<html xmlns:v="urn:schemas-microsoft-com:vml" xmlns:o="urn:schemas-microsoft-com:office:office" xmlns:w="urn:schemas-microsoft-com:office:word" xmlns:st1="urn:schemas-microsoft-com:office:smarttags" xmlns="http://www.w3.org/TR/REC-html40">
<head>
<meta http-equiv=Content-Type content="text/html; charset=us-ascii">
<meta name=Generator content="Microsoft Word 11 (filtered medium)">
<!--[if !mso]>
<style>
v\:* {behavior:url(#default#VML);}
o\:* {behavior:url(#default#VML);}
w\:* {behavior:url(#default#VML);}
.shape {behavior:url(#default#VML);}
</style>
<![endif]--><o:SmartTagType
namespaceuri="urn:schemas-microsoft-com:office:smarttags" name="place"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="PostalCode"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="State"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="City"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="address"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="Street"/>
<o:SmartTagType namespaceuri="urn:schemas-microsoft-com:office:smarttags"
name="PersonName"/>
<!--[if !mso]>
<style>
st1\:*{behavior:url(#default#ieooui) }
</style>
<![endif]-->
<style>
<!--
/* Font Definitions */
@font-face
{font-family:Tahoma;
panose-1:2 11 6 4 3 5 4 4 2 4;}
/* Style Definitions */
p.MsoNormal, li.MsoNormal, div.MsoNormal
{margin:0in;
margin-bottom:.0001pt;
font-size:12.0pt;
font-family:"Times New Roman";}
a:link, span.MsoHyperlink
{color:blue;
text-decoration:underline;}
a:visited, span.MsoHyperlinkFollowed
{color:blue;
text-decoration:underline;}
p
{mso-margin-top-alt:auto;
margin-right:0in;
mso-margin-bottom-alt:auto;
margin-left:0in;
font-size:12.0pt;
font-family:"Times New Roman";}
span.EmailStyle18
{mso-style-type:personal;
font-family:Arial;
color:navy;}
span.EmailStyle20
{mso-style-type:personal-reply;
font-family:Arial;
color:navy;}
@page Section1
{size:8.5in 11.0in;
margin:1.0in 1.25in 1.0in 1.25in;}
div.Section1
{page:Section1;}
-->
</style>
</head>
<body lang=EN-US link=blue vlink=blue style='word-wrap: break-word;-webkit-nbsp-mode: space;
-webkit-line-break: after-white-space'>
<div class=Section1>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>I work in the electronics manufacturing
industry and have dealt with costing / pricing issues similar to these.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Based on what I read in the link, it
sounds like there was a component change due to unavailability of an original
spec’d out part. A scenario could be that due to the component manufacture
discontinuing a part thus having to find a drop in replacement or actually
respinning (designing) a new PCB. More often than not the price will be higher
because of the supply / demand issue. I actually had a VP of OPS for a chip
manufacturer tell me they doubled the price because the market would pay it. My
customer at the time was IBM and I arranged a nice meeting for the supplier to
explain his pricing strategy (being that IBM told us we had to buy the part
from them). Once IBM told them no problem, that IBM will flag the supplier and
design all there components out, they reconsidered. Don’t think there are
any IBM power houses to influence the suppliers of our products so we are at
the mercy of the OEM’s we buy stuff from. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>The worst case scenario about 5 to 7 years
ago there was actually a capacitor type (Tantalum) that demand grew faster than
capacity creating a shortage about the time cell phones and other cool device
were starting to boom. It took a 25 cent part and drove the price up over 10x.
Not too bad on the surface, but couple it with a PCB that uses 25 of them and
now we need to adjust the price to keep an acceptable profit margin.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>RAM memory is another good example as the
price seems to be volatile. Sometimes a great deal and others your paying
through the nose.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>So Tony’s guess is probably on
target if we are talking material. I would doubt that the actual assembly processing
cost has increased.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><st1:PersonName w:st="on"><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'>Larry Diamond</span></font></st1:PersonName><font
size=2 color=navy face=Arial><span style='font-size:10.0pt;font-family:Arial;
color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<div>
<div class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>
<hr size=2 width="100%" align=center tabindex=-1>
</span></font></div>
<p class=MsoNormal><b><font size=2 face=Tahoma><span style='font-size:10.0pt;
font-family:Tahoma;font-weight:bold'>From:</span></font></b><font size=2
face=Tahoma><span style='font-size:10.0pt;font-family:Tahoma'>
nsrca-discussion-bounces@lists.f3a.us
[mailto:nsrca-discussion-bounces@lists.f3a.us] <b><span style='font-weight:
bold'>On Behalf Of </span></b>Tony<br>
<b><span style='font-weight:bold'>Sent:</span></b> Thursday, January 03, 2008
6:16 PM<br>
<b><span style='font-weight:bold'>To:</span></b> '<st1:PersonName w:st="on">NSRCA
Mailing List</st1:PersonName>'<br>
<b><span style='font-weight:bold'>Subject:</span></b> Re: [NSRCA-discussion]
Futaba Receiver Question</span></font><o:p></o:p></p>
</div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Don’t know about the price
issue… I presume that it just cost more to produce the new one, but that
is a wild guess. <o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>
<div>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Tony Stillman, President</span></font><font
color=navy><span style='color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>Radio South, Inc.</span></font><font
color=navy><span style='color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>139 Altama Connector, <st1:address w:st="on"><st1:Street
w:st="on">Box</st1:Street> 322</st1:address></span></font><font color=navy><span
style='color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><st1:place w:st="on"><st1:City w:st="on"><font size=2
color=navy face=Arial><span style='font-size:10.0pt;font-family:Arial;
color:navy'>Brunswick</span></font></st1:City><font size=2 color=navy
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:navy'>, <st1:State
w:st="on">GA</st1:State> <st1:PostalCode w:st="on">31525</st1:PostalCode></span></font></st1:place><font
color=navy><span style='color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>1-800-962-7802</span></font><font
color=navy><span style='color:navy'><o:p></o:p></span></font></p>
<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'>tony@radiosouthrc.com</span></font><o:p></o:p></p>
</div>
<div>
<div class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>
<hr size=2 width="100%" align=center tabindex=-1>
</span></font></div>
<p class=MsoNormal><b><font size=2 face=Tahoma><span style='font-size:10.0pt;
font-family:Tahoma;font-weight:bold'>From:</span></font></b><font size=2
face=Tahoma><span style='font-size:10.0pt;font-family:Tahoma'>
nsrca-discussion-bounces@lists.nsrca.org
[mailto:nsrca-discussion-bounces@lists.nsrca.org] <b><span style='font-weight:
bold'>On Behalf Of </span></b>Ron Van Putte<br>
<b><span style='font-weight:bold'>Sent:</span></b> Thursday, January 03, 2008
5:59 PM<br>
<b><span style='font-weight:bold'>To:</span></b> <st1:PersonName w:st="on">NSRCA
Mailing List</st1:PersonName><br>
<b><span style='font-weight:bold'>Subject:</span></b> [NSRCA-discussion] Futaba
Receiver Question</span></font><o:p></o:p></p>
</div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
<div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>I sent the following to Tony Stillman:<o:p></o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<div>
<p class=MsoNormal><font size=1 face=Arial><span style='font-size:9.0pt;
font-family:Arial'>"Tony - I have looked at the Futaba R607FS and R617FS
receivers "six ways to Sunday" and can't tell what the difference is
between them. They are the same size and weight, both are 7-channel 2.4 GHz
receivers and both have the same pin orientation, but they have a different
price on the Tower Hobbies website. So, what's the difference? I suspect one of
the pictures on the Tower Hobbies website is the wrong one and that one
receiver is a "top loading" one, while the other is an "end
loading" one."</span></font><o:p></o:p></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>Here was his response:<o:p></o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>"</span></font><span class=apple-style-span><font size=2
color="#0000fc"><span style='font-size:10.0pt;color:#0000FC'><a
href="http://2.4gigahertz.com/faq/faq-fasst-q926.html">http://2.4gigahertz.com/faq/faq-fasst-q926.html</a></span></font></span><o:p></o:p></p>
</div>
<p style='margin:0in;margin-bottom:.0001pt'><font size=2 color="#00005a"
face=Arial><span style='font-size:10.0pt;font-family:Arial;color:#00005A'> </span></font><o:p></o:p></p>
<div>
<p class=MsoNormal><font size=2 color="#00005a" face=Arial><span
style='font-size:10.0pt;font-family:Arial;color:#00005A'>The above should
answer your question…</span></font><o:p></o:p></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><span class=apple-style-span><font size=2 color=black
face="Times New Roman"><span style='font-size:10.0pt;color:black'>I went to the
url and it said, under Frequently Asked Questions:</span></font></span><o:p></o:p></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><span class=apple-style-span><font size=2 color="#00005a"
face="Times New Roman"><span style='font-size:10.0pt;color:#00005A'>"</span></font><b><font
color=black><span style='color:black;font-weight:bold'>I have noticed a new
R617FS receiver offered with the 7C 2.4GHz radio on your website. Is there
something wrong with the R607FS that we should know about?</span></font></b></span><o:p></o:p></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<p style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:12.0pt;
margin-left:0in'><font size=3 face=Arial><span style='font-size:12.0pt;
font-family:Arial'>There is nothing wrong with the R607FS, it is a dependable
and reliable receiver.</span></font><o:p></o:p></p>
<p style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:12.0pt;
margin-left:0in'><font size=3 face=Arial><span style='font-size:12.0pt;
font-family:Arial'>There was a component supplier change for some parts, and
Futaba renumbered the R607FS to the R617FS for their reference. These receivers
are essentially identical."</span></font><o:p></o:p></p>
<p style='mso-margin-top-alt:0in;margin-right:0in;margin-bottom:12.0pt;
margin-left:0in'><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>OK, I can understand that, but why are they not the same price? <o:p></o:p></span></font></p>
<div>
<p class=MsoNormal><font size=1 face=Arial><span style='font-size:9.0pt;
font-family:Arial'>I assume the 617 is the newer one and they will replace the
607 with the 617 in their module/receiver package when they run out of 607s.</span></font><o:p></o:p></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'>Ron Van Putte<o:p></o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<div>
<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>
</div>
<p style='margin:0in;margin-bottom:.0001pt'><font size=1 face=Arial><span
style='font-size:9.0pt;font-family:Arial'> </span></font><o:p></o:p></p>
</div>
</div>
</div>
</body>
</html>