[Leica] S2 success (or lack thereof)

[richard at imagecraft.com (Richard Man)]

I don't know, lets do some back of envelope calculation. The cost of
production is somewhat negligible, so for a complete S2 system for ~$50K,
Leica probably brings in $20K. So how much does it cost to build the S2
system? Lets say it was a 3 year program involving 30 people at $200K per
year, that's 18 million dollars, so they have to sell 1000 units before they
break even.

(Yes, I pulled all those figures out off... thin air)

Seeing that they sold off the 500 Leica M9Ti without even trying in a matter
of weeks, one can imagine that 1000 S2 in a year should not be out of the
question.

Lets say I underestimated things, so we lop off 50%, it still means that
after 2 years, the S2 should pay for itself.

Of course there is still ongoing marketing and R&D expense to develop new
lens and accessories, but still I don't think the S2 will be a failure in
that R system sense.
-- 
// richard <http://www.imagecraft.com/>
// icc blog: <http://imagecraft.com/blog/>
// photo blog: <http://www.5pmlight.com>
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