In fact, there are not many companies that I can think of off hand that are direct competitors to 3D systems now.
Of course there is Botmill, but they are mainly about creating Hobbiest Printers for enthusiatic amateurs like the reads of this blog!
$135.5 Mill for Z Corp and Vidar
3D Systems Corporation (NYSE:DDD) announced today that it has completed the acquisition of Z Corporation (“Z Corp”) and Vidar Systems (“Vidar”) for $135.5 million
Former Z Corp CEO gets a job
The company also announced that earlier today it consolidated its entire personal and professional 3D printer businesses into a single unit under the leadership of John Kawola, former Z Corp CEO who was named 3D Systems Vice-President and General-Manager, Personal and Professional 3D Printers business unit. The company affirmed its plans and expectations to deliver combined revenue and cost synergies in the range of $5-10 million dollars in 2012 and reiterated its expectation to incur incremental fourth quarter 2011 acquisition costs in the range of $2.7 to $3.2 million.
3D Systems is doing this to accelerate growth
This acquisition integrates Z Corp and Vidar products and services with 3D Systems’ extensive portfolio, uniquely positioning 3D Systems for accelerated growth in the dynamic, rapidly expanding 3D content-to-print space. The transaction completes 3D Systems’ range of product capabilities, fills price gaps with complementary products and technology and doubles its reseller coverage globally. The Company expects the acquisition of Z Corp and Vidar to be immediately accretive to its cash generation and to its Non-GAAP earnings in the first full year following completion of this transaction.
How does this affect the Hobbiest?
Well, I don’t think it affects us much at all. 3D Systems and Z Corp create the printers that companies like Shapeways and Sculpteo use to print your designs.
So I don’t think this will effect the pricing for these sorts of prints at all.
I am a touch concerned that this creates a monopoly or olygopoy of companies producing commercial 3D Printers, and I certainly hope that this does not increase the prices of the technology in the future.
Of course the mainstay for hobbiests – the RepRap 3D Printer is free as in beer and free as in speech, so really we are notaffected at all.
I would like to see more competition in the market, who knows, maybe HP will step up, although I don’t think this is likely.
In short – I hope this company acquiring does not reduce competition in the market.
I have asked 3D Systems to comment on the perceived reduction in competition in the 3D Printer market.
Follow this link: 3D Systems aquires Z Corp and Vidar
Continued here: 3D Systems aquires Z Corp and Vidar