For discussion about setting up your studio and advice on the gear and equipment within it.
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By MeSoHordey Thu Sep 24, 2009 1:10 am
Ill-Green wrote:All I can say, its just a drum machine. I still haven't saw it sample from a record or a cd and see the sample chopped and flipped.

Ok so the Kangz craft the sounds in the Thang. What y'all should of done was sell the Thang without the 3,000 sounds and reduce it to 500 sounds, so the price will be lower to $499. maybe? And then the profits will be made with sample packs. Let the user choose to fill the other 2500 slots with their own or the premade Kangz sounds. Yeah.


I agree with you, if you're talking about us as a target market. But I think I might know why they can't.

Assume Hardware R&D is $1M, Sound development is $500,000 and that each unit costs $500 to produce whether sounds are included or not.

    - With sounds, and at an MSRP of $1,000, BKE has to sell 3,000 units in order to break even on their original investment of $1.5M.

    - Without sounds, and at an MSRP of $599.00 BKE has to sell 10,000 units. And they have to explain to their customers* why they can't use it out of the box.

*Jamon was on to something earlier. AKAI can get away with selling their units for $1,000 with NO sounds because their target market (US) goes beyond casual hobbyists. BKE can't; the kiddies need the sounds in order to get started and BKE, quite frankly, BKE needs the built-in additional margin that sounds create.

BTW - I don't believe for a second that R&D on this unit was a $1M. They say that back in the early nineties when Jeff Hawkins went to create a simple plastic prototype of the Palm Pilot, he was quoted around a $1M. I wouldn't be surprised if BKE has put $5-$10M into R&D. So basically at an MSRP of $1,000 they need to sell 20,000 units in order to recover their investment.

That's a lot of frickin units.
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By MeSoHordey Thu Sep 24, 2009 1:24 am
fobedafied wrote:
MeSoHordey wrote: I wouldn't be surprised if BKE has put $5-$10 into R&D.




fixed for accuracy... :wink: 8)



Just f*cking spit coffee everywhere.
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By inflict3 Thu Sep 24, 2009 4:03 am
yo, i finally got that update working rite... now it dont crash all the time, the thang still needs much work though.. a step sequencer would be nice, and a few other things, only time will tell...
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By b.read Thu Sep 24, 2009 5:08 am
fobedafied wrote:
MeSoHordey wrote: I wouldn't be surprised if BKE has put $5-$10 into R&D.




fixed for accuracy... :wink: 8)


I would also be surprised if sound development cost $500,000
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By Explicit- Thu Sep 24, 2009 5:41 am
inflict3 wrote:yo, i finally got that update working rite... now it dont crash all the time, the thang still needs much work though.. a step sequencer would be nice, and a few other things, only time will tell...

it doesnt even have a step sequencer? :lol:
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By mr_debauch Thu Sep 24, 2009 6:31 am
MeSoHordey wrote:Assume Hardware R&D is $1M, Sound development is $500,000 and that each unit costs $500 to produce whether sounds are included or not.

    - With sounds, and at an MSRP of $1,000, BKE has to sell 3,000 units in order to break even on their original investment of $1.5M.

    - Without sounds, and at an MSRP of $599.00 BKE has to sell 10,000 units. And they have to explain to their customers* why they can't use it out of the box.




while i agree with your point completely... if they sold 3000 units at $1000 then they would double their money... not break even with 1.5million down. if they were at 599 each then 10,000 units would clear them 5,990,000 which would be a 4,490,000 profit at 1.5mil invested.

but since fobe pointed out that they only invested $5.00: wait, let's be generous... $10, then the unit that jamon pre-ordered payed for all the costs and AJA's bandwidth bill from spamming all the music forums on the internet.
By jpeg Thu Sep 24, 2009 9:57 am
Ill-Green wrote:All I can say, its just a drum machine. I still haven't saw it sample from a record or a cd and see the sample chopped and flipped.

Ok so the Kangz craft the sounds in the Thang. What y'all should of done was sell the Thang without the 3,000 sounds and reduce it to 500 sounds, so the price will be lower to $499. maybe? And then the profits will be made with sample packs. Let the user choose to fill the other 2500 slots with their own or the premade Kangz sounds. Yeah.



this is precisely right let peeps choose the sounds they want cos as mentioned i dont want 300 beat box sounds and paying a g is over kill
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By Coz Thu Sep 24, 2009 12:21 pm
drunkmonkey5556 wrote:when will they just make a beat kangs forum....


They have one but nobody uses it!
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By b.read Thu Sep 24, 2009 1:26 pm
drunkmonkey5556 wrote:when will they just make a beat kangs forum....



viewtopic.php?f=11&t=119370
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By Explicit- Thu Sep 24, 2009 3:34 pm
This Burger Kang thang aint gonna pop.

I can guarantee you guys that no more than 10 of these hardwares exist. I wouldnt be suprised if not more than 1 of these exist. :lol:

These clowns all share the same Beta Thang. :lol: :lol: :lol:
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By MeSoHordey Thu Sep 24, 2009 4:31 pm
mr_debauch wrote:
MeSoHordey wrote:Assume Hardware R&D is $1M, Sound development is $500,000 and that each unit costs $500 to produce whether sounds are included or not.

    - With sounds, and at an MSRP of $1,000, BKE has to sell 3,000 units in order to break even on their original investment of $1.5M.

    - Without sounds, and at an MSRP of $599.00 BKE has to sell 10,000 units. And they have to explain to their customers* why they can't use it out of the box.




while i agree with your point completely... if they sold 3000 units at $1000 then they would double their money... not break even with 1.5million down. if they were at 599 each then 10,000 units would clear them 5,990,000 which would be a 4,490,000 profit at 1.5mil invested.

but since fobe pointed out that they only invested $5.00: wait, let's be generous... $10, then the unit that jamon pre-ordered payed for all the costs and AJA's bandwidth bill from spamming all the music forums on the internet.


I still think I got it right. The $1.5M is upfront investment. They are not making $1,000 per unit (right or wrong, I assumed their costs were around $500). It goes like this;

breakeven = fixed costs / margin ,or, 1.5M / (1000-500) ,or, $1.5M/500