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Recycling Times Magazine

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Publisher & Managing Director Tony Lee +86 (0)756 3919260

Directors

David Gibbons +61 418 410 557 Sabrina Lo +86 (0)756 3919261

Editorial Editors

Johanna Breen Cherry Xu translator@therecycler.com.cn Tina Chou +86 (0)756 3959286 Sophia Jiang editor@therecycler.com.cn Jessica Yin magazine@therecycler.com.cn Simon Ye +86 (0)756 3919272

Designer

Vicki Chou +86 (0)756 3919270

Sales Sales Manager

Anna Leung +86 (0)756 3919266

Account Manager

Kevin Zhu +86 (0)756 3919265

Sales Executives

Sally He +86 (0)756 3919263 Tobee Deng +86 (0)756 3919282 Susi Guo +86 (0)756 3959299

Operation and Marketing Operation Manager Charles Lee +86 (0)756 3919267

Operations Assistant Sunny Zhang +86 (0)756 3959282

Accounting

Feng Li +86 (0)756 3919269 Joy He +86 (0)756 3919262 Tracy Zhang +86 (0)756 3959283 Jeven Zhang +86 (0)756 3919272

Web Designer

Ivan Zhao +86 (0)756 3919280

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Recycling Times Media Corporation

editorial editorial

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n order to help the industry understand more about China aftermarket, Recycling Times has completed an investigation of the industry. Since 2008, Recycling Times has conducted similar research for the industry twice a year. The results of the first quarter this year are looking good. Compared with the first quarter of last year, 96.0% of the companies saw their sales revenue going up, of these, 29.6% claimed their growth rate was over 20%! However, they also feel the pressure from increasing costs. 71.1% of respondents indicated that production costs for the first quarter had gone up compared with the first quarter of 2010. Emerging markets are getting more attention and may become a driving force for the industry to grow. Behind the positive signs, low profit margins, increasing costs and difficulties in finding empties remain a headache for the industry. The printer industry is also experiencing dynamic development. Seine Technology has run a nationwide campaign in China in which they claim that to have signed contracts with two distributors at a road show in Chengdu, capital city of Sichuan and they have now more than 120 distributors in China. They also took road shows to Henan, Shanxi and Anhui. The campaign will also include road shows in Nanjing, Changsha, Shenyang, Hangzhou, Shanghai, Xi’an and other major cities in China. Lenovo has released its brand new Memjet-powered printer-RJ600N. This is the first product launched in China with Memjet technology. Last April, Memjetpowered label printers were launched by several manufacturers. Now Memjet Home and Office also has its first product. We expect to see more products with Memjet technology soon. Whether Seine Technology and Lenovo can gain market share from the major OEMs is still for us to see.

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June 2011 | www.recyclingtimes.com.cn

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All rights reserved. © 2011 by Recycling Times Media Corporation. The contents are not be to copied or republished without official written consent. The editorial content does not represent official positions of Recycling Times Media Corporation.

Recycling Times Magazine

contents contents

Lenovo launches RJ600N in China with Memjet technology

www.recyclingtimes.com.cn

After the filing of its annual report this summer, Media Sciences International Inc. plans to send notice of a shareholdersâ&#x20AC;&#x2122; meeting to be scheduled for later this year at which shareholders will be asked to approve a formal plan of liquidation, among other actions to be taken at the meeting.

Just a Minute with David Gibbons

Media Sciences announces special distribution

Keeping informed

The RJ600N printer was amid claims that that its printing speeds reach 60 ppm. The company believes through its cooperation with Memjet it delivers low cost, high speed color printing. The cost per sheet is said to be 0.1-0.15 RMB Yuan for monochrome and 0.3-0.5 RMB Yuan per sheet for color.

Industry Updates

Clover acquires OPRA

How to combat patent infringement allegations

Delacemp appoints T&L Supplies as its distributor Media Sciences announces special distribution

We, again, witness the complicated situation in the printer supplies industry in this case: On the one hand, the competition is fierce. On the other hand, patent and trademark use in remanufactured products occupies something of a gray area.

Greene Concepts partners with Skymall Upstream Print Solutions acquires Cornerstone

MSE takes steps to overcome supply chain issues LMI joins MPSA

Access Products wins $500 million government contract ECi and MWAi expand strategic relationship Delphax teams with Memjet to enter color printing arena

Product Release

Goat Labs introduces new Lexmark toners WPP launches replacement Brother TN201 cartridges FG releases matched systems for HP P1102/P1606

Metrofuser introduces new fusers and kits

OEM News Lenovo launches RJ600N in China with Memjet technology

Fuji Xerox seizes $2000,000 worth of counterfeit toner products Canon U.S.A announces new subsidiary

Emerging supplies market rising â&#x20AC;&#x201D;A survey for Q1 in the printer supplies industry

Up in the clouds

Market Data

OEM recent quarterly performance roundup

Sales & Management

Tips to keep complaining away

Legal Issues

Canon launches two new high speed color Ricoh copier factory back to production

OEMs focus on MPS

Features

Epson introduces Stylus Photo R2000 printer Fuji Xerox moves into large-format with agency for Epson and Mutoh

ILG releases Brother TN-450 OEM alternative Katun introduces new toner for Canon, Ricoh and Toshiba printer

OEM News

How to combat patent infringement allegations

Tech Zone

Remanufacturing the Dell 1130 toner cartridge

www.recyclingtimes.com.cn | June 2011

Recycling Times Magazine

Just a Minute with David Gibbons

Keeping informed I guess you have heard it said that honesty is the best policy. Unfortunately, many of the people who say that are dishonest themselves, and they lie and cheat whenever it is convenient to do so. The truth is . . . many people are honest only to the point where there is the possibility of being caught. I watched TV Queen Oprah Winfrey the other day. She was discussing honesty and integrity. She said, “Real integrity is doing the right thing, knowing that nobody's going to know whether you did it or not.” I guess it is the same thing to say that your real character is formed when you know no-one is watching. So how might this be relevant to your business? You want your business to be profitable. So you try to increase the number of transactions, while trying to make as much profit on each transaction at the same time. If you are honest in your business it could mean you lose opportunities. For example, a repair to a customer’s laser printer may be as simple as replacing a blown fuse. Which means it may only take a minute to fix.

What do you do? Fix it on the spot for a small fee? Or do you book it in for a full service that will cost the customer more? You have a choice. So, does honesty in business pay? Yes. You may be able to get away with one or two dishonest transactions, but you can NEVER get away with it all the time. As news spreads about your business, what do you want people to say about you? I believe that when you are honest, people will enjoy doing business with you more. And you really should be interested in building a long-term business. For me, it's honesty or nothing. And trust me, your business WILL be more profitable.

David Gibbons is Director of Recycling Times. He has been a school principal, marketer, businessman, remanufacturer and Executive Director of the Australasian Cartridge Remanufacturers Association until 2005. He is currently the director of communication of a large South Pacific organization.

March 2011 | www.recyclingtimes.com.cn

Recycling Times Magazine

Industry updates

Clover acquires OPRA

lover Holdings, Inc. has announced its acquisition of Office Products Recycling Associates (OPRA). The acquisition of OPRA enables Clover to better support the growth of its collection business and meet increased market demand. Based in Kansas City, Missouri, US, OPRA has been an industry leader in the collection and selling of empty toner cartridges, inkjet cartridges, cell phones and other small electronics since 1995. Clover’s partnership with OPRA will provide greater coverage

and ensure what it claims are the industry’s most comprehensive and efficient collection programs. Jim Cerkleski, CEO of Clover Holdings stated, "The acquisition of OPRA demonstrates Clover’s continued diversiﬁcation of our collection programs to advance our long-term growth strategies. We are excited about this new partnership. OPRA’s unique reverse logistics collection programs coupled with Clover’s already robust product and services offering further solidify Clover’s evolution into a vertically integrated solutions provider."

Tom Cameron, President and Founder of OPRA, commented, “OPRA is absolutely thrilled to become part of the industry leading Clover team. Our partnership with Clover will enable OPRA to provide even better service to our collection partners while expanding our business into new locations and new products.” OPRA will operate independently in the market and will continue to service its customers and the companies maintain that both Clover and OPRA remain relentlessly committed to providing best-in-class customer support and the highest levels of service in the industry.

Delacamp appoints T&L Supplies as its distributor

elacamp has announced the appointment of T&L Supplies as its official distributor in South Africa. T&L Supplies is a well established distributor for the South African aftermarket imaging industry with a distribution facility in Hekpoort from which it services its entire South African customer base with next- or two-day deliveries. This strategic partnership will give South African customers access to products such as MK Imaging monochrome matched systems, DCSelect Parts and Kaleidochrome CPT chemically-produced color matched systems.

Jurie Bezuidenhout, Director of T&L Supplies says “I am delighted to be partners with such a long-established company with a reputation for both quality products and service. I am confident that remanufacturers in South Africa will enjoy the benefits that this partnership can bring to their businesses and I look forward to serving them.” “The South African remanufacturing market is needed as a quality alternative to compatible newly built cartridges from Asia. We want to support the industry by offering our high quality parts through T&L Supplies. Jurie has many years of experience

in the South African market and T&L is clearly our partner of choice. The appointment is in line with Delacamp’s African-focused approach to offer industry-leading products to the African continent.” says Volker Kappius COO of Delacamp.

Media Sciences announces special distribution

ccording to a press release from Media Sciences International Inc. the company announced a special one-time cash distribution of $0.39 per share to shareholders on record as of May 31, 2011. At a meeting of the Board of Directors on May 18, the board adopted a resolution authorizing its officers and directors to take such actions as are required to liquidate and dissolve the corporation. It was further resolved to distribute $0.39 per share to shareholders of record as of May 31, 2011. The payment date for the cash distribution will be on or about June 9, 2011.

As of April 30, 2011, the Company had unaudited cash on its balance sheet, inclusive of restricted cash, of approximately $12.5 million. The cash remaining after the distribution will be used to satisfy the company's current obligations, potential obligations and wind down costs. During the liquidation and dissolution process, as the risks and wind down costs lessen, the board may decide to make additional distributions and a final distribution is intended upon conclusion of this process. Given the uncertainties and risks associated with the intended wind down, there is no guarantee of any further or final distributions.

After the filing of its annual report this summer, the company plans to send notice of a shareholders’ meeting to be scheduled for later this year at which shareholders will be asked to approve a formal plan of liquidation. Marc Durand, Media Sciences' President and Chief Executive Officer, stated, "Now that the company has sold its toner business and settled its solid ink litigation, the company's board has decided that the appropriate course of action is to make a cash distribution to shareholders and to wind down the company through a liquidation and dissolution process." www.recyclingtimes.com.cn | June 2011

Recycling Times Magazine

Industry updates

Greene Concepts partners with Skymall

reene Concepts' website has finalized a contract with popular direct marketer, SkyMall, for the brand, ‘Refills4You’, inkjet refill system. Refills4You is Greene Concepts’ innovative refill system designed to accommodate over 500 types of cartridges from manufacturers including Apple, Brother, Canon, Dell, Epson, HP, Lexmark, Xerox and more. SkyMall is a multi-channel, direct marketer offering high-quality, innovative merchandise from top direct marketers and manufacturers through its SkyMall catalog and website, www.SkyMall.com. The SkyMall catalog is seen by approximately 88% of all US air passengers reaching more than 650 million air travelers annually. SkyMall also offers turn-key merchandise and fulfillment solutions for loyalty marketing programs. The SkyMall brand is almost universally known among affluent and well-educated travelers who are receptive to innovative, unique products. “This is a major accomplishment for our brand and part of an overall strategy to release Greene Concepts’ technology and applications across various means of distribution. SkyMall is a one-of-a-kind distribution portal and we look forward to developing a long-term relationship toward mutual benefit. Likewise, we are confident this positions the company and its product lines for additional strategic relationships and revenue streams as we continue to foster partnerships toward overall corporate growth and asset values,” states Greene Concepts CEO, Lenny “Inkman” Greene.

June 2011 | www.recyclingtimes.com.cn

Upstream Print Solutions acquires Cornerstone

ccording to ARN, Upstream Print Solutions has announced it has purchased another MPS provider – Cornerstone – for an undisclosed sum. Upstream CEO, Neil Tilley, said it had observed Cornerstone’s work for several years and approached them a couple times in the past to see if they were interested in selling their business. “We were lucky enough to convince them to do it this time,” Tilley said. “We think Cornerstone is a quality provider of managed print services in our industry and we view them as a good competitor. The best way to stop them from being a competitor was to get them to become part of our business. We’re looking forward to our competitors being worried because as a combined force, we’re hopefully stronger than we were independently.” For now, the Cornerstone branding will remain but it will transition under the Upstream entity over time. Most staff will be kept on board, boosting Upstream’s team to about 340. Cornerstone has been providing document technology solutions since 2002 and has about 45 staff located across Sydney, Melbourne and Canberra.

Recycling Times Magazine

Industry updates

MSE takes steps to overcome supply chain issues

icro Solutions Enterprises (MSE) announced plans to work with its OEM partners to investigate the potential impact and supply disruptions resulting from the Japanese earthquake in March, reported by Recharger. According to Luke Goldberg, SVP of MSE Global, "MSE enjoys multiple strategic alliances with printer OEMs as well as HP channel partners who we have interfaced with. These help us to better understand potential shortages that may take place on specific cartridge models. While there is still no certainty as to how constrained the supply of these SKUs will be, MSE has taken steps to bolster our raw materials, empties, and finished goods inventory on items we believe may be impacted. We owe it to our OEM partners and all of our dealers to proactively address this potential issue and do everything in our power to keep continuity in our ability to provide these items." MSE also encourages its dealers to contact them to establish more comprehensive core collection programs in order to maintain better supply to avoid any shortages.

LMI joins MPSA

MI has joined the Managed Print Services Association (MPSA) as a corporate member. MPSA is an independent, not-for-profit organization dedicated to growing the managed print services industry through standards, education and best practices. An active corporate member within the MPS community, LMI services over 600 MPS dealers in the United States and Canada. The firm was selected by the MPSA as the 2010 Winner of Best Infrastructure Provider for MPS dealers. "LMI is proud to be an MPSA member because it is an independent organization that represents the combined interests of both MPS resellers and end users,” stated Aaron Dyck, President, LMI Canada. “As one of the largest MPS providers in both Canada and the United States, it behooves us to engage with thought leaders like the MPSA membership." This year, LMI is a corporate sponsor of the upcoming Global MPS conference, and Mr. Dyck is a conference speaker. In his presentation, “MPS sales and marketing best practices,” he will provide ten practical action items any MPS reseller can implement right away to create awareness and drive MPS leads. “As a new member, LMI gives our community a valuable resource towards our goal of encouraging professionalism and best practices. LMI brings proven ideas and perspectives about what it takes to be successful in MPS, and their active participation in the association benefits us all,” said MPSA President Joe Barganier.

www.recyclingtimes.com.cn | June 2011

Recycling Times Magazine

Industry updates

Access Products wins $500 million government contract

t has been reported by Colorado Springs Gazette that Access Products has won a $500 million government deal. Access Products is one of 15 supply companies to be awarded blanket purchase agreements under the initiative, and will provide for federal agencies including the Environmental Protection Agency and Department of Defense. “I couldn’t be more thrilled,” company owner Bob Roth commented, “We really sacrificed. We gave them incredible pricing. And some of the

federal agencies really stepped up.” Established in 1986, Access Products supplies remanufactured and new cartridges, and says price was an important factor for government sales. According to Colorado Springs Gazette, the company has seen thriving business over the last year since the agreement, anticipating revenues of $15-18 million for 2011, compared to $6 million from 2010. Its first quarter earnings for 2011 are already up by more

than double the same period last year. Access Products is expecting to almost triple its revenue after securing a huge federal purchase agreement last year.

ECi and MWAi expand strategic relationship

Commerce Industries, Inc. (ECi), an industry-specific information technology solutions, announced that the company has expanded its strategic relationship with MWA Intelligence, Inc. (MWAi), a mobile service solutions company for dealers in the office industries. MWAi’s Intelligent Service solution is the exclusive remote services offering made available to ECi customers and is currently integrated with ECi’s OMD and La Crosse business system software. The expanded relationship will extend integration to the ECi Britannia and DDMS software solutions

serving the vertical markets for office products, furniture and equipment dealers. MWAi's solution for managed print services (MPS) continues to be a preeminent solution for the equipment industry. They offer industry-specific applications to automate and optimize processes surrounding service dispatch, supply chain, service management, device management and embedded technology. MPS is a critical expansion area for dealers serving the office product and equipment industries. “Our continued commitment to the office products and

equipment market is illustrated by this expanded partnership with MWAi and the recent acquisition of FMAudit,” says Trevor Gruenewald, COO of ECi. “ECi’s business systems and device management tools complement MWAi’s mobile services tools to provide our customers the most comprehensive solution to empower growth in this industry. ECi is excited by the opportunity to work more closely with MWAi and know this relationship will provide our more than 2,500 ‘office customers’ a foundation to successfully diversify their products and services and grow their businesses.”

Delphax teams with Memjet to enter color printing arena

elphax Technologies Inc., a global provider of high-speed digital monochrome printing equipment, announced plans to enter the color printing arena through a partnership with Memjet. "Our collaboration will introduce Memjet’s disruptive technology in color production to the commercial printing industry in a robust digital print system engineered and manufactured by Delphax Technologies," said Dieter Schilling, Delphax president and chief executive officer. "Memjet has created a print head that represents an entirely new category of

June 2011 | www.recyclingtimes.com.cn

digital print technology – a major step forward in speed and economy of high-quality color production. We’re excited about joining Memjet on the leading edge of this development." The partnership between Delphax and Memjet brings together two companies that hold "world’s fastest" titles – Delphax for its tonerbased digital monochrome printers and Memjet for its ink-based digital color print heads. "Delphax Technologies has the industry experience, international reach and engineering expertise that make it an ideal OEM partner for us," said Sean Marske, president of Memjet

Labels. "It is a highly innovative company in its own right, establishing a strong competitive position within the commercial printing industry by providing its customers with the cost and performance advantages of high-speed digital equipment." “The addition of high-speed color capability is an exciting and essential strategic advance for Delphax,” Schilling said. “Digital color is a segment of the printing market that has grown despite the recession, and it is projected to gain steadily in share of revenues from equipment, supplies and services.

Recycling Times Magazine

Product Release

Goat Labs introduces new Lexmark toners

ecently Goat Labs has announced the addition of toners for use in Lexmark printer engines with new and even better formulations to its product line. The formulations are designed to work with the monochrome laser printer cartridges for the Lexmark E120, E250 and T430 engines. Despite the fact that these engines have been on the market for quite a while, this series of Lexmark printers continues to be popular. The new and improved toners are designed for monochrome laser printer cartridges which will fit in: •Printers with the Lexmark E120 engine, which can be found in the Lexmark E120N. •Printers with the Lexmark E250 engine, which can be found in the Lexmark E250, 350, 352 and 450 series of printers. •Printers with the Lexmark T430 engine, which can be found in the Lexmark T430 series of printers. In Europe there are a few toner cartridges for these Lexmark engines. The following cartridges can be remanufactured with the Goat Labs toners: Cartridges for use in the Lexmark E120 Part#

Type

Yield

12036SE

Standard cartridge

2,000 pages

Cartridges for use in the Lexmark E250/350/352 Part#

Type

Yield

E250A11E Standard return cartridge

3,500 pages

E250A21E Standard cartridge

2,000 pages

E352H11E Standard cartridge

3,500 pages

E352H21E High yield return cartridge

9,000 pages

For more information about solutions for replacement products, please visit www. goat-labs.com.

WPP launches replacement Brother TN210 cartridges

est Point Products has released premium replacement color toner cartridges for the Brother TN210BK, TN210C, TN210M, and TN210Y. This is the second set of premium replacement color toner cartridges for Brother printers released by West Point Products, and is part of a growing lineup of non-HP color toner cartridges being offered by the company. “While color toner is widely recognized as a significant growth opportunity for our customers, the attention in our industry tends to be solely focused on HP,” said Tom Day, CEO, “At West Point Products, we recognize that while HP remains the market leader and will continue to be a focus for us, there is also significant opportunity with other OEMs who focus on color, like Brother. In that spirit, we are pleased to make the Brother TN210 series available to our customers.” West Point Products’ premium replacement TN210 cartridges are intended for use in the Brother HL3040CN, HL-3070CW, MFC9010CN, MFC-9020CN, and MFC-9320CW series of printers and MFPs. These cartridges are manufactured in North American ISO 9001 certified facilities, and are tested in accordance with STMC standards. All of West Point Products’ imaging supplies are designed, engineered, and manufactured to meet or exceed OEM performance. The replacement Brother TN210BK, TN210C, TN210M, and TN210Y color toner cartridges are immediately available to West Point Products’ resellers in the company’s premium packaging. Contact WPP Tel: +1 800-338-2274 Email: smackenzie@westpointproducts.com Website: www.westpointproducts.com

FG releases matched system for HP P1102/P1606

uture Graphics announced the launch of a co-developed MK Imaging toner and OPC for the HP P1102/P1606 engine. The entry-level HP P1102 and HP P1606 printers are replacements for the popular P1005/P1505 family. The 19 ppm P1102 uses the 1,600-page yield CE285A cartridge while the 26 ppm P1606 uses the 2,100-page yield CE278A cartridge. The specially formulated MK Imaging toner

June 2011 | www.recyclingtimes.com.cn

and OPC have undergone extensive testing at the FG R&D facility and the company reports that they consistently demonstrate excellent fusing, outstanding yield and density and a clean background. Also available are a wiper blade and compatible replacement chip (designated chips for each respective cartridge) that were qualified to provide outstanding performance when used with MK Imaging products. The MK Imaging toner and OPC is the same

formula for both cartridges, although the bottled gram fill for the 78A version is higher to accommodate the higher yield cartridge. The superior quality MK Imaging matched system for the P1102/P1606 is in stock now and ships from convenient locations around the globe. • Contact Future Graphics Tel: +1 800-394-9900 Website: www.fgimaging.com

Recycling Times Magazine

Product Release

ILG releases Brother TN-450 OEM alternative

nternationalLaser Group (ILG) has announced the addition of a Brother TN-450 compatible to its line of Brother laser toner cartridges. The compatible TN-450 is manufactured for use in the Brother HL-2230/2240/2270 and MFC-7360/7460/7860 series printers. The TN-450 compatible toner offers 2,600 page yields – matching OEM yield and print performances. The Brother HL-2230 printer series is a compact monochrome laser printer that offers a fast printing at up to 24 pages per minute. The MFC series offers an allin-one multifunction printer, copier, scanner and fax with high-quality professional print output.

ILG's alternative toner cartridges are produced with OEM specifications using strict quality guidelines. ILG's manufacturing facility has stringent quality control systems and conducts numerous pre- and post-production tests. The company says this ensures its products are of top quality and free of defects. In

addition, it is backed by a 100 percent warranty and guaranteed to perform to the OEM standards. "We are pleased to add the TN-450 to our Brother line. These quality products meet the OEM standards and offer substantial savings to our resellers. Our in-depth product line includes hard-to-find brand compatibles, and the most comprehensive selection of HP color OEM alternative in the industry. In order to meet the demands for fast delivery, we have added a fifth location to our nationwide distributions centers allowing us to offer next day delivery", said Joe Shulman, Sr. V.P. of operations and sales.

Katun introduces new toner for Canon, Ricoh and Toshiba printers

atun Corporation has introduced Katun Performance toner for use in Canon iR 5050, 5055, 5065 and 5075 applications. This Katun Performance toner has been developed and tested to match OEM toner performance across all essential performance categories including overall print quality (image density, gray-scale reproduction, background levels), print/copy yields, and toner adhesion/fusing performance. In addition, this toner has been tested and approved for forward and reverse compatibility with OEM toner. Katun toner can be installed before or after OEM toner, with no

degradation in copy quality. Katun has also introduced Katun Performance monochrome toner for use in Ricoh Aficio 1022, 3025, MP2510 and MP3350 series digital copier/printers. This toner provides a reliable alternative for Ricoh dealers seeking to boost profitability of their Aficio 1022-series, Aficio 2022-series, Aficio 3025-series, MP 2510-series, MP-3010 series and MP 3350-series machines. In addition, Katun has introduced Katun Business Color toners for use in Toshiba’s e-Studio 2500C and 3510C-series digital copier/printers. Katun believes that customers who purchase these toners will be

impressed by the outstanding color reproduction and print performance, including OEM-equivalent image density, overall print quality and yields, plus significant cost savings versus the OEM toner. These toners are ideal for the sharp text and line details necessary to add emphasis to important business documents. "With over fifteen billion pages already produced using Katun color toners, the launch of this toner set reinforces our tradition of providing excellent color quality for business and office environments" says Joseph C. Wagner, vice president of marketing at Katun.

Metrofuser introduces new fusers and kits

aser printer parts manufacturer Metrofuser has introduced the Flash-It Tool – a new solution that extends the life of the CP6015, CM6030, CM6040 MFP transfer belt. This patent pending technology has the potential to save service companies thousands. The HP LaserJet HP 60XX Series transfer belts are programmed to generate an error message reading “REPLACE TRANSFER KIT” when the page count hits 120,000 pages. The only way to remove that message and restore the lifecycle, up to now, has been to purchase a costly new transfer kit. The Flash-It Tool will set the transfer kit life to 100%

June 2011 | www.recyclingtimes.com.cn

and clear the “Replace Transfer Kit” message. This will allow the printer to continue to utilize the existing transfer kit far beyond the 120,000 pages. Will Demuth, Metrofuser’s Chief Operating Officer predicts that Flash-It will become an essential tool for dealers and service companies who have multiple CP6015, CM6030, CM6040 MFP printers in MPS environments. He noted that “this is just another example of how Metrofuser remains committed to distinguishing ourselves as the foremost supporter and partner to companies using managed print services.” The Flash-It Tool is easy to use, comes with comprehensive instructions and is backed by toll-free

US-based tech support. It is compatible with CP6015, CM6030, CM6040 MFP. Metrofuser also introduces remanufactured fusers and maintenance kits for HP Color LaserJet CP3525/ CM3530MFP Fuser (CC519-67901). This model joins Metrofuser's already established lineup of remanufactured printer parts for HP Color LaserJet printers. Metrofuser's remanufactured fusers for HP's Color LaserJet printers offer brilliant crisp black/white printouts as well as vibrant color prints and guaranteed against such defects as image ghosting, toner buildup and film tearing.

CIFEX | RemaxAsia 13-15 Oct 2011

Zhuhai China

Why you can't miss CIFEX|RemaxAsia Expo 2011 huhai China

www.visitremax.com.cn

The largest event for the printer supplies industry CIFEX|RemaxAsia Expo is the biggest and most effective trade show for the printer consumables industry. As such it is the year's most important event and can't be missed.

The largest event for the printer supplies industry CIFEX|RemaxAsia Expo is the largest event for the printer supplies industry. It's estimated that over 400 companies will exhibit at the 2011 show and more than 10,000 visitors from all over the world will also gather there. Visiting the largest show in the world is always going to make your trip to China more worthwhile.

The right place CIFEX|RemaxAsia Expo is a great show, held in Zhuhai, the World Capital of Printer Consumables. In one hour, you can reach any of the 300-plus factories in Zhuhai; and in 2.5 hours, you can reach more than 600 factories in the Pear River Delta. You can take tours to local factories for more secure business deals.

CIFEX|RemaxAsia Expo October 13-15 Zhuhai China www.visitremax.com.cn

The right time The next CIFEX|RemaxAsia Expo date â&#x20AC;&#x201C; October 13-15, 2011 â&#x20AC;&#x201C; has been chosen for the convenience of visitors from home and abroad. The China Sourcing Fair operates

October 13-16

Canton Fair

HK Convention and Exhibition

Canton Fair on October 15-19. You can save time and cost by visiting all the shows and

October 15-19(Phase 1)

Guangzhou Canton Fair Hall

www.cantonfair.org.cn

between October 12-15, the Hong Kong Electronics Fair on October 13-16 and the

October 12-15

CIFEX|RemaxAsia Expo 2011 in the same week!

The best opportunity to learn about the industry On October 12, the second Global Remanufacturing Industry General Assembly (GRIGA) will again be hosted in Zhuhai, following the roaring success of its first edition. Representatives from regional and international associations for the industry, publishers and industry elites from China, Europe, India, Japan, Russia and USA presented at this charter event of GRIGA in 2010. Right now, GRIGA offers the best opportunity for you to learn about the industry trends and developments.

For more information, please visit www.visitremax.com.cn, or contact: Joy Ho Tel: +86 756 3959281 Fax: +86 756 3220717 E-mail: mktas@therecycler.com.cn

Recycling Times Magazine

OEM news

Lenovo launches RJ600N in China with Memjet technology

n 6 May 2011, Lenovo had a product release conference billed "For You, For Future". Xudong Chen, Vice President of Lenovo and Memjet CEO Len Lauer presented at the conference. The RJ600N printer was launched amid claims that that its printing speeds reach 60 ppm. The company believes that through its cooperation with Memjet it delivers customers low cost, high speed color printing. The cost per sheet for the RJ600N is said to be 0.1-0.15 RMB Yuan for monochrome printing and 0.3-0.5 RMB Yuan per sheet for color. Users can also refill the printer with the help of a special refilling unit. The paper tray can feed 125 pages. Several videos posted on YouTube in January

also show the RJ600N printer printing one page every second. A Memjet press release supports the claims made by Lenovo. Memjet stated, "Since our CES Demo Suite in Las Vegas, we’ve been busy working around the globe to bring revolutionary change to the printing industry. In a follow-up to our partnership announcement with Lenovo at CES, we launched the first-ever Memjet-powered office printer for the Chinese commercial market May 5th in the historic city of Beijing. Based on Memjet's remarkable MEMS technology, the Lenovo RJ600N provides super fast, high-quality, affordable color printing that is synonymous with the Memjet brand". "Today is notable because through this partnership

with Memjet, Lenovo will introduce the world’s fastest color office printing technology in China," Lauer commented. "Lenovo China is the first company anywhere in the world to introduce a Memjet-powered printer to the office market."

Epson introduces Stylus Photo R2000 printer

pson America introduced the latest 13inch printer, the Epson Stylus Photo R2000, reports gnom.es.newswire. According to the company, Epson Stylus Photo R2000 takes advantage of Epson's next-generation pigment printing technology to produce vivid, archival prints with an unmatched glossy look and feel that’s optimized for serious photography and other high-level creative applications The Epson Stylus Photo R2000 provides several features and qualities that are typically found in professional-level printers, such as pigment-based inks, flexible media handling, and significantly larger capacity cartridges that deliver up to 50

percent more prints. The printer offers good connectivity, making it easy to print from a home office or studio via Ethernet, Wireless-N and USB 2.0II. Its media flexibility is also unsurpassed, giving users the ability to print on a full range of papers, including cut sheet and roll paper, photographic and fine art media, canvas, art boards, and CD/DVDs. "The Epson Stylus Photo R2000 is an incredible tool for serious photographers, creative professionals and hobbyists who want to step up to superior quality printing,” said Richard Day, senior product manager,

▲ Epson Stylus Photo R2000 printer

Professional Imaging, Epson America. “Whether you’re printing a series for gallery display, producing a comp to present to a client, or making a 12×12-inch scrapbook page, this printer has the capability and versatility to deliver outstanding results that will impress the most demanding of critics."

Fuji Xerox moves into large-format with agency for Epson and Mutoh

ccording to Proprint, Fuji Xerox showed its machines from Mutoh and Epson at the PrintEX 11 show, thus taking large-format to its broad customer base. Marketing executive Pankaj Gupta said Fuji Xerox would offer customers a "full large-format solution" which included machines from Mutoh and Epson, consumables, RIPs, training and

support. "The deal was made on 30 March, but it wasn't announced to the public until now and we are already seeing a lot of interest." "We have a strong and loyal customer base who are always interested in what we are offering, and we also have interest from new clients looking for entry-level large-format solutions," added Gupta.

Mutoh Australia director Marcus Adler said the Fuji Xerox deal, which involves the reselling of the ValueJet 1304, would allow the large-format vendor to reach a whole new market. "Our strategy is to focus on the sign writing market, while both Fuji Xerox and Fujifilm can work on providing the Mutoh products to its wider network," he said. www.recyclingtimes.com.cn | June 2011

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OEM news

Canon launches two new high speed color large format printers

anon Australia has announced two new high speed colur large format printers – the 24 inch imagePROGRAF iPF6300S and 44 inch imagePROGRAF iPF8300S. Using Canon’s 8-colour LUCIA EX pigment ink system to deliver outstanding image quality, the two new models provide the perfect balance between quality and productivity, making them ideal for the production, proofing, photographic and in-house print markets. “The imagePROGRAF iPF6300S and iPF8300S are comprehensive solutions for the easy, timely and

▲ Canon iPF8300Sinkjet printer

high quality production of proofs, photographs, posters and point-of-sale (POS) display material,” said Troy Neighbour, Product Manager – LFP, Canon Australia. The imagePROGRAF iPF6300S, successor to the iPF6000S, and the imagePROGRAF iPF8300S

have been developed to complement Canon’s large format printer range. In addition to the superb black reproduction, wide color gamut and exceptional scratch resistance that were acclaimed in the iPF6300, iPF6350 and iPF8300, the two new models feature higher print speeds as well as broad workflow compatibility. A wider color gamut enables the new models to be used in applications that require greater precision, while a color profile designed for poster production gives them an advantage in producing vivid, eye-catching graphics. Productivity is improved through a new mirrored nozzle layout and the option to print in ‘fast’ mode, which enables the print speed to be as much as doubled, while still maintaining a level of print quality that rivals the quality achieved in standard mode. This is a major advantage when producing output such as posters and POS display items, where turnaround is time-critical. The printers also feature ‘proof ’, ‘image’ and ‘economy’ modes that enable the user to decide what level of image quality they need when printing. ‘Proof ’ mode produces sharper text and lines, making it ideal for high-precision proof printing, while ‘image’ mode enables high-precision printing of text and lines without a reduction in speed, making it a good choice for users for whom

▲ Canon iPF6300S

placement accuracy is less important than speed. ‘Economy’ mode reduces ink consumption by almost 50%, making it convenient for producing posters for internal use or checking layouts during test printing. The new models are compatible with a broad range of major RIPs, enabling users to integrate them into their existing workflows. Both models feature a 160GB built-in hard disk drive, which enables storage of large print jobs that can be easily accessed from the printer’s user-friendly LCD panel. Productivity is further improved by Gigabit Ethernet compatibility, enabling fast data transfer, even for data-heavy files or high volume print jobs. For more information, please visit:www.canon. com.au.

Ricoh copier factory back to production

ohoku Ricoh Co., Ltd. announced it had resumed toner production on May 10. Although the Great East Japan Earthquake and Tsunami and a subsequent large af tershock on April 7 forced Tohoku Ricoh to temporarily stop operation, all production lines except for toner had resumed operation by April 15. The resumption of toner production at Tohoku Ricoh means that all lines in Ricoh’s four production facilities in the affected are now operational.

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New York Times also reports that many factories in Japan are still struggling to recover after the quake. However, the biggest difficulty for Ricoh and many other companies has proven to be parts shortages. Although Japanese manufacturers have spread their factories around the world – Ricoh makes 70% of its products outside of Japan – many of those overseas plants often still depend on parts made in Japan. Tohoku Ricoh is the company ’s only factory making a particular motor used in copiers. When the factory there went down,

a giant Ricoh plant in Shenzhen, China – which supplies most of the Ricoh copiers sold in the United States – had to stop production for a full week. Ricoh is also dependent on parts from various suppliers in Japan, some of which suffered their own damage from the earthquake. That is forcing Ricoh to live off its inventory of certain computer chips and connectors. If production of those parts does not resume in the next couple of months, Ricoh might have to slow or halt production.

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OEM news

OEMs focus on MPS HP buys MPS company Printelligent HP announced that it has signed a definitive agreement to acquire substantially all of the assets of Printelligent, a closely held provider of managed print services (MPS). Financial terms of the deal were not disclosed. The infrastructure, software and trained workforce of Printelligent, combined with HP’s channel relationships, experience and broad base of services and solutions will strengthen HP’s leadership in MPS. This acquisition, combined with HP’s current assets, will also help HP’s channel partners extend their customer relationships while recognizing new revenue streams. The greatest opportunity for MPS worldwide will be in midsize companies, with five-year projected compound annual growth rates of 14 to 23 percent (100 – 499 and 500 – 999 employee companies) according to Angele Boyd, vice president and general manager, Imaging/Printing Document Solutions and SMB Group, IDC. HP’s acquisition of Printelligent is part of the company’s effort to optimize the traditional technology environments that its customers depend on and deliver a connected world – from the customer to the enterprise. “As a market leader in Managed Print Services, this acquisition puts us even further ahead by strengthening our ability to deliver services and solutions through our channel partners to SMB customers,” said Vyomesh Joshi, executive vice

president, Imaging and Printing Group, HP. “We’re reinforcing our commitment to our channel partners by bringing them a level of technology and experience that is unprecedented in the industry.” “Printelligent built an industry-leading managed print offering over the past 23 years,” said Rob Wellman, chief executive officer, Printelligent. “With HP’s strength, this offering will continue to grow, and channel partners will deliver an unparalleled

solution to help customers better manage their print environments.” Upon completion of the acquisition, Printelligent’s assets will be integrated into the LaserJet and Enterprise Solutions unit within the Imaging and Printing Group of HP. The acquisition is subject to customary closing conditions and is expected to close in the company’s fiscal third quarter. Xerox acquires NewField IT; extends MPS Xerox Corporation acquired NewField IT, a U.K.based print consultancy and software solution provider. The acquisition expands Xerox’s market-

leading managed print services (MPS) portfolio that serves workplaces of any size. NewField IT’s consulting and software services help companies implement MPS more quickly. For example, its Asset DB software suite creates visual maps of a floor plan to show how assets – like printers and copiers – are used throughout an office. By combining this visual mapping with a database that tracks usage patterns of document devices, workplaces small to large are able to monitor and manage the use of the devices and their overall printrelated costs. By adding NewField IT’s services to its existing MPS offerings, Xerox is helping customers capture cost savings and efficiency benefits of MPS faster than ever before. “NewField IT’s Asset DB is a user-friendly software, which speeds up some MPS implementations by up to four times. This will accelerate the return on the MPS investment for all our clients, helping boost business growth as they reinvest the costs savings into other areas of the business,” said Stephen Cronin, president, Global Document Outsourcing, Xerox Corporation. NewField IT will operate as a wholly-owned Xerox subsidiary. Co-founders Robert Newry and James Duckenfield will continue to jointly lead the company, with Newry reporting directly to Cronin. NewField IT will maintain its name and keep its headquarters in Twickenham, U.K., and itsU.S.operations inPhiladelphia. Its employees will all continue to operate as part of NewField IT.

Fuji Xerox seizes $200,000 worth of counterfeit toner products

uji Xerox recently seized $200,000 worth of counterfeit toner products in China and Thailand, reports ARN. The anti-counterfeit operation on two factories resulted from examinations by legal and investigative teams appointed by Fuji Xerox. The undertaking involved the co-operation of international customs officials and law enforcement officers. In both raids, the toner products were illegally branded with Fuji Xerox and Xerox

trademarks. The seized goods appeared identical to the genuine cartridges. According to Fuji Xerox Printers A/NZ general manager, David Borg, over the last month, the company has been involved in five major raids across China and Thailand, seizing over $1 million in counterfeit merchandise. The bogus business in China was identified when investigators detected a local factory manufacturing fake Fuji Xerox cartridges. Over 60 workers were

employed in the plant, which sold to domestic and international markets. In Thailand, the operation surfaced after vast investigations were conducted by Fuji Xerox’s team. A squadron of 18 raided the factory, discovering counterfeit products throughout the site. The companies involved in exporting the counterfeit goods out of China and Thailand will potentially face charges of heavy monetary fines and possible criminal prosecution. www.recyclingtimes.com.cn | June 2011

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OEM news

Canon U.S.A. announces new subsidiary

anon U.S.A has established a new, wholly owned subsidiary, Canon Information and Imaging Solutions Inc., dedicated to expanding Canon’s overall solutions business. The new company will be initially comprised of personnel from Canon U.S.A.’s current professional services organization. With an initial focus on accelerating the growth of existing Canon office solutions, including Business Process Optimization, Security Services and Imaging and Records Management Services, the new company will allow Canon to build out its business solutions infrastructure to specifically deliver solutions comprised of software, middleware and services. Additionally, the new company will be strategically focused to deliver a number of solutions in the area of Enterprise Resource Planning (ERP) as well as leverage

Canon’s cloud computing technologies. Canon Information and Imaging Solutions will be well positioned to fully realize the market potential of Canon's innovative cross media imaging solutions. Canon Information and Imaging Solutions will leverage Canon's existing channels of distribution. For select technologies and services, the new company will also drive its own direct-selling efforts and will actively pursue new partnerships with system integrators. Mr. Joe Adachi, president and chief executive officer, Canon U.S.A., Inc., will serve as Chairman of Canon Information and Imaging Solutions and Mr. Seymour Liebman, executive vice president, chief administrative officer and general counsel, Canon U.S.A., Inc., will serve as President of Canon Information and Imaging Solutions.

s w e n r u o y Send

In addition, the new company will be initially comprised of personnel from Canon U.S.A.'s current professional services organization. Canon Information and Imaging Solutions will look for growth opportunities in previously untapped markets for Canon such as IT services and healthcare applications through emerging Canon technology and alliances with leading third-party technology providers. T h r o u g h o rg a n i c a n d o t h e r g r o w t h initiatives, Canon is targeting the company to exceed $500 million in sales by 2014.

! s u o t s w e i v and

Contact Recycling Times Email: editor@therecycler.com.cn Tel: +86 756 3919268 Fax: +86 756 3220717

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Emerging supplies market rising —A survey for Q1 in the printer supplies industry This study was conducted to explore the aftermarket printer supplies industry conditions in the first quarter of 2011. Altogether we received 137 surveys out of 150 companies, of which 130 of them were valid, being 94.9% of the total respondents. 1.Aftermarket going steady Of these 130 companies, 48% manufacture finished products (ready-for-use toner and inkjet cartridges) such as ribbon, inkjet and toner cartridges, while 27% companies manufacture and supply parts and components such as OPCs, doctor blades to those who make toner and inkjet cartridges. 8% produce media including photo paper, inkjet paper, laser paper, fax paper, copy paper and so on. 6% provide technology, information, and software for aftermarket printer supplies industry while 2% of the respondents produce parts and components for printers and copiers. Figure 1 has the details.

Figure 2 shows the size of the companies. They are categorized by size: below 50 employees, 51 to 100, 101 to 500 and above 500. 30.5% of them hire less than 50 employees while 69.5% have more than 50 employees. From the total output value point of view, RMB 10 million Yuan is an appropriate “cut off ” point. 50% of the respondent companies have an output value of more than RMB 10 million Yuan a year. See figure 3 for more information. From the size and output value of the respondent companies, we can see the printer supplies industry has entered a steady growth. Most of the companies have over 50 employees and have an output of more than RMB 10 million Yuan.

2.Emerging market rising The frequency of new product launches reflects upon the

▲ Figure 1 Type of the surveyed companies

▲ Figure 2 Sizes of the company by employee number

▲ Figure 3 Annual output values of respondent companies (unit: RMB Yuan)

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innovation of a company. Therefore, the respondents were also surveyed to see if they introduced any new products in the first quarter of the year. Figure 4 provide the results. However, 58.7% of the companies launched only one to five products. 11% of them said they launched 11 to 15 new products in the first quarter while 11% said they had put more than 16 products on the market from January to March. Figure 5 is the product launch information of the first quarter. There was not a l o t o f n e w l yreleased product in to the market. More innovation has yet to be ▲ Figure 4 Did your company delivered to the launch new product in Q1?

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market. The number of new patent applications reveals this. From figure 6 you can see 60.8% of the companies didn’t file any patent applications. For those who did, 31.5% applied 1 to 5 patents. Innovation and patent applications are still only exploited by large companies. The sales revenue, though, is more of a positive sign. Compared with the first quarter of last year, 96.0% of the companies saw their sales revenue going up, among which 29.6% claiming the growth rate was over 20%! Figure 7 shows the information about changes in sales revenue. Although 96% of the companies saw sales revenue grow in the first quarter, they also feel the pressure ▲ Figure 5 New product from increasing releases in the first quarter costs. 71.1% respondents indicated that the production cost of the first quarter had gone up compared with the first quarter of 2010. One quarter said the cost was about the same. Only 3.9% said ▲ Figure 6 Patent they didn’t think applications in 2010 the cost was up. See figure 8 for details about the cost growth. The respondents also noticed changes in target markets for their products. South America showed itself to be the ▲ Figure 7 Sales revenue most promising growths in Q1 market, with 41.5%

of the companies selling into the region. This was followed by Russia, Central and Eastern Europe and Central Asia and then North America. These results support the findings reported in Recycling Times Issue 8—Dynamics of finished products companies in aftermarket printer supplies industry—A survey at CIFEX|RemaxAsia Expo 2010—which revealed the toner cartridge markets with the most potential are South America (41.67% respondents ranked South America as the market with the most potential) and Russia, East and Central Europe and central Asia—where 39.58% of the respondent companies are pinning their hopes. The markets enjoying the second most attention are Western Europe and North America, being 31.25% and 25% respectively. This may have been influenced by the recent patent infringement issues over toner cartridges in the two markets. For inkjet cartridges and CISS products, the market with the most potential is North America with 34.48% of the respondent companies choosing it. Western Europe is the second most hopeful market for inkjet cartridges and CISS products, taking 31.03% of the respondent companies. See figure 9 for more information about the potential markets. In the current survey, the fourth most targeted market is Western Europe, with 36.9% respondents active in this market. The number five market is China with 36.1% having their business in China also. See figure 9 for

▲ Figure 8 Changes in cost of Q1

▲ Figure 9 Percentage of respondents in different markets www.recyclingtimes.com.cn | June 2011

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most different markets situation. From these numbers, South America, Russia, East and Central Europe and other emerging markets are getting more attention due to their their rapid growth. Emerging markets are becoming more and more important for many companies in the industry to expand their market shares.

3.Rosy picture ahead Most of the respondents (97.6%) said they were optimistic about the results of 2011. 43.3% of them even expected more than 20% growth in sales revenue. Only 2.4% of companies had a low expectation for the sales of this year. See figure 10 for expectation of all respondents. However, there are still challenges ahead. Increasing

▲ Figure 10 Expected growth for 2011

costs is a recognized problem, with 64.6% of the respondents feeling the pressure of the higher costs of raw materials. The second problem is low profit. Half of the companies surveyed thought the profit was too low due to competition activities. Difficulties in sourcing empties rank the third challenging factors for future growth. See figure 11 for all the factors that stand ahead of the aftermarket industry. To find out more about the cash flow of companies, we also asked the respondents about their payment terms. About 43.4% of the companies require payment on delivery while the rest accepted payments in a period of time after delivery. 1.6% allowed their partners to pay back in three months after they delivered their product. Figure 12 shows the payment time after delivery of the respondents. More than a half of the respondents accept late payment, among which 37.6% bought insurance to combat the risk of bad debts. 62.4% of the companies didn’t take any measures to lower the rise of taking late payments. Companies should lessen the risk of taking late payments and export credit insurance is recommended to avoid bad debts.

Summary

▲ Figure 11 Major challenges facing aftermarket industry

▲ Figure 12 How long would you accept late payment after you deliver your products?

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This survey shows that the first quarter of 2011 is going well for aftermarket industry, which provides a good beginning for the rest of the year. However, the market is undergoing some changes. Low profit, increasing costs and difficulty to find empties are troubling the development. The problems seems to linger as the industry evolves. The more mature markets such as North America are pushing market players away by placing restrictions on legal issues which means the market is not as dynamic as before. The industry is moving forward by exploring thriving markets such as Eastern Europe, Russia and the Middle East. Emerging markets are becoming the new focus for many companies. However, price wars and other kinds of vicious competition are taking tolls in these markets. Faced with challenges ahead, the industry should work strategically to foster a healthy development for the future of the industry.

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Up in the clouds With the help of a line, a computer connects to a printer. The line determines the distance between the computer to the printer. That is what we have in mind when we think of printing. As technolog y develops, printing is no longer limited by the length of a connecting line. With cloud, your printer can print no matter where you are. This article talks about the latest developments in cloud printing and what they mean for the printer industry. 1.Cloud printing concept When speaking of cloud printing, we have to talk about cloud computing. Cloud computing refers to the ondemand provision of computational resources such as data, software and so on via a computer network, rather than from a local computer. Cloud computing utilizes the network as a means to connect the user to resources that are based in the 'cloud', as opposed to the user actually possessing them. The 'cloud' may be accessed via the Internet, a company network, or both. Cloud printing is where all users in the world can realize printing via a printer connected with the cloud by using any devices (including mobile phone, PC, notebook or even a camera) that are connected to the internet. in April 2010, Google introduced Cloud Print as a future solution for printing from Google Chrome OS, also a Google service aiming to enable any application (web, desktop, mobile) on any device in the network cloud to print to any printer – without Google having to create and maintain printing subsystems for all the hardware combinations of client devices and printers, and without users having to install drivers to the client. Later in March, HP released a series of inkjet printers that can realize printing with Google Cloud Print. The ePrint platform by HP was also introduced later in 2010. EFI, a customer-focused digital printing provider,

▲

announced the launch of its own cloud-based printing platform – PrintMe – that enabled mobile workers to upload their documents to the PrintMe cloud and securely print them on any PrintMe-enabled printer. These major companies moves marked the application of cloud printing, rather than just the theory.

Several ways to go cloud printing The following figure shows how we can achieve cloud printing. Apps no longer rely on the local operating system (and drivers) to print. Instead, apps (whether they are a native desktop/mobile app or a web app) use Google Cloud Print to submit and manage print jobs. Google Cloud Print is then responsible for sending the print job to the appropriate printer, with the particular options the user selected, and providing job status to the app. Any type of application can use Google Cloud Print, including web apps (such as Gmail) and native apps (such as a desktop word processor or an Android/ iPhone app). These apps call Google Cloud Print APIs. The working principle is that any applications that work in Chrome OS can support printing with API. Cloud print is more appropriately called a “service” than a kind of technology. We will discuss the differences of Google, HP and EFI’s platforms. As shown in figure 1, there are two ways to be connected with cloud: first, you get a cloud-aware printer; second, you can get connected with a proxy server. However, as a stand-alone printer with cloud, it must have internet access so as to connect with the cloud. The changes cloud printing bring are as follows: First, the way we print. We can print anywhere at any time we want. If you Figure 1 the printing process used by Google Cloud Print Source: Google are on your way to work and you

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realize you forgot to print some documents, you can print them on your way to work. By the time you arrive at the office, they will be on your desk, ready for use. Second, the change of printing terminal. You can print with your phone, iPad or even a camera with the help of apps since Cloud printing’s apps-terminal-printing model transforms terminal’s role from controlling to helping. Third, the change to printers. Printers will not rely on a local operation system but a web-based app. Work can be uploaded to the cloud.

2. Different cloud printing platforms Although Google Cloud Print, HP’s ePrint platform and EFI’s PrintMe work somewhat similarly, they are different in several ways. (1) Google Cloud Print Google offers each user an account, which associates with a printer via the Cloud Print service. Printers are treated in much the same way as documents are in Google Docs. In addition to associating printers with a user's Google Account, the capabilities of each particular printer model are stored so they can be shown to the user to select appropriate options when submitting a print job. Once the service receives a print job, it sends it to the printer. It also receives regular updates on the status of the print job which it makes available to the

▲

Figure 2 HP’s ePrintCenter

▲ Figure 3 The PrintMe printing process

app. (2) HP ePrint HP provides a unique email address for each cloudprint enabled printer. If you have a device that can send out an email, you can send it to a particular printer and print it out. In order to attract more users, HP adds many interesting apps to its ePrintCenter (see figure 2). (3) EFI’s PrintMe If you use EFI’s PrintMe, you need to send your jobs to PrintMe cloud via email or PrintMe Drive software. After you upload the documents or jobs, you will get an ID number for the print job. Then, you can insert that ID number to any printer that supports PrintMe and print it out.

3. Cloud printing, a trend Why would cloud printing come into being? It reflects the demand of the market. Firstly, legacy printing has its limits. Secondly, the popularity of intelligent devices such as smart phones and other devices enables internet access almost everywhere, which sets a basis for cloud printing. (1) Legacy printing’s limit Known as a peripheral device, legacy printer is highly dependent on a computer. In a workgroup network, if the computer that connects to the printer is shut down, other members in the group cannot print on the shared printer either. Although wireless printing improves the situation a little bit, printing still has geographic restrictions. The demand for easier printing exists and therefore solutions are developed. (2) Intelligent terminal popularity As more and more intelligent terminals such as smart phones and the net book come onto the market, people’s office can be anywhere. Cloud printing was born to cope with the increasing demand for easier printing. According to the International Data Corporation (IDC) Worldwide Mobile Phone Tracker, the worldwide mobile phone market grew 19.8% year over year in the first quarter of 2011 fueled by high smartphone growth, especially in emerging markets, and gains made www.recyclingtimes.com.cn | June 2011

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by market challengers. Vendors shipped 371.8 million units in the first quarter of 2011 compared to 310.5 million units in the first quarter of 2010. The company also expects total mobile phone shipments to reach 1.6 billion units in 2011, building on the momentum from 2010. IDC anticipates that for 2015, total mobile phone shipments will reach 2.1 billion units, resulting in a compound annual growth rate (CAGR) of 8.4% from 2010 to 2015. Mobile phone vendors shipped a total of 1.4 billion mobile phones, including smartphones, in 2010. The potential mobile printing market is huge, with users calling out for printing from their phones. Cloud printing saves users the trouble of installing a printing driver on their portable devices and allows them to print at any time and anywhere they want.

4. OEMs taking action The OEMs are also taking measures to compete in cloud printing, a battlefield with no smoke. HP has been the most aggressive OEM, and has taken the lead with its series of printers and ePrint platform. Other OEMs may not have their own cloud printing platform, but they have manufactured printers with web printing capabilities. With the help of a thirdparty app, these printers can also realize cloud printing. On March 1, Cortado announced that Brother, Dell, Funkwerk, Konica Minolta, Kyocera Mita and OKI have signed an alliance agreement with Cortado to bring “true mobile cloud printing” to the market. The Alliance is called the Cloud Printing Alliance and iIts aim is to allow mobile cloud printing to any printer, anytime, anywhere for smartphone and tablet users.

5. Why cloud printing? Major OEMs are working on the cloud. Apart from convenience of printing for the users, there is an underlying strategy. With no recognized standard for cloud printing, just like a network protocol, whoever introduces a wellaccepted standard can lead the industry and win the competition. The applications for cloud printing are numerous. According to Insight Express, printing is listed by business people one of the most difficult task during a business trip.

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Cloud printing will provide business travelers with easer printing. When people want to go see a movie, they can print the tickets and coupons out. Legacy printing is challenged. This will provide growth momentum for printing. Printers and supplies will also expect growth if printing demand grows. The aftermarket should also strengthen the competitiveness of their products in order to catch up with increasing printing demand.

Summary Cloud printing is still in its early stages of development. People have doubts about its security, although Google, HP and EFI have launched security measures such as shredding the documents or encr yption of the documents during transfer. Printers should be also turned on 24 hours a day in order to print at any time. This may cause much higher electricity consumption. It looks like Google, EFI, HP and Cortado are involved in an “enclosure movement” in cloud printing with their own strength. We hope that consumers will be able to enjoy the convenience by cloud printing soon, with an accepted protocol or standard.

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Market Data

OEM recent quarterly performance roundup HP: Q2 exceed projection On May 17, HP announced financial results for its second fiscal quarter ending April 30, 2011. Net revenue of $31.6 billion was up 3% from the prior-year period as reported, and up 1% when adjusted for the effects of currency. The financial results are shown in table 1. Q2 FY11

Q2 FY10

Net revenue ($B)

$31.60

$30.80

GAAP operating margin

9.40%

9.30%

GAAP net earnings ($B)

$2.30

$2.20

GAAP diluted EPS Non-GAAP operating margin Non-GAAP net earnings ($B) Non-GAAP diluted EPS

$1.05

$0.91

11.30%

11.20%

$2.70

$2.60

$1.24

$1.09

▲ Table 1 HP Q2 financial results

"HP executed well and delivered a solid quarter," said Léo Apotheker, HP president and chief executive officer. "Our enterprise strategy, with services at its core, is focused on higher value-added solutions, “ he added. "In the second quarter, we saw continued strength in the enterprise with combined revenue from our commercial businesses up 8% year over year," said Cathie Lesjak, HP executive vice president and chief financial officer. "We again expanded our margins and increased both earnings per share and cash flow from operations double digits year over year." Trends and regional performance Results were largely driven by performance in the commercial sector as businesses continued to spend on technology. HP experienced uneven consumer performance across its product categories during the quarter with continued softness in consumer PCs across all geographies. Second quarter revenue was up 2% year over year in the Americas to $13.8 billion. Revenue was down 1% in Europe, the Middle East and Africa and up 10% in Asia Pacific to $11.7 billion and $6.1 billion, respectively. When adjusted for the effects of currency, revenue was up 1% in the Americas, flat in Europe, the Middle East and Africa and up 4% in Asia Pacific. Revenue from outside of the United States in the

second quarter accounted for 66% of total HP revenue. HP saw accelerated growth in BRIC countries (Brazil, Russia, India and China) with revenue increasing 19% while accounting for 12% of total HP revenue. Figure 1 has more information about revenue by regions. Business group highlights •Personal Systems Group (PSG) Y/Y revenue declined 5% year over year with a 5.7% 3% operating margin. PSG remains the PC market 0.1 pts leader in terms of units, revenue and profit share. 5% •Imaging and Printing Group (IPG) 15%

revenue grew 5% year over year with a 17.0% operating margin. IPG continued to deliver strong performance across the business with share 3% gains in all printing categories and 41% year-over14% year growth in commercial printer hardware units. IPG continued to drive innovation and momentum with the new ePrint platform, graphic arts and other commercial print solutions. IPG revenue by business is in 0.1 pts

▲ Figure 1 HP Q2 revenue by segment and region

figure 2 and figure 3. IPG revenue of Q2 was $6.7 billion, up 5% year-on-year. The operating profit was $1.1 billion, taking up 17% of the group’s revenue.

▲ Figure 2 HP IPG revenue from Q209-Q211

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Market Data

approximately $1.08. HP expects full year fiscal 2011 revenue in the range of $129 billion to $130 billion, GAAP diluted EPS of at least $4.27, and non-GAAP diluted EPS of at least $5.00.

▲ Figure 3 HP IPG Q2 revenue by business

For different businesses, supplies revenue is 68% of the total revenue of the group, a 7% increase over the same quarter of 2010. Total printer hardware units were up 12% year-on-year with consumer printer hardware units up 4% year-on-year while commercial printer hardware units up 41% year-on-year. Color LaserJet units was up 26% year-on-year and printerbased MFP units up 60% year-on-year. •Services revenue grew 2% year over year with a 15.2% operating margin. To improve long-term performance, HP is accelerating alignment of the services business with the company's overall strategy, including making investments to drive more value-added solutions and migration to the cloud. •Enterprise Servers, Storage and Networking (ESSN)revenue grew 15% year over the year with a 13.8% operating margin. ESSN delivered a solid quarter with HP's innovative converged infrastructure products winning in the data center. HP gained momentum in cloud technology with strong interest in and the successful launch of HP Cloud System. •HP Software revenue grew 17% year over year with a 20.2% operating margin. HP Software revenue was driven by strong growth in licenses and services of 29% and 22%, respectively. •HP Financial Services revenue grew 17% year over year with a 9.4% operating margin. Financial Services continued to see its strong performance driven by both double-digit growth in lease volume and a healthy improvement in portfolio assets. ▲ HP's revised outlook for the third quarter and the full year fiscal 2011 reflects an expected nearterm impact from the Japan earthquake and related events, continued softness in sales of consumer PCs, and reduced operating profit expectations for Services. For the third quarter of fiscal 2011, HP estimates revenue of approximately $31.1 billion to $31.3 billion, GAAP diluted EPS of approximately $0.90, and non-GAAP diluted EPS of

Canon: Q1 revenue up, profit down Overview Canon Inc. has posted its first quarter results with a clear indication of the effect of the Great East Japan Earthquake on March 11, 2011 being shown in the figures. In several parts of the report there are figures with and without the ‘earthquake effect’ shown. Most clear is the 21.2 billion yen impact on the operating profit attributed to the earthquake, and enough to drive the operating profit below the figures for Q1/2010. Canon has also revised its full year forecast downwards with net sales revenue similar to 2010 but lower profit than 2010. As for the markets in which Canon operates amid these conditions, within the office equipment market, demand recovered for network digital multifunction devices (MFDs) and laser printers continuing the same trend as the previous year. Demand for inkjet printers also maintained solid growth. Despite the impact of the sharp appreciation of the yen along with the earthquake that struck northeastern Japan, net sales for the quarter totaled ¥839.2 billion ($10,111 million), an increase of 11.1% from the year-ago period, owing to such factors as increased sales of laser printers among office products, and the effects of consolidation arising from the acquisition of Océ N.V. in March 2010. Business by segment

Figure 4 Sales/operation profit for Canon in Q1

Within the Office Business Unit, imageRunner Advance-series products performed admirably, contributing to boosted sales volume of color network digital MFDs. Laser printers recorded an increase in sales volume, maintaining the momentum of the strong recovery realized in the previous year. Consequently, despite the effects of the strong appreciation of the yen and the impact of newly consolidated companies, www.recyclingtimes.com.cn | June 2011

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Market Data

result of the earthquake in northeastern Japan, however, shortages in the supply capacity for certain products are expected to continue, for the time being.

▲ Figure 5 Canon sales of copiers in Q1

▲ Figure 6 Canon sales of Other printing device in Q1

first-quarter net sales for the segment totaled ¥480.9 billion ($5,794 million), growing 17.5% year on year. Operating profit decreased by 12.5% to ¥63.1 billion ($760 million) for the period, mainly due to the appreciation of the yen and the earthquake in northeastern Japan. Within the Consumer Business Unit, inkjet printers’ sales volume increased from the year-ago level fueled by the healthy sales of PIXMA-series models, particularly in emerging markets. Sales for the Consumer Business Unit overall, however, declined by 0.2% year on year to ¥289.6 billion ($3,489 million) due to the adverse effects of the earthquake on sales and production as well as price competition and the impact of strong yen. Operating profit decreased by 15.7% to ¥39.9 billion ($481 million) also reflecting the negative impact from the earthquake and the appreciation of the yen. Cameras sales volume also increased in this unit. Others Business Unit covers neither printer nor cartridges business, not to be discussed here. Outlook In the businesses in which Canon is involved, within the office equipment market, demand for such products as network digital MFDs and laser printers is projected to grow steadily. With respect to the consumer products market, demand for inkjet printers will grow steadily. As a

June 2011 | www.recyclingtimes.com.cn

Lexmark: Q1 hardware soft In the first quarter, hardware revenue declined 12% year on year, supplies revenue was about flat, and Software and Other revenue grew 44%, or 50% excluding acquisition-related adjustments. Imaging Solutions and Services (ISS) revenue of $1.015 billion declined 3% in the first quarter compared to the same period last year. Perceptive Software revenue in the first quarter was $19 million, or $21 million excluding acquisitionrelated adjustments. First quarter 2011 GAAP results were as follows: •Revenue was $1.034 billion compared to $1.043 billion last year. •Gross profit margin was 37.6% versus 36.9% in 2010. •Operating expense was $276 million compared to $251 million last year, higher principally due to the acquisition of Perceptive Software. •Operating income margin of 10.9% includes $10 million pretax for restructuring-related and acquisition-related adjustments. Operating income margin in 2010 of 12.8% included $15 million for pretax restructuring-related adjustments. •Net earnings for the quarter were $83 million compared to first quarter 2010 net earnings of $95 million.

▲ Figure 7 Product revenue (Non-GAAP)

▲ Figure 8 Gaining share in key segments

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Market Data

Software revenue for the first quarter was $21 million. Figure 7 shows the product revenue in the first quarter. The hardware product revenue reached average unit revenue (AUR) of 10% on laser hardware. However, the unit shipments dropped for 11% and the revenue declined 2%. Inkjet hardware unit shipments declined 39% with AUR down 3% while the revenue down 41%. Workgroup laser printer and business inkjet are the two key segments where Lexmark is gaining share (see figure 8), according to Lexmark. For the second quarter, Lexmark expects the revenue growth to be “down low single digit%”. Xerox: strong Q1 Xerox posted a first quarter report that beat Wall Street expectations, in terms of earnings. The company saw profits of $281 million, compared to a loss at this time last year. "Our results in the quarter reflect solid progress in scaling our services business while maintaining our leadership in document technology," said Ursula Burns, chairman and chief executive officer, Xerox Corporation. "Steady revenue growth and our continued sharp focus on operational improvements resulted in a 28 percent increase in adjusted earnings. It's a good start to the year." First-quarter revenue of nearly $5.5 billion was up 2 percent on a pro-forma basis with ACS in the company’s results. Revenue from technology, representing the sale of document systems, supplies, technical service and financing of products, was flat. Revenue from services was up 5 percent on a pro-forma basis, and represents the company’s business process, IT and document outsourcing offerings. “We continue to hold the number-one revenue market share position for document technology, and strengthened this position

▲ Figure 9 Xerox Q1 revenue by segment

during the first quarter with a 27 percent increase in installs of our mid-range color systems and 19 percent growth in high-end color systems,” said Ursula Burns. “This positive performance – in technology and services – is the result of our differentiation in the marketplace, the benefits of our diverse portfolio, and the increasing trust our clients place in us so they can focus more time and resources on their core business."

June 2011 | www.recyclingtimes.com.cn

Segment performance Technology Technology revenue was flat in Q1 at $2.5 billion, about 46% of Xerox’s business. Importantly, segment margin of 10.7% was up over a point year on year with benefits from restructuring more than offsetting the negative impact from currency. Overall it is good performance, despite some head winds in the entry category caused by lower installs and equipment revenue. The Technology segment is centered around strategic product groups, which share common technology, manufacturing and product platforms. This segment includes the sale of document systems and supplies, provision of technical services and financing of products. The products range from: • “Entry”, which includes A4 devices and desktop printers. •“Mid-Range”, which includes A3 devices that generally serve workgroup environments in mid to large enterprises. This includes products that fall into the market categories, Color 41+ppm <$100K and Light Production 91+ppm <$100K. •“High-End”, which includes production printing and publishing systems that generally serve the graphic communications marketplace and large enterprises. Entry installed performance is weighted heavily towards the developing markets, and results in Q1 were in part affected by disruption in the Middle East. Looking forward, Q2 will face a difficult compare, given the 66% installed growth that we had during Q2 of 2010. On the product side, Xerox expects the lower end multifunction product line will help entry performance. Mid-range continues to show very good growth, thanks to strong color portfolio. The product line will also be strengthened by new product announcements in Q2. In high end, the Color Press 800/1000 continues to perform well and is the driver of color installed growth. Xerox will have more product launches, such as the already announced inkjet production system. The revenue of entry products takes up 24% of total technology revenue while mid-range is 56% and 20% for high-end. Xerox launched 10 products in Q1, four entry multifunctional devices and refresh of mid-range color laser printers. In summary, solid overall performance in Technology during Q1, and Xerox expect this will continue throughout the year. Services and Other segment are not discussed here. Xerox expects second-quarter 2011 GAAP earnings of 18 to 21 cents per share. Second-quarter adjusted EPS is expected to be 23 to 26 cents per share. Full-year 2011 GAAP earnings are expected to be 89 to 94 cents per share. Full-year adjusted earnings are expected to be $1.05 to $1.10 per share.

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Sales & Management

Tips to keep complaining away In some enterprises, employee complaints are caused by defects in the management system. Some complaints are small and meaningless, requiring self-control by employees, lest it damage their careers. In this article we share several tips to help you stay away from such unreasonable complaints and to gain fresh momentum for your career. 1. The poison of your career: complaining For most, work consumes over one third of our life span. So difficulties and frustrations are more or less inevitable. Employees complain about work pressures, poor management, uncaring colleagues, troublesome clients, or simply bad luck. There are so many things to complain about. In fact, complaints sometimes are not so bad, and can even help you to release your negative emotions and to regain inner balance. However, if these complaints continue and become a habit, you will unconsciously find yourself trapped in a terrible situation. In reality, complaints and frustrations usually go together. Complaints may lead to frustration, while frustration may bring new complaint. It can become a vicious circle. (1)Complaining makes things worse There will always be grumblers among us. They are good at complaining about their problems to their friends and colleagues. It seems that their work is eventually done with the support of their whines. But their whines usually do not bring a real solution to their “tedious” work, and they have no other choice but to continue. If someone has formed a habit of complaining easily, he or she will unconsciously become trapped in a vicious circle-The more you complain, the worse the outcome will be. The worse the outcome, the more you have reason to complain. Complaints will usually strengthen the negative emotions, exaggerate the problem, and eventually deprive you the courage and creativity to deal with the problem. Complaints have a unique “function” that sees all bad things sucked into you. If your minds are occupied by pain, suffering, loneliness, and bad luck, etc, these negative energies may lead you to poor outcomes or bad

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endings. That is why it is known to all that grumblers are always accompanied by bad luck. (2) Complaining takes away your opportunities Stefan Zweig once mentioned that opportunity will get away at the sight of a complainer. Actually, complainers have one thing in common—they all believe that everything around them should be favorable, and they should live happy lives without too much effort. When their daydreaming encounters true reality, or their efforts turned out to be fruitless, they will start to blame everyone and everything but themselves, and categorize themselves as those most unfortunate people that have been deserted by life. Complaining becomes the tool to avoid reality for these grumblers, who lack of confidence, security, self-respect and self-assertiveness. Grumblers may not notice this fact, and they are likely to leave unreliable impressions on their colleagues and superiors, which consequently will lead to the loss of working opportunities and marginalization. Employees who complain too much are either fired by their company, or leave the company voluntarily due to what they perceive to be an “unbearable working environment”. They believe their talents and energies should bring them the best jobs. However, they are likely

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Sales & Management

to inspect everything at their new jobs with a critical perspective again. This mean they will continue to move on a road of endless job-hopping, without any positive outcomes. (3) Complaining takes away your action ability The essence of complaining is a lack of confidence and refusing to act. When a new task is assigned, Grumbler’s habitual first reaction is usually to complain about the difficulties of the task, thinking it is impossible for anyone to accomplish it. The action ability is eventually lost in the complaint. There are several stages for the loss of action abilities, but they usually start with complaints. Stage One: At the very beginning, complainers are usually working with negative emotions. They could be talented, but those negative emotions will restrict their creativities, and gradually, worsen their performances through to the next stage. Stage Two: As the performances worsen, complainers become tired of their work, following the loss of a sense of responsibility and enthusiasm. This end up with mistakes being made or bad work place performances which will bring criticism from superiors., Naturally, these consequences only provide them with more excuses for their daily moaning. Gradually, the contents

of their complaint become more and more emotional and irrational. They believe their frustrations are simply brought by others, like an uncaring colleague or a blind boss, etc. Stage Three: If such situations are allowed to continue, complainers will find themselves out of a job, or the first to be retrenched. Even if they are lucky enough to stay on the job it is unlikely to change their bad performance because by this stage,

they have become “dr unk” with their complaints. Working passively ever yday and criticizing others, complainers will not only blame their bosses or even the society, but also satirize jealously those colleagues who work hard and have won recognition. 2. Stay away from complaining People only notice that the rich man has a Mercedes Benz, but fewer notice that he also lost all of his hair to gain it. If we really looked closely at all the socalled “lucky” or successful people in the world, you would find that luck has nothing to do with their successes. It becomes obvious that most successful people share the same starting point. It is likely they went through unimaginable hardships in the pursuit of their dreams. In stead of complaining or wasting time in the face of hardships, they devoted their energies in to tackling the problems head-on. To stay away from complaining, we have several suggestions: (1) To know your reality From the start, every employee should take a good look at reality. Working is not supposed to be a vacation. If work was as pleasant and enjoyable as having a holiday, it would not be called “work”, right? People work in exchange for payment, self-confidence, a sense of success, and happiness in life. So we should be prepared to to accept the costs including hard work, as well as some tedium, frustration, and togh times. Bill Gates once said, “Life is not fair; get used to it.” No pay raise or promotion is obtained by complaining, and no problem can be solved by complaining. If one is not satisfied with his or her situation in the work place environment, the only way is to overcome the situation mentally, physically and emotionally by oneself. (2) To retain an optimistic mind-set An optimistic mind-set can help you out of your low point in life. When a problem occurs, do not limit it by what you see and feel now. Rather, you should take a medium and long term view, and usually you will find the problem it not as bad as you supposed it to be. A bottle neck situation of your work is also www.recyclingtimes.com.cn | June 2011

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Sales & Management

an opportunity to excel and to turn a job crisis into a promotion. Successful entrepreneurs who started working as an employee all had to deal with problems during their early years. Their positive reaction to those problems and a sense of responsibility “paved the road” for their success. Te c h n i c a l p r o b l e m s o r d i f f i c u l t i e s a r e o f t e n recognized as an opportunity for innovation, because they stimulate new ideas and creativities. Numerous creations in our histor y were started as a result of solving a problem. To get along with a “difficult” person can, in fact, be an opportunity to win a new friend. People with strong personalities are usually hard to get along with, but once a friendship is established, the relationship usually becomes dependable and steady. The key to getting along well with others is Honesty, especially if you can put yourself in another person’s position. Wise people are never afraid of exposing their own weaknesses for criticism. It is good for corrections and improvements to be made which will eventually bring maturity and perfection. Setbacks and difficulties in your work or life could mean the accumulation of future fortunes, since they are inevitable parts of development and growth. Every cloud has a sliver lining. Change your mind-set about difficulties and you can seize all the opportunities brought by them. However, if you simply complain at the first sight of difficulties, all these opportunities will be gone forever. (3) To take action No one will be lucky forever, and when confronted with unfair situations in life, people can still

June 2011 | www.recyclingtimes.com.cn

overcome the challenges with determination, perseverance, patience and activeness, neglecting temporary gain or loss. Retain your activeness even in the low point of life, and don’t blame any body, any thing, or yourself. Try to do something meaningful or specific to get you out of the unfavorable situation. Activeness is the road which leads to success. (4) Release your pressure in the right way You probably already know there are healthy and unhealthy ways of releasing pressure. Healthy ways include asking help from relatives and friends, getting involved with sports or providing empathy to others. One of the unhealthiest ways of releasing your pressure is complaining. If you are a complainer or you have the potential to be one, you must learn that it is a bad habit that you should overcome. One practical method is to record the number of times you complain every day. Then analyze the reasons and find out which ones were simply emotional and which ones were truly generated by the defects of the management system. For emotional ones, try to reduce them day by day, and for the ones generated by defects, you can look for a solution and suggest them to your superiors. Conclusion There are a number of rules in the workplace, but in brief, “Tears will win no competition”. In the modern society which emphasizes efficiency and results, the success of a person is mainly determined by his or her own control of negative emotions. Indeed, the workplace is not always a place that generates fairness and happiness. It is natural for employees to encounter setbacks and unfair treatments. But should that be licence to start complaining about one’s own weaknesses? Complaining will never make people wiser or stronger, will never change reality, and will never bring the sympathy of others. Please remember, the HR principles of enterprises nowadays encourage e f f i c i e n c y a n d r e s u l t s . We c a n maximize our creativity and potential in our work if only we stay away from the control of complaining.

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Legal Issues

How to combat patent infringement allegations By Helen Duan, INNOPAT Intellectual Property

The issue of patents is one that lingers within the aftermarket printer supplies industry. Recently, a remanufactured cartridge company was accused of patent infringement by one of the OEMs. Through communication and cooperation with Zhuhai Innopat Intellectual Property Co. Ltd., the company analyzed the situation and took measures to defend itself. Finally, the OEM dropped the complaint. Helen Duan from Zhuhai Innopat shares her experience of how aftermarket companies can deal with patent infringement accusations and safeguard their rights. A remanufactured cartridge company in Shenzhen (referred to as ‘the company’) was contacted during a teleconference. A batch of its remanufactured cartridges was supposed to export to The United States. However, one of the OEMs (refer red to as ‘the OEM’) was accusing the company of infringing its patent. Since remanufactured cartridges were the company’s the main product and the United States its largest market, it was very important for the survival of the company to deal with that accusation. This case can be traced back four months to when the company was investigated by customs. The company uses the OEM’s brand name and trade mark for description purposes. However, the OEM filed a complaint to customs, alleging the company was infringing exclusive rights to use the registered trademark. Customs impounded the whole batch of

June 2011 | www.recyclingtimes.com.cn

products for further inspections according to related regulations. The company sent product samples and package samples to Zhuhai Innopat, whose lawyers examined the packaging and the usage of descriptive trade marks and brand names, only to find that the company had already made the proper adjustment for the OEM trade mark on the product. The packaging was also in accordance with what Zhuhai Innopat had advised the company to design and within the customs laws and regulations. Therefore, Zhuhai Innopat sent a lawyer’s letter to the OEM and explained the trade mark usage according to related laws. After the OEM received the lawyer’s letter it dropped the complaint. Customs released the company ’s goods and they were sent to the United States. However, this was not the end of the matter. The case referred to at the beginning of this article came about when the products reached the United States customs. What could be done about about the OEM’s suit? Zhuhai Innopat analyzed the United States’ laws and regulations regarding patent rights, repairing and remanufacturing. An international litigation lawyer took all the cases about remanufactured product issues from Zhuhai Innopat’s database and Zhhuhai Innopat examined the precident. Zhuhai Innopat’s lawyers also visited the company to lear n about its production

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Legal Issues

methods and drew the conclusion that the company didn’t infringe the OEM’s patent on two grounds: First, the OEM’s patent right had been exhausted by first sale in the United States. Second, the remanufactured products concerned should have been categorized as ‘repaired’ rather than ‘remanufactured’. Repairing a patented product is by definition non-infringing, and supported by many previous legal cases in the United States. Zhuhai Innopat also looked into the validity of the OEM’s patent. Lawyers Innopat’s strategic development department discovered that it had analyzed that OEM patent more than three years ago and there was enough evidence to challenge the validity of the patent. If the patent examining office decided to reexamine the patent, the patent would most likely be invalidated and as such, impossible to infringe. On the basis of these reasons, Innopat sent another lawyer ’s letter to the OEM and explained that, according to their findings, the company didn’t infringe the OEM’s patent. It stated that if the OEM determined to sue the company, the company would challenge the OEM’s patent. The result was that the OEM eventually dropped the lawsuit and the company

avoided a potential case and emerged with its rights intact. But let’s assume the company didn’t seek opinion and advice from patent attorney before production or if Innopat did not have evidence to challenge the validation of the OEM’s patent, or if the lawyer didn’t have any experience and knowledge about United States law This case would not have been gone so smoothly. The ending of the case might also have been different. As a rule, the OEMs will not give up on any opportunity to smother a non-OEM company in order to dominate the market. In such cases, the aftermarket has to settle or be forced to give up their share of the market. If they choose to fight back, the aftermarket will also need to spend lots of money and time and the ending might still be in favor of the OEM. In this case, we again witness the complicated situation in the printer supplies industry: On the one hand, the competition is fierce. An aftermarket company has to compete with the OEMs while fighting for market share with its counterparts and counterfeit products. On the other hand, patent and trademark use in remanufactured products occupies something of a gray area. If the aftermarket didn’t study the cases in great detail, it could quite easily stumble into a situation where it was infringing the rights of the OEMs or even f a c i n g c h a rg e s o f u n f a i r competition. Therefore, the af ter market has to safeguard its rights so as to avoid loss and disputes.

Helen Duan Helen Duan is a patent attorney and general manager of INNOPAT Intellectual Property Co., Ltd, which is an officially authorised foreign patent agency in China. In 2005, she was honored as one of the “Excellent IP agent of Guangdong Province.” Ms. Duan has been working as a senior IP advisor for several famous companies and associations including China Yangzi Group Company, ZTE Corporation and Print-Rite Group. Having followed up and studied OEM patents for about 10 years, Ms. Duan has rendered numerous strategic, patentability and non-infringement opinions for successfully designing around OEM’s patents worldwide. With more than 15 years IP practice, Ms. Duan is well experienced in international IP laws and regulations, esp. for the US, Europe and Japan. www.recyclingtimes.com.cn | June 2011

Recycling Times Magazine

Tech Zone

Remanufacturing the Dell 1130 toner cartridge By Mike Josiah and the technical staff at Uninet Imaging First released in December 2009 the Dell 1130 series of printers are based on a 1922ppm engine (depending on the model) with a maximum resolution of 1200 x 1200 dpi. The processor is a 150 MHz chip and comes standard with 8Mb SDRAM. Depending on the model number, other options/specs are available. The Dell 1130 cartridges do not have a drum cover, and come new with a piece of heavy paper with a thin sheet of foam on the inside taped around the cartridge. (See the figure on the right) All new cartridges opened so far have shown some toner leakage on the drum that would have shown on any prints for at least a few pages. These cartridges have taken a dramatic change in that there are no screws in the outside of the cartridge at all. There are plastic rivets that need to be cut off, holes drilled and screws installed to hold them back on. It’s not a hard process and it’s covered completely in the instructions The standard cartridge (Dell#330-9524) is rated for 1,500 pages. The HY cartridge (Dell# 330-9523) is rated for 2,500 pages. As with pretty much all cartridges these days the cartridge has a chip and it has to be replaced each cycle.

The 330-9524 has a list price of $62.99 and the 330-9523 has a list price of $87.99(Pricing as of May 2011). The machines that use these cartridges so far are the: • 1130

• 1133

• 1130n

• 1135n

Cartridge troubleshooting will be listed at the end of these instructions.

Required tools • Toner approved vacuum.

• Needle nose pliers

• A small common screw driver

• Chisel blade Xacto style knife

• A Phillips head screwdriver

• Small drill bit (Make sure it matches the self tapping screws!)

Required supplies • Dell 1130 Toner

• Conductive grease

• New Dell 1130 replacement chip

• 99% Isopropyl alcohol

• New OPC drum (Optional)

• Drum lubricating powder

• New developer roller (Optional)

• Small tube of Silicone caulk

• New PCR (Optional)

• Self tapping screws, match to drill bit you picked listed above.

• New doctor blade (Optional)

www.recyclingtimes.com.cn | June 2011

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Tech Zone

step >

Place the cartridge with the handle up, facing towards you. With the chisel blade knife, slice off the heads of the 3 plastic rivets. Leave the end cap in place for now.

step >

On the left side end cap take the chisel blade knife and slice off the heads of the 4 plastic rivets.

step >

While still on the left end cap, locate the top tab. Press in on the tab, and remove the end cap.

step >

Remove the drum axle arm from the right or large gear side of the cartridge. The drum Axle will most likely come with the arm. Remove it completely.

June 2011 | www.recyclingtimes.com.cn

step >

Remove the gears.

step >

On the right side end cap, Remove the remaining arm and press in on the top tab and remove the end cap. See Figurest

Separate the two halves slightly, and lift off the middle top cover.

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Remove the two screws from the wiper blade, remove the blade.

Clean out all the waste toner from the hopper. Make sure the seals are clean.

step > step >

Remove both the PCR holders by pressing in on the tabs at the bottom of the holder. These holders need to be removed to allow access to the wiper blade.

Blow off or vacuum the PCR cleaning roller. Install in the waste hopper.

step >

Tech Zone

Place a small amount of conductive grease in the holders, and install

the PCR.

step >

Remove the drum.

The large gear side of the drum axle shaft has conductive grease on it. Regardless of if you are replacing the drum or not, clean the old grease off, and replace with new.

step >

Lift up on the drum/waste hopper and remove. Be careful to hold the drum so it does not become damaged. Remove the drum/waste assy.

Remove the PCR from the assembly.

Install the cleaned or new wiper blade and two screws.

Install the two PCR holders. There are slots in the holders that fit over tabs in the cartridge.

On the supply hopper, carefully pry out the fill plug and dump out any remaining toner. The fill plug can be difficult to remove as it is recessed. Take a small common screwdriver and work it around the edge lifting slightly until it comes loose.

step >

Remove the PCR cleaning roller. Clean the PCR with your normal PCR cleaner. WARNING: Do not clean the OEM PCR with alcohol, as this will remove the conductive coating from the roller. If the PCR is an aftermarket, follow the cleaning methods recommended by the manufacturer. If the PCR is an OEM, we recommend it be cleaned with your standard PCR cleaner.

step >

Install the drum and axle from the small gear side of the drum into the waste hopper. Make sure the keyed end of the shaft is on the small gear side.

www.recyclingtimes.com.cn | June 2011

Trade Center “TISHINKA”, T-Modul • Moscow • Russia

Russia is a huge growing printing market:

In 2009 alone, over 6,000,000 compatible cartridges and over 34,000,000 remanufactured cartridges were sold in Russia. OEM companies managed to sell just 9,200,000 cartridges. The potential of Russia’s aftermarket of printing supplies is visible with an unarmed eye.

Is your company among the suppliers of spare parts for remanufactured cartridges or of compatible cartridges? Is your company in search of new markets? Is your company on the watch for opportunities?

Consider Russia - one of the fastest growing printing markets in the world! We can take you there:

RechargRussia Expo 2011 is your pathway to the Russia aftermarket of printing supplies! Special exhibitor’s packages: • special ad discounts in both of the RechargEast and RechargRussia Magazine; • monthly mail distribution to all our Russian database (3,000+ companies): the emails include exhibitors’ profiles and hot offers; • monthly bulletins to all exhibitors full with important information about the Russian Remanufacturing Industry as well as large local buyers of compatible finished ink and toner cartridges.

Contact our representatives for more details.

Mirena Polihronova

| support@rechargeast.com

Toby Tan

| Toby@abcolors.cn

Alisa Andreeva

| assistance@rechargrussia.com

www.rechargrussiaexpo.com

Welcome to RechargRussia Expo 2011, Your Pathway to the Russian Aftermarket of Printing Supplies! RechargRussia and RechargEast Magazines, well-reputed magazines specialized in the aftermarket of printing supplies in Russia and Eastern Europe, are happy to invite your company to take part in the VIIIth edition of RechargRussia Expo 2011, which will take place in Moscow, Russia, on May 18, 19, 20, 2011. The RechargRussia Expos are traditionally organized in Moscow, which hosts this exceptional and unique event for the printing industry every year. The exhibition attracts thousands of specialists from the aftermarket of imaging and printing supplies. Owner, managers, technical specialists and salesmen from Russia and CIS countries are the main visitors of the exhibition. RechargRussia Expo is the only professional event in the field of printing supplies organized in the Russian capital. Leading manufacturers and distributors of toner, inks, OPC drums, parts, remanufactured and compatibles cartridges all gather in Moscow each year to show their best products to the Russian aftermarket companies. Local distributors, resellers, rechargers come to the exhibition to get to know local and international exhibitors, get updates on market trends, start new and reinforce existing relationships and partnerships. Our experience in organizing 7 consecutive specialized exhibitions in Russia is extremely valuable and can be used by your company to its utmost profit.

Feedback from the 2010 exhibitors: Steven Yao, APEX, China: “The 2010 expo exceeded our expectations. We will surely take part in the show in 2011 and will probably choose to have a bigger booth to display all our products”. Angela Shekyls, SPEED INFOTECH

Be in Moscow on May 18 and 19, 2011, when you will have the opportunity to attend the presentations of the 20 biggest buyers of compatible and remanufactured cartridges in Russia and CIS! With the total annual purchasing power of over $250 million, these companies are the leaders in the market. Don’t miss the chance to meet them personally as they are always open to new mutually beneficial partnerships. Russian companies buy remanufactured and compatible cartridges for over $586 million* per year. (*Source: Business-Inform, Russia) Market share (%)

Holdings, Ltd., Russia/China: “The 2010 exhibition was good to our company. We met many visitors from the last year’s show. Although we didn’t get too many

Genuine supplies Compatible supplies Refills

new customers from the 2009 show, but in 2010 the prospects are looking good. This

Russia Market of Printing Supplies in 2004-2009

year there have been much fewer end users, but the number of distributors has grown. In addition, we’ve had many visitors from the far regions of Russia. We are definitely Year

interested very much in participating in the expo in 2011.” Ozlem Eris, IPM, Turkey: “In 2009 we established fruitful cooperation with

Qty, million units Qty, original cartridges Qty, non-original cartridges Qty, refills

Russia Market of Laser Printing in under 45 ppm Segment

some Russian companies. In 2010 we are expecting to make our position even stronger in this market. All this happened with the help of RechargRussia Expos. We are glad that we participated in RechargRussia Expo 2010 and we have already reserved our booth for 2011.”

Year

www.rechargrussiaexpo.com

Recycling Times Magazine

Tech Zone

Remove the 2 screws from the doctor blade, remove the blade. step >

Remove the developer roller.

step >

Clean the developer roller with a dedicated DVR cleaner, and replace into the hopper. Place the long shaft side to the gear side of the cartridge.

Fill the hopper with ML-2525 toner, replace the fill plug and check for leaks.

step >

step > step >

Install the gears as shown. Do not install the large white floating gear

Fit both sides of the waste hopper tabs into the toner hopper.

step >

Clean out all the remaining toner from the hopper. Make sure the doctor blade sealing foam and the developer rollers seals are clean and intact.

step >

Install the doctor blade and two screws.

June 2011 | www.recyclingtimes.com.cn

yet.

Slide the middle top cover/PCR assembly into place. Make sure all the middle tabs fit under the edge of the waste hopper.

step >

Clean the Dr. Blade edge so there is no evidence of build up along the edge. If any buildup exists, the cartridge will streak. No chemicals should be used. We have found using a clean ice cream type wooden stick works great for scraping the blade clean without damaging it.

Recycling Times Magazine

Install the large white floating gear on the gear side of the cartridge.

step >

Clean the contacts on the left side end cap, and replace the conductive grease. Snap the end cap into place.

step >

Tech Zone

Drill 3 small holes that correspond to the screw size youâ&#x20AC;&#x2122;re using. Install the three screws into the end cap. See Figures

step >

Drill 4 small holes that correspond to the screw size your using. Install the four screws into the end cap.

Clean the hubs on the gear side end cap, and replace the conductive grease. Snap the end cap into place.

step >

Install the two drum axle arms as shown.

www.recyclingtimes.com.cn | June 2011

Recycling Times Magazine

Tech Zone

Install the new chip and cover, insert a small screw that corresponds to the hole drilled to hold everything in place. Itâ&#x20AC;&#x2122;s very easy when drilling the hole for this screw to drill through into the waste chamber. Place a small amount of silicone caulk in the hole and screw before install the screw.

step > step >

To replace the chip, slice the top of the plastic river off with the chisel blade knife. Drill out the plastic rivet with a small drill, remove the cover, and chip.

Common cartridge problems Repetitive defect chart

Upper heat roller OPC drum Lower pressure roller Supply roller Transfer roller PCR Developer roller

77.5mm 75.6mm 75.4mm 49.0mm 47.0mm 37.5mm 35.0mm

Printing test pages Configuration Page

With the printer in the Ready State, Press and hold the cancel button for about 5 seconds until the status LED blinks fast. Release the button. Cleaning Page

With the printer in the Ready State, Press and hold the cancel button for about 10 seconds until the status LED blinks fast. Release the button. Mike Josiah Mike Josiah is the East Coast Technical Director at Uninet Imaging. A global distributor of toner, OPC drums, wiper blades and other supplies. An industry veteran since 1987, Mike is a member of ASTM committee F.05, the STMC Technician Certification Committee as well as an STMC trainer. He regularly contributes articles and teaches seminars at association meetings and trade shows.

June 2011 | www.recyclingtimes.com.cn