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After recently announcing a fall in profits, Sanyo seem to be getting back on track by cutting its digicam production costs, mainly by producing 90% of its output in overseas countires like Indonesia, China, South Korea and Vietnam. Interestingly Sanyo also aim to sell 300,000 of their Xacti C cameras in 2005/06, approximately 30% of the global market for combination video/still cameras.

“We are aiming to cut (production) costs by 30 percent with models coming out this fall compared with those launched in spring last year,” Kubo said. “We have to cut costs by that much to keep up with price falls in the market.”

Kubo said he would like to raise sales of Sanyo’s own branded cameras to 10 percent of its total in the future. The “Xacti C” series is the best way to achieve this target because it leverages the company’s strong video technology, he said.”

Website: Reuters - Sanyo cuts digital camera costs

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