Digital BW, The Print

By the way, Epson has filed a second lawsuit going after the large format
cartridges.

And has anyone figured out how to refill 3800 carts yet?

They really are intent on wiping out the third party ink industry.

I wonder if a secondary competitor like Kodak might exploit the big-three's
efforts by making a machine that readily accepts competitive inks.

Note http://www.msnbc.msn.com/id/20298724/ :

"Analysts have been concerned about a potential slowdown in HP's ...
high-margin inkjet cartridges that have been long been the company's cash
cow. They have worried that Eastman Kodak Co.'s foray this year into the
inkjet-printer market with lower-priced products could harm HP's
profitability."

"But HP delivered a strong showing in the third quarter. Operating profit
for the division rose 11 percent from $884 million to $981 million. The unit
provided HP with nearly 40 percent of the company's total operating profit."


I think the extent of profitability of the ink sales helps support the
argument that the old prohibitions on tying were based on solid facts.
Regardless of the Chicago school theory, most people do not carefully
analyze total product costs when purchasing.  The low down payment suckers
lots of people. (Has anyone noticed the housing market?)

Mention of HP's inkjet profitability in letters might help persuade some
that "perfect competition" is not happening here.


On the other side of the coin, Kodak's behavior is more consistent with what
economists would predict.

Paul
www.PaulRoark.com