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Old 14 December 2007, 16:08   #73
(Amigas && Amigos)++

Calgor's Avatar
Join Date: Sep 2005
Location: Anrea
Posts: 998
You cannot keep on selling a machine with basically the same hardware for a decade. It loses its competitive advantage, so you have to resort to price cuts (but lower profit margins too). Management did not address this issue (hey, this quarter will have less profits if we invest in R&D!). If you read the history, they designed about a billion machines, and actually decided to make about 1. I wonder how much money was wasted in that for no revenue.

And what they added was pathetic. A4000 was pathetic, a very small team could have probably come up with the same improvements, let alone a company as large as commodore at the time. Don't get me wrong, it is a good machine, but you may as well stick with the A3000 + some improvements rather than the expense of a whole new machine. It might even cost less overall due to less R&D costs although unit build price will be higher. Less time to market too. Same goes for A600. Instead of working on virtually another A500 or A3000, the same employees could spend their time on other things. If A500 was cutting edge or they had excess resources, sure an A600 would have been great (in same way as a1000 to a500), but it was old crap, so its life expectancy was small.

Piracy would have an effect on a small market, but root cause of the market being smaller in the first place was due to loss of competitive advantage. I mean, why would anyone buy an Amiga over a PC in 1992 if you have not owned any computer before? I certainly would not have. Keep in mind VGA was in 1987, and SVGA in 1989. Look at the number of new games produced, sales of the amiga per year, etc to see the effect of the improved PC standards filtering through to the right price points. I think 1990 was the peak year of amiga sales, and when the A3000 needed to be released with 256 colours (pref 64K) and 16 bit sound to keep ahead of the PCs, with a cheap version of the A3000 to also replace the A500 in 1990.

End rant.......
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