you've spent double or more the original sum. This may 
be just a drop in the ocean for Ford, GM etc. but it's not for most 
companies here. 

Yakov Horenstein

P.S. It would help if everyone included a subject line in their message.