Industry News
What's going on or new in the Appliance Industry
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Calypso Class Action Suit Settled
This might be old news, but the class action law suit brought against Whirlpool Corp. and Sears has been settled. Deadline for any affected by this suit is May 7, 2007. Read about the settlement here and about the various problems and complaints at Consumeraffairs.com.From a service standpoint – Calypso washers are about the worst things that I can think of to service. I don’t mind the technology – in fact the concept of bouncing the clothes up and down through the water/detergent is a good idea. However, the access to components is near impossible and the testing procedures are also complex and more difficult than necessary. I guess the engineers thought that they would never break – hence the service difficulties. It’s hard to believe that the engineers that designed this unit also designed the Whirlpool Direct Drive Washer which is a joy to service.
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Sub Zero Wine Storage Blog
With wine being the new American passion (even the low/middle class can participate) there are a whole slew of new storage devices available on the market. Don’t be fooled by the majority of them – most are just beer fridges with wine racks installed. Others, like the Sub Zero products are far more than that. Sub Zero is now in blogsphere with their Wine Blog. It is an open site with lots of great information geared for the wine neophyte.Remember when the best wine was a screw-top in a paper bag?
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Whirlpool to cut off Sears?
Layoffs are being anticipated at the Evansville, Ind. Whirlpool plant. The plant currently employs about 2000 people and manufactures refrigerators and ice makers. Since Whirlpool purchased Maytag (and assumed their debt) they have shut down three plants – so far.
According to Newswatch, ‘Whirlpool, which makes 270,000 refrigerators a year for Sears, asked Sears to raise its price. But when the company refused, Whirlpool executives told Sears to find another company to build for them.’
How many jobs have been lost so far with this merger? When will the bleeding stop?
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GE Refrigerator Class Action Law Suit
It seems that GE has a bit of a problem on their hands with moisture and mould in their refrigerators; specifically with the ice maker and dispenser area. This lawsuit is being blogged about at Bring Good Things To Life. Their mission statement is ‘Confronting corrupt corporate behavior and contempt of consumers through effective communication and the power of grassroots organization.’ Whew – I think that says it all!Another major manufacturer once told me that ice makers constituted almost 50% of their repair costs. Ice makers are the one place in a fridge where you combine water, ice, heaters and electricity all into one tiny little unit. No wonder there are such problems. Maybe it is time to rethink the old twist tray!
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Appliances On-line
As we get closer to Will Smith’s ‘I, Robot’ rendition of computers ruling the world we now have home appliances connected to the ‘net. USA Today reports appliances ‘that link wirelessly to Internet-connected home networks are being tested by consumers who are receiving updates on their dirty laundry via cellphones, computers and TV sets. Messages not only indicate when a wash is complete but also can warn that a lint filter is clogged or a load is too large. Users can remotely command the machines to fluff dry clothes or start a load from a distance after being told – oops – they forgot to start the wash.’Another useless (but kind of neat) gadget or is this the new wave of the future? Who will use this technology and how practical it will actually be is the question I would like to see answered?
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Sanyo’s Waterless Washer
Sanyo’s new ‘Air Wash’ appears to be a developement of the ‘Airwash’ ion washer that we reported on yesterday. According to Sanyo, the system injects air combined with Ozone on the articles inside the drum, and is able to disinfect and deodorize in about a 30 minute process. The Ozone that is injected inside the drum decomposes odors and bacteria and then goes back into the air.It’s nice to see research turning into real world product.
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Waterless Washer?
A washer that uses 0 gallons per load? It’s finally here – sort of:
The AirWash, which won the ElectroLux Design Lab 2005 Award, uses negative ions, compressed air and deodorants to clean clothes. The design form was inspired by a waterfall, which sceintifically speaking is nature’s own negative ion factory. The unit was designed by two students from the National University of Singapore’s school of industrial design. The waterless washing machine removes stains from garments within a few minutes, without the use of detergents or water. It can be used for cleaning garments of all kinds, though the judges took special note of AirWash’s potential to make convential dry cleaning obsolete. AirWash should also help save energy costs and water consumption, and has huge potential for places without ready access to clean water. The winners, Gabriel Tan and Wendy Chua won the competition beating out entries from 3,000 other students from over 88 countries.
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Whirlpool purchase of Maytag
A few general/global comments on the purchase of Maytag by Whirlpool Corp.
Whirlpool purchasing Maytag is great news for Whirlpool Corp. shareholders. What better way is there to beat out your competition than to buy them out? But how will this affect consumers? Competition drives research, keeps prices under control and provides options for consumers to choose when a manufacturer does a disservice to its customers. The positives found in competition have been eliminated by this merger. Jobs are being eliminated in the US and Whirlpool is now manufacturing product in Mexico (read cheap labour.)
However, as we step further into the door of the global economy, these types of mergers will become more commonplace. It is the only way that North America can compete with the China’s and Taiwan’s of the world. Jobs will be moved to 3rd world nations where labour is cheap, product will increasingly become disposable and in the end consumers will be left holding the tab. The only way this slide could be stopped would be to stop the importation of foreign product into North America – we know that is not going to happen. So workers in oppressive nations will be exploited, the rich will get richer and shareowners in companies like Whirlpool Corp. will be happy.
Cinical? I suppose, but in terms global competition the merger is necessary and is a good acquisition for Whirlpool Corp.