Why is Oppo stopping products.


Just went to their website and they are no longer making new products. 
kw6
Basement,

Do you understand how much it cost to do a production run?  They have to order hundreds if not thousand(s) of the units from their supply.  Up until they made the announcement of their closing, they were not selling everything they made.  The only product that was hard to get was the Sonica DAC.  Dealers and Oppo were sitting on a lot of Disc Players.  The announcement caused a run on the 205's which sold out in about 10 days.  I'm going to guestimate that there where about 200+ 205's.  I know that about 30-50 were sold through Best Buy/Magnolia.

The cheaper 203's took about a month to sell out.  I'm assuming that there were more 203's available.  Sonica WiFi speakers are still available.  

The announcement motivated a lot of people that were sitting on the fence to finally make a purchase.

Oppo was loosing money over the last few years.  They were not selling enough product to cover their overhead (salaries, rent/mortgage, insurance, utilities, etc).

Ask yourself how many people do you know that own a 4k Blu-ray Player?  

Hey, if you don't believe what you read here, then call Oppo.  I've actually spoken to them twice in the last month; they've always been upfront and forthright.  

BTW - On google maps you can actually see the Oppo Facility.  Also, they are still taking reservations for 203's and 205's for a potential final run.  
the day of the disc is over.  more people downloading media or using streaming services.  Oppo could have stayed in the game by producing a excellent streamer/DAC that could interface with existing NAS storage devices, but would offer the same excellent video and audio playback and support that Oppo that has been Oppo's trademark.
@elizabeth   +1
Net neutrality rules will formally expire on Monday allowing internet providers free reign to block any traffic content, throttle internet speeds against their competitors content, and accept money for favored treatment.  With prices for streaming video and music surely to rise if new rules are not repelled,  I do not see the streaming landscape as the stable platform that some of you are making it out to be.
" In TYPICAL business model, I would expect to make profits as long as you can until it's no longer profitable, as opposed to get a jump on it. "In the future, we won't make profits so we are stopping now"..?? Does anyone buy that? "

Hello basement,

    I buy it and agree with prpixel and jag.
    For a business, there are numerous factors, and permutations of factors, that need to be considered prior to making a decision as critical as ceasing production and exiting the market.  
     It's never as simple as just making profits as long as you can until it's no longer profitable.  A  well run business is more concerned with past, current and future projections of sales, costs and profit margins.  The  current and projected profit margin (sales price less costs usually measured as a % of sales price) and sales volume are the determining factors when deciding whether they are going to continue making a specific product, not just whether they are going to make a profit.  
     A large company like Oppo needs to constantly evaluate their return on investments  to ensure they're allocating their assets wisely, optimizing profits and taking advantage of opportunities that may exist in manufacturing alternative products.  Satisfying the wants or needs of a relatively small niche market is of much lesser import.
    It's Capitalism at work but it does create a vacuum in the market that may be filled by another company (Cambridge?) that views is as an opportunity if the numbers make sense..  
Tim    

Just got a new Honda SUV and they no longer offer CD players in their cars. They do offer a "Premium Infotainment System" that includes an audio option. You can plugin your own files in through a flash drive and it will play some high-res formats (e.g., 24/96 wave files).

The user interface sucks but the sound is surprisingly good and deathly quiet. Considering you can rip hundreds of CDs onto a single flash drive, the overall consumer result is a plus.

Wave goodbye to the physical CD world; it was wonderful and we hardly knew you...