ICOM is well known as one of the key manufacturers of high quality transceivers for the amateur radio market. In May of 2023, they released a document titled 'Medium Term Business Plan 2026' which outlined the company's plans for the financial year March 2024 to March 2026.
As the graphic above shows, ICOM are involved in several radio and communication sectors but I think most people would be surprised to learn that amateur radio only accounts for 17% of ICOM's business.
In terms of future plans and growth for the future, they had this for the section about amateur radio...
It's a bit like saying something without actually saying anything. It's well known that the amateur radio community is getting older and it's not a growth market. As long as ICOM can make money selling equipment to radio amateurs, they'll stay in the market.
The original document is pretty bland and if you want to read it, you can find it HERE
4 comments:
I'm actually surprised amateur radio makes up as much of their market as it does. When thinking about scenarios where a business might be stretched too thin, focusing on too many products (not saying this is the case for Icom), the products with the least amount of market share tend to be the ones that go. To me, this graphic says amateur radio products have a very secure footing with Icom for the foreseeable future.
"but I think most people would be surprised to learn that amateur radio only accounts for 17% of ICOM's business."
Looked at another way, amateur radio is Icom's second-largest revenue-generating market after land mobile which I think includes first-responder communications (police, fire, ambulance and EMS services.) I'd say things are looking pretty good for our community.
I agree with Cale. I was surprised amateur products were that much of their business based on revenue. I wonder what was percentage of their gross and net profits are attributable to amateur radio offerings? Those are far more important than sales figures.
In the next 20 years we can expect big changes in the amateur radio market. As amateurs age there will be fewer new designs and reduced sales. Some (most?) dealers will cease trading. This means reduced income for magazines. Magazines will close or get much smaller. Most Japanese manufacturers will stay whilst there are profits. Without profits I can see many leaving the market. The Chinese may be interested if there is money to be made. I can see CB and amateur radio becoming a free for all and PTTs washing their hands as long as no interference is caused. Roger G3XBM.
Post a Comment