With competition from DSLRs putting pressure on Red to compete in the same market place as Canon and Panasonic, today Red's Jim Jannard seemingly added the very last nail to Scarlet's coffin by himself.
The firmware of both cameras has a major unfixed bug backing up production schedules, but even more seriously Taiwanese company Foxconn are to close their Chinese factory, with the shock loss of 800,000 jobs, moving significant production back into Taiwan. Red has no electronics manufacturing partner at the time of writing.
It is thought that when Red was informed of the Chinese factory closure, Jannard sought to have the camera manufactured in America but this plan fell through. Jannard did not say whether Foxconn dropped Red as a customer due to production capacity pressure from the move and in order to cater for larger companies such as Apple and Dell, or whether the deal fell apart due to Foxconn passing on increased costs to Red.
This exposes Red's major weakness against competitors like Canon and Panasonic. They have to subcontract out all their hardware manufacturing. Their plan to take over the world is now beginning to look too ambitious.
For every day that passes whilst Red suffer, their camera specifications and designs slip further and further into the clutches of competitors, who are already some distance ahead of volume and pricing. DSLRs are now everywhere. What I can't stand about Red though in comparison to the more conservative and failure-fearing Japanese corporations, is their sheer arrogance. It seems this at least, has now been fixed.
It would be a bit like being a REDUSER.net member under the rule of moderators