Recycling Times Magazine
RecyclingTimes The magazine by the industry, for the industry.
Publisher & Managing Director Tony Lee Directors David Gibbons Sabrina Lo Senior Consulting Editor Art Diamond Editorial Team Doris Huang Doris.Huang@iRecyclingTimes.com Ivana Lai, Jane Yu, Keon Huang, Wendy Lee Graphic Designers Miracle Wei, Kevin Deng Sales Team Anna Liang Anna.Liang@iRecyclingTimes.com Kevin Zhu, Sally He, Tobee Deng Marketing Team Jessica Yin Jessica.Yin@iRecyclingTimes.com Tracy Zhang Operations Team Charles Lee Charles.Lee@iRecyclingTimes.com Betty Lee, Joy He, Sunny Zhang Regional Offices 6B Xinhai Commercial Building, 104 Yuanlin Road, Jida, Zhuhai 519000, China Tel: +86 (0)756 3220716 / 3919266 Fax: +86 (0)756 3220717 24 Ardley Ave Kellyville, NSW, Australia 530 West Ojai Ave., Suite 108 Ojai, CA 93023-2471, USA Email: info@iRecyclingTimes.com Website: www.iRecyclingTimes.com
Front Cover John Shane: InfoTrends
Columnists
RecyclingTimes
David Gibbons Art Diamond Steve Weedon Charles Brewer
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January 2013
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Mike Josiah
Tony Lee
editorial
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I believe the economic turbulence we witnessed in 2012, will be remembered by many. So let’s look forward. Let's look at the trends in economic development we might face in 2013. The trends will differ from region to region. Among the G7 nations—Britain, Canada, France, Germany, Italy, Japan and the United States—we can expect slow growth, while the European Zone is likely to slip further into recession. At the same time in emerging markets, namely Russia and the Asia Pacific nations(APEJ), growth will be relatively robust. After experiencing an overall decline in 2012, the hardware market is unlikely to pick up in 2013. The best outcome would be for the downward trend to cease, and growth to remain flat. Inkjet, despite becoming "middle aged," could still be an important technology with respect to sustaining market share. Monochrome printing could still account for a reasonable percentage of market shares due to its low price. Color printers will become increasingly popular in 2013 and I expect their prices will decline about 10%, while the share of color printers sold will increase by 5% year-over-year compared with 2012. The managed print services (MPS) market could be another rising star as more OEMs, such as Xerox, heavily promote this cost-saving service to consumers. Also, customer cost control, driven by the weakened economy, would guarantee the success of MPS. Some emerging OEMs, such as, Memjet, Pantum, Aetas and Sindoh, will further attract attention if they continue to make new moves in the marketplace. Digital printing presses, which embrace the technology of traditional presses and desktop printers, hold huge market potential. I'm still optimistic about expansion in the printer consumables aftermarket. A better than 20% growth rate in the past few years is not likely to continue, but the overall market condition is not as bad as some might imagine. What’s hindering this market's development is deteriorating price competition caused by little product differentiation and the OEM's effective MPS strategy to capture and hold market share. But, what promotes its development is that consumer cost awareness has strengthened because of the economic downturn. Today, consumers tend to choose high quality, yet low price aftermarket supplies. I have always said that the customer's choice defines the market. I'm optimistic about growth in our industry because the rise in e-commerce will flatten distribution channels and accelerate product sales mobility. Furthermore, increasing company acquisitions in 2013 will make the industry increasingly standardized. In regional markets, America will shun brand new imported cartridges (clones) that have no intellectual property rights and are illegal under a General Exclusion Order. European markets will be severely impacted in the event of a price war. The Japanese market will become increasingly important and the BRIC—Brazil, Russia, India and China—markets will be the most promising. Let’s hope 2013 is a better year.
Tony Lee Publisher & Managing Director
All rights reserved. © 2013 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
Directory of Smart Chip Manufacturers This Directory represents the best information regarding those non-OEM producers offering smart chips for toner and ink jet cartridges to aftermarket dealers, distributors and remanufacturers.
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Just a Minute
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Hubei Dinglong: Innovator, Inventor, Initiator
Looking for New Opportunities
Money From Home
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Many companies are copycats, simply imitating what others do in managing their businesses. But this survival plan does not make a strong or successful company. Let’s find out what makes Dinglong different from others.
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Continuous Ink Supply Systems (CISS) Move Downscale
It’s All about the Economy Actionable Intelligence’s Charles Brewer joins Recycling Times as regular columnist for Actionable Insights. Let’s read his kickoff story predicting the upcoming 2013!
Keeping Up
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Products Don’t Sell Themselves 47
Industry Updates
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Print-Rite’s Arnald Ho Trumpets a New Direction Reportstack Study Finds Great Opportunity in MPS
Features
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Print-Rite Partners with PartsNow
Directory
Recycling Times Media Relocates Head Office
12 Organisers Set 2013 Dates for World’s Largest Consumables Event
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Dispersions Plans Financial Future 13 Diamond Ninestar Inkjet Cartridge Awarded U.S. Patent Lexmark Settles with Number 35
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Product Release
HP Announces 5% Decline in 2012 Printer Revenue
43 BLI Names Canon World Leader in Imaging Solutions Lexmark Shows Promise after Exiting Inkjet Offers Resellers New Ways to Expand 44 Xerox IDC Reports 5.0% Drop Worldwide in Wide Format Printer Sales for 3Q2012
Aftermarket Supplies from CET
17 G&G Rolls out Cartridges for Pantum Printers Clover Portugal Releases Color Toners for Samsung Printers
Hubei Dinglong: Innovator, Inventor, Initiator
OEM News
Printchip MD, Peter White Dies in Accident
Service: 18 Thousand Trees Planted 15 Eco OCP Launches a New Website
Smart Chip Manufacturers
Profiles
14 Discover Imaging Appoints More Distributors Leading Color Toner Manufacturer Acquires 20% Mito Share
Road Map 2013: What’s Around the Next Corner?
Some Samsung Printers Vulnerable to Hackers Blocks Import of Inks from South Korea 45 Xerox Canon Dumps Océ Brand
InkCycle Launches HP Color & Jumbo Carts Releases Carts for Most HP Printers 18 MSE Pointrole Releases Toner for Lexmark Printers Katun Releases Toner for Sharp Printers
Actionable Insights
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APEX Offers Samsung 101 Series Solution
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Static Control Releases 24 ZeroTwist™ OPC Drums Print-Rite Launches New Chips
It’s All about the Economy
Tech Zone
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Remanufacturing the Samsung ML-3712 Toner Cartridge
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Recycling Times Magazine
Just a Minute David Gibbons
Looking for New Opportunities Visiting Print-Rite’s new Artify Gallery in Hong Kong a few weeks ago, reinforced my belief in the need to keep in front of the game. Whether it is politics, culture, sport, or your own business, keeping up is essential to staying ahead of your peers and competitors. Just a week earlier, I talked with Diamond Dispersions’ Peter Callahan and Sue Wright. All three of us happened to be visiting Shanghai. They too, continue to grow, but have had to look for new markets in order to do so. Neither company has walked away from their traditional “bread and butter” cartridge remanufacturing base. The office and home print consumables market is here to stay. China-based Print-Rite and England-based Diamond Dispersions are both quick to tell me this.
But if your business seeks to grow, then you have to diversify, either by seeking new markets, or by developing new products. A year ago, remanufacturing giant Ninestar decided to move into another market. In their case they integrated vertically into printer hardware, products obviously related to printing consumables, but nonetheless, a new market. By expanding their printer base, they believe they will also grow their volume of consumable sales. Print-Rite continues to profit from the manufacture of printer ribbons, the very product they started with 30 years ago! But they have continued to seek out new markets and today produce specialty inks which can be used by interior designers, architects and yes, artists! They
are supporting artists, individually (see www. artifygallery.com ). Diamond Dispersions continues to grow their business by 40% every year, and are now working with the wide format textile and UVcurable ink markets. What about your business? Are you selling much the same products you did when you first started? Of course, the products you offered 20+ years ago are your core business. But are they enough to grow your company? Are you following developments in CISS? MPS? Scented inks? Edible inks? PhotoBooks? Print-Rite’s Arnald Ho, Ninetstar’s Jackson Wang and Diamond Dispersion’s Peter Callahan and Sue Wright are convinced the traditional office and home print consumables markets are diminishing. But their revenues continue to grow because they are alert to new opportunities. What about yours?
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Recycling Times Magazine
Money From Home Art Diamond
Continuous Ink Supply Systems (CISS) Move Downscale As specialty ink jet inks grow in volume and variety, continuous ink supply systems (CISS) are becoming more popular and more prevalent. CISS devices have been given a variety of names, including: bulk ink, bulk feed and continuous flow systems. What began in the early 1990s as a solution to feeding and replenishing wideformat printers and plotters, has since worked its way downscale to printers designed for A4 and A3 applications. Today, use of CISS feeding systems has expanded exponentially for desktop ink jet printers dedicated to specialized print applications. Its major advantages include: • Lowers ink cost especially for high volume users • Refills ink reservoir while printing is in progress • Enables switching from standard to specialty inks • Requires fewer interventions to replenish ink supply Early models had a series of ink tanks (cyan, magenta, yellow, black, etc.) connected by fine bore plastic tubes to the scanning printhead. Some of these arrangements were either unsightly, blocked the path of the carriage carrying the printhead, or both. Newer CISS equipment is designed to plug directly into the printer thereby eliminating the long, flexible, ink feeding tubes. Will they impact the desktop market? “Absolutely.” claims Charles L. Sharp, President of Digital Image Technology (San Diego, CA), a world-renowned expert and consultant on digital printing systems. “These expanded systems have not caught on for typical, short run SOHO uses and document printing,” Sharp points out. “Nor will they for the normal uses of small desktop inkjets. However, they remain extremely important for commercial print shops and for specialty applications.”
In the early days, CISS feeding systems were a way of getting around OEM inks to enable use of either cheaper, or in most cases, better inks. OEM inks have improved significantly since then, so the impetus to use them today has shifted to productivity, cost and alternative application drivers for commercial print jobs. Many of the newer markets for desktop inkjet include promotional products such as, advertising specialties, textile and garment printing, food items, posters, graphics markets and digital art reproduction. Some of the common uses include T-shirt printing, fabric samples and strike-offs for uses such as, quilting and dye sublimation transfer printing for everything from coffee mugs, mouse pads and trophies to decorated ceramic tiles. MICR (magnetic ink character recognition) transactional printing is also a growth market. We even have businesses based upon dye sublimation printing onto metals for weddings, graduations, award plaques, special events, etc. Ink jet allows mass customization for gifts and advertising that were not economically feasible earlier. But the production of these items is driven both by cost and fast turnaround time. A bulk ink system is often key to making these products profitable. Sharp claims, “The edible food, digital printing market uses both cartridges and bulk systems. Food items include fruits, cakes, cookies, candies and other novelties. The inks for these applications are very special and need to be FDA certified. Small volume users stay with the sealed cartridge to preserve the certification, while larger volume producers use food grade bulk ink systems in a near, clean room environment.” The desktop, digital,
fine art market is almost exclusively on CISS bulk ink systems. Specialty fine art inks are often only available in bottles as they are mostly manufactured for wide format printers that require CISS systems. The artist who is printing on a desktop printer—either as a self-publisher or simply for proofing—may prefer only the very best and most fade-resistant inks, usually, the same products used by commercial, digital fine art printers. While the OEMs have improved their inks and some of them are acceptable for fine art printing for some artists, the specialty colored inks are still preferred by a majority of artists. In many cases, not only do the CISS systems lower the producer’s costs, but they keep production running without having to change cartridges. Many of the CISS systems also enable the operators to visually see how much ink is left in the system. This allows better planning and productivity. For some applications, printer operators run the systems unattended in the evening hours, especially if the operator is managing a fleet of printers. Before the operator leaves the machine, he or she is able to fill the CISS system and knows that it will not run out of ink while they are away. “Selling specialty inks to CISS end users could be the next great opportunity for rechargers to expand their markets and diversify their businesses without running afoul of OEM patents,” Sharp declared.
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Keeping Up Steve Weedon
Products Don’t Sell Themselves Does the future of the imaging industry make you nervous? Or are you absolutely sure your sales plan for 2013 simply cannot fail? If you are nervous, then let me assure you: you are not alone. And if you are banking on the sales plan, well, good luck, I hope the plan really works. It's the time of the year to look ahead and make projections, against which, you will measure your success. Actually, I have never seen a sales plan stay on course month after month throughout the year and be within a few percent of a predicted and calculated target set many months before. If targets are set too low then of course we are only fooling ourselves and we may blow them out of the water, but it just means it wasn’t a very good plan to start with. The annual sales plan should be the best educated and reasoned guess at what our revenue and unit targets for the year should be, using all the knowledge and data we have at the time of doing the planning. The annual sales plan is important because it is the only way to raise the company revenue. So every product and every way to raise the company revenue should be included in the plan. FACTS and ASSUMPTIONS are what we use to make the plan. As a sales manager you know your past sales history by month, these are the FACTS, and you can immediately see you did not sell exactly the same amount each month for the last 12 months. So it’s no use calculating an annual target and dividing by 12 for monthly targets. Seasonality, national holidays, religious festivals, carnivals, can all affect your business each month and you need to plan for it. Calendarization is a term I have used for many years to seasonally adjust each month
based on facts. It is simple to do, by taking your entire revenue figure for last 12 months and dividing by 12. This number now gives you an average monthly sales value figure and becomes a 1: of a month. You probably never had an exact month of 1: in the past 12 months, but you can take the number and divide your actual sales number into it. This gives you a less than 1: ratio or above 1: ratio per month. For example, sales for last 12 months were $18,986,000.
Average sales per month were $1,582,166. This equates to a 1: of a month. In August sales were only $1,118,000. This equates to 0.75: of a month. (This is typical of Europe in August when many factories, schools and universities close and people take their vacations.) Or, October sales were $1,876,000 so it was a 1.185 of a month. Do this for the whole year. Total each monthly ratio, they should add up to 12 for the year. Now you have calanderized the year, look to the number of working days per month
compared to last year. Each day can represent 5% of sales for the month, so adjust your expected sales target accordingly. Overtime you will build a model that is very accurate for calanderizing your plan, all based on factual information. Now for the Assumptions. Trees grow to the sky but do not presume they always will. Each product has a life cycle, from embryonic to mature to eroding. Figure out where your products are in the cycle. If sales volumes are eroding on an old product assume that it will continue to erode throughout the year. If new product introductions are planned expect a ramp up to a mature market and project the unit sales. Plan launch dates, but be flexible as launch dates often slip. Build the plan as carefully as you can: product-by-product, month-by-month, and region-by-region. Assume you can keep your current customers and focus on making sure you do. Assume you sales people are hungry for success this year and focus on them to make sure they are. Setting a pessimistic plan is not a bad thing, it allows the accountants to figure worse case scenarios, but in sales we are by nature optimistic, sometimes overly optimistic. But we should set ourselves tough but doable sales targets. I like setting BHAG’s, BIG HAIRY AUDACIOUS GOALS, then targeting what needs to be done to generate big business that is over and above the annual plan. Drilling down into the detail every day with every salesman is what pushes the big ideas forward. Make something happen every day that pushes you closer to your goals. Products don’t sell themselves, but don’t expect anyone who engineers the product to agree. Like anything else in life it takes skill, hard work, determination and a plan. Stick to it and I hope 2013 is your year. www.iRecyclingTimes.com
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Recycling Times Magazine
Industry Updates
Print-Rite’s Arnald Ho Trumpets a New Direction Arnald Ho, Chairman of Print-Rite told 150 invited guests at the opening of the Artify Gallery in Hong Kong, that the company he started 30 years ago, must change and go in a new direction. That direction involves the manufacture of highly specialized inks for various niche markets. Print-Rite is now producing aftermarket inks for digital printing needs such as, photo albums, phone cases, fabrics and textiles, wood, and ceramics. “Conventional printing is for the masses, but digital printing can provide just one or a few copies,” Ho said. “This is where growth is taking place.” Eastman Kodak was one of the many companies who sent scores of congratulatory flower blooms to the opening of Print-
Rite’s Artify Gallery in Hong Kong. Displays of aftermarket inks used on fabrics, wood, plastics and ceramics were also on display. Malaysian-born artist Eiffel Chong’s solo exhibition featuring images from abandoned dwellings and work places, plugged into many emotions of the visitors at the opening. The gallery will continue to exhibit the work of Eiffel Chong until January. It plans to change the exhibit to feature other artists every six weeks. All prints were produced using Print-Rite’s aftermarket inks. But Print-Rite is not only developing inks and canvas, it is investing in art and creativity as well. Arnald Ho explained, “I want to build a platform which will attract interior designers, architects and the like, and to make products they need to deliver exciting solutions for their clients.”He said Print-Rite is not abandoning consumers of ribbons, ink and toner. This is Print-Rite’s core business. “But you cannot ignore the potential in other markets,” Ho added. Please go to artifygallery.com for more information.
Reportstack Study Finds Great Opportunity in MPS According to a report from Reportstack, global Managed Print Services will grow at a CAGR of 20.62% between 2011 and 2015. One of the key factors is significant cost reduction. Cloud and mobile printing are the most popular new features added to the service. However, the report also warns of a growing challenge from security issues. The report is based on an in-depth analysis of the market with inputs from industry experts. The study covers the Americas, the
EMEA (Europe, Middle East and Africa) and APAC (Asia Pacific) regions; it also analyzes the Global MPS market landscape and its growth prospects in the coming years.
Print-Rite Partners with PartsNow With a focus on further expansion of their imaging supplies product line, Parts Now has partnered with Print-Rite North America for the distribution of Print-Rite aftermarket laser toner cartridges. As the industry’s largest distributor of printer parts, Parts Now has made aggressive strides in expanding their product and service portfolio. “After careful profiling of leading industry manufacturers and rigorous product testing, we have identified Print-Rite as a high quality, costeffective complement to our remanufactured laser toner portfolio,” stated Bob Hovey, Director of Product Management at Parts Now. “We researched manufacturers with two primary factors in mind: proven quality and intellectual property. Print-Rite scored high in both categories.” “We see Parts Now as an industry visionary, focusing on supporting their resellers with progressive products and services that will allow for profit increase within their supplies and hardware programs,” stated Ian Elliott, President of Print-Rite North America. “Supplies continue to be the single biggest cost in a reseller’s MPS or hardware and supplies program offering”, said Hovey. “With this latest supplies line expansion, we now provide resellers the freedom to pick and choose SKUs that will help them increase their overall program profitability and that’s the bottom line for us at Parts Now, literally.” A robust line of Print-Rite remanufactured monochrome laser toner SKUs are now available through Parts Now, with online ordering, order tracking, desktop and next day delivery across the United States. www.iRecyclingTimes.com
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Recycling Times Magazine
Industry Updates
Organisers Set 2013 Dates for World’s Largest Consumables Event
Recycling Times Media Relocates Head Office Recycling Times Media, a world leader serving the multi-billion dollar printing consumables industr y, has moved its head office to accommodate growth in staff and its digital and broadcast needs. The head office is now located at 6B Xinhai Commercial Building, 104 Yuanlin Road, Jida, in Zhuhai, Guangdong Province, China. The new office based in the core business district of Jida, is equipped with advanced technologies and is convenient to bus, ferry and air transportation. Recycling Times says the move sets a great foundation for its future development. David G Gibbons, Director of Recycling Times says: “The move to new premises not only takes Recycling Times Media to a new operational level; it provides them with a world class facility including a professional TV studio, professional meeting rooms with digital connectivity and a happier work environment.” “The new office, will help the company embrace a new beginning, and provide a new environment to further improve its management and operations, so as to provide an even better service to our customers,” added Tony Lee, Publisher & Managing Director of Recycling Times. The company has changed its Fax number to +86-(0)756-3959-299, but all other phone numbers remain the same.
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Organizers have announced the 7th annual event to be held again in Zhuhai, China on 1619 October 2012. HIGHLIGHTS: • 16-19 October 2013 at the Airshow Center in Zhuhai, China • 4 day event: • 1 day conference • 3 day expo • RemaxAsia Expo —the world’s largest computer printing industry trade event since 2010; • The digital print show, iPrint (China) Expo 2013, will run, at the same time and at the same venue; • One thousand hotel room nights have been booked by RemaxAsia organizers, to be offered free of charge to international visitors who have never attended before. Following visitor and exhibitor acclaim over the 2012 RemaxAsia Expo—the world’s largest trade show for the computer printing industry—organizers have announced the 7th annual event to be held again in Zhuhai, China on 16-19 October 2012. The conference will be held on the first day October 16th, and the trade show will follow over the next 3 days. Despite the imaging industr y facing tough times with the poor global economy, RemaxAsia 2012—the annual international trade show for the computer printing industry—broke many records. There were
425 exhibits covering 30,000 square meters. There was a larger presence by HP, Xerox, Lexmark, Canon and other original printer manufacturers, with some speaking during the conference sessions to visitors. The Zhuhai event attracted more than 9,035 visitors from 75 countries around the globe at the massive Zhuhai Airshow Centre. The one-day Conference@2012 attracted 192 delegates, including representatives from the major original equipment makers (OEMs). It succeeded in giving voice to concerns of interest to both sides of the replacement cartridge industry. The 2013 RemaxAsia Expo is scheduled to run at the same time as other important shows such as the China Sourcing Fair, the Hong Kong Electronic Fair, and the Canton Fair, saving international buyers time and costs while visiting several show close together. Organisers already expect there will be 400 exhibitors and 10,000 visitors attending the RemaxAsia Expo 2013, requiring the exhibition floor space to increase to 30,000 sqm. At the same time iPrint (China) Expo 2013 will be held at the Zhuhai Airshow center attracting even more visitors. One thousand hotel room nights have been booked by the organizers who will offer these free of charge to international visitors who have never attended RemaxAsia Expo before. A global promotion of the 2013 event through trade associations, industry media and websites, and 10 industry trade shows globally will see awareness of the event increase further. Anna Liang, sales manager of Recycling Times Media Corporation, commented: “The sale of booths for 2013 RemaxAsia Expo is already very popular. Almost all exhibitors in 2012 will attend the 2013 show again. They are very keen to contact us and book their space.”
Recycling Times Magazine
Industry Updates
Diamond Dispersions Plans Financial Future Global ink specialist, Diamond Dispersions, is working with freelance Finance Director, Craig Jones, to assist with financial planning as the company grows and explores new markets. Craig, an experienced financial planner who supports a number of regional and national companies, will be focusing on streamlining Diamond’s accounting system and securing the financial future of the business. As Craig put it, “Diamond Dispersions is really going places and it is vital at this stage in their growth that they keep their feet on the ground financially.” Craig will be working with the directors
and internal purchase ledger Sue Blakeman to help manage the financial issues that inevitably arise as businesses expand. These issues include cash flow, precise bookkeeping and ensuring the company can produce meaningful management accounts for the board. Concludes Peter Callahan, Managing Director of Diamond Dispersions, "Craig Jones is a real whizz with numbers. As orders increase and we continue to explore new projects, we need Craig to provide detailed financial support and advice which will enable us to further invest in the future of our company".
Ninestar Inkjet Cartridge Awarded U.S. Patent
A novel inkjet cartridge, designed and developed by Ninestar, was granted U.S. patent number 8,303,097 by the United States Patent and Trademark office. The inventor is Baoquan Chen, one of Ninestar’s key engineers. The patent teaches an ink cartridge for an inkjet printer that solves the technical problem of ink level detection. Existing level detection mechanisms in conventional ink cartridges are complex and low in reliability. Information from Ninestar reveals the key technology of the patent to be a novel
mechanism comprised of a lever component and a force transmission component. Beside use of a simple mechanism, the novel unit is more reliable in performance. Ninestar also announced that this invention has been extended to other kinds of inkjet cartridges. With a huge investment in R&D and persistent, patentable innovation, Ninestar has been awarded more than 800 patents In the future, Ninestar will keep its innovation focused on printing technology and contribute more to the industry.
Lexmark Settles with Number 35 Lexmark has settled with another company regarding the empty cartridge patent infringing lawsuit and extends its deadline for those remaining defendants. According to Actionable Intelligence, Business Express of Wilmington, NC, became the latest firm to settle with Lexmark, bringing the grand total up to 35 companies. When we last reported in October, 2012, 34 firms had settled with the OEM and admitted the Lexmark empties they used for remanufacturing were sourced from outside the United States. This constitutes patent infringement under the “First Sale” doctrine of U.S. patent law. Lexmark extended its deadline to November 28th, aiming for a sweep in the lawsuit. Although it was the most recent deadline for Lexmark to take further action against those defendants who had not yet responded, no action was taken. Now Lexmark has pushed the deadline further to February 4, 2013. A report from Action-Intelligence shows slow development during this period as only one new defendant has been named over the past two months. IJSS, a reseller doing business as TonerZone. com and Ink Jet Superstore is the only company that has challenged Lexmark’s allegations, stating the OEM can’t prove IJSS is making products that infringe Lexmark patents. Can IJSS escape from Lexmark’s legal hunt? Will more companies consent to the OEM? Stay tuned here on Recycling Times for the latest update. www.iRecyclingTimes.com
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Recycling Times Magazine
Industry Updates
Printchip MD, Peter White Dies in Accident
Discover Imaging Appoints More Distributors Newly founded cartridge parts supplier, Discover Imaging, has found distributors to better serve local customers, worldwide. DTM, a highly respected and quality assured OPC manufacturer is now an exclusive distributor for Discover Imaging in Malaysia and surrounding areas. Discover Imaging has also appointed Q2, a well-known aftermarket copier supplier, to distribute its cartridge parts products in North America. Steve Weedon, CEO of Discover Imaging Products, says the appointments are based on the mutual understanding no "EMPIRE COSTS” (unnecessary overheads) will be charged to customers. The company wants to provide its customers with an affordably priced service while retaining high quality. "Our new partners in Malaysia and North America understand the need to change the supply chain to enable lower prices for our customers without sacrificing quality,” says Weedon, “And that is what we will deliver. We want our customers to be even more successful in the future. If our customers prosper we will prosper." For more information contact Discover Imaging Products Ltd: sales@discoverimaging.com.
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Printchip’s Managing Director Peter White was accidently killed while allegedly helping a neighbor. Family and staff are shocked, as indeed is the aftermarket consumables industry. Printchip released a statement on November 27 saying, “It is with deep regret that we write to tell you of the accidental death yesterday of our Managing Director Peter White. We will send further details in due course. However,
the Printchip management team will handle your business in the normal way and ask you to please stay in touch with your usual contacts.” Printchip told Recycling Times Media they hope to continue providing support for their microchip products used in cartridge remanufacturing. Recycling Times Media extends its condolences to Peter’s family and his staff at Printchip.
Leading Color Toner Manufacturer Acquires 20% Mito Share The Chinese-based company, Hubei Dinglong, a leading manufacturer of charge control agents and chemical color toner, has purchased a 20% stake of Mito Color Imaging shares, for 37.4 million RMB (US$5.98 million). Mito Color Imaging is considered to be one of the pioneers in China’s printer consumables industry, specializing in universal color toner cartridges nationally and globally. Dinglong says the move will combine key resources in the digital imaging industry, enhancing their joint overall competitiveness and substantial development in the industry. As part of the agreement, Mito needs to guarantee its profits will reach more than 32 million RMB, 38.4 million RMB and 46.08 million RMB in 2012, 2013 and 2014 respectively. Mito will receive additional investment from Dinglong if the profit goals are achieved, but may have to pay damages to Dinglong, if it fails. Mary Ouyang, General Manager from Mito told Recycling Times, “The chemical color toner market has long been monopolized by Japanese, European and American companies. Although Zhuhai enjoys high reputation worldwide in the area of print consumables manufacture, it’s short of access to high-
Mary Ouyang, General Manager of Mito
tech raw material from the higher end supply chain.” She said it was important for Mito to establish a cooperative relationship with companies like Dinglong which possess advanced technologies and a promising future. “This will help propel our company’s ongoing development, the industry, and China’s competitiveness in color print consumables.” she added. “I expect to see a global increase in the market share.” Ouyang says Mito will continue to cooperate with others in the industry, exchange technological knowhow in order to achieve mutual growth. She thanked customers and business partners for their support, but stressed, “Our management teams and operations remains the same.” Industry analysts are saying an investment of this magnitude is a good omen for the future of the print consumables industry, in what has been a gloomy year for both the OEMs and the aftermarket.
Recycling Times Magazine
Industry Updates
Eco Service: 18 Thousand Trees Planted Eco Service, a leading European empty collector, has planted18 thousand trees planted in Polish forests through the "Return Your Cartridge, Help Pant Trees" campaign. The program initiated by Eco Service intends to educate users and encouraging them to properly recycle electrowaste. The company believes recycling them makes it possible to reduce the amount of waste as well as save raw materials and the energy necessary to produce new goods. Eco Service collects about 5 million empty cartridges annually. It offers immediate access to almost 1000 different cartridges of all of the most important equipment producers, which it is collecting from a few thousand suppliers. The company guarantees a wide choice of inkjet models from captains of industry such as HP, Lexmark, Samsung, Minolta, Xerox and Dell. It’s said 80% of their product range comes from Europe.
“We are actively seeking new partners all the time. For them, the biggest advantage of co-operation with Eco Service is our immense flexibility. Every client is treated individually and together with them we work out the terms of co-operation that are most favorable for both parties.”says Marcin Adamski, Eco Service CEO. Correction: Recycling Times Magazine wishes to advise readers of mistakes published in the article "Black Point Group Acquires SCOT" (Issue 32, page 12): 1) Black Point Group LCC is a company based in Poland, UE. 2) NewConnect is a share market run by the Warsaw Stock Exchange, conducted outside the regulated market as an alternative trading system.
OCP Launches a New Website O C P, a l e a d i n g G e r m a n - b a s e d i n k manufacturer, announced the launch of a new company website with enhanced functionality and new design. Dirk Hünselar, OCP’s Sales Manager, said: “The new website offers a modern look and advanced user experience. It features enhanced resources and functionality designed exclusively for the needs of the remanufacturing industry.” Innovative functions include an upgraded “OCP Worldwide” section—designed to offer valuable information about OCP partners around the globe in just three clicks. The enhanced “Product” section provides all information about printers, cartridges and the corresponding OCP inks. An expanded “Support” section offers, among other features, a comprehensive glossary of all terms related to inkjet, printing and color. You can see the new website at: www.ocp.de.
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Product Release
Aftermarket Supplies from CET CET, a Chinese remanufacturer, has introduced its new product line of printer consumables, incorporating patented designs and delivering excellent performance. The remanufactured cartridges are designed for Canon, Minolta and Hewlett-Packard printers. The Minolta printers are Bizhub C220/280/ and 360 models. The remanufactured Canon cartridges are designed to be user friendly with efficient toner transfer. The CET reman cartridges are
compatible with Canon IR2230/2270/2830/28 70/3025/3030/3225/3230/3035/3045/3235/32 45/ 3530/3570/ and 4570 model printers. CET claims users can save time and money by its unique compatible design. Upper sleeved fusing rollers with new technology were also introduced for HP LaserJet 9000/9040/and 9050 printers. CET declares that although the reman products differ from OEM consumables, they perform equally well.
G&G Rolls out Cartridges for Pantum Printers Leading cartridge remanufacturer G&G Ninestar introduced compatible black toner cartridges for Ninestar’s Pantum printers. The NT-CO100XC is an all-in-one cartridge with chips included. It is compatible with Pantum 1000 and 2000 series printers, namely P1000/ P1050/P2050/P2000/P2010/P2020/ P2040/ P2060/P2080/2016MFP/M5100/ M5200 and M5250. According to G&G, the cartridge uses excellent materials of construction and can print high density, high resolution images. It also reproduces graphics well with no trailing edge defects.
Other specifications include a standard 80 gram refill volume delivering 2,300 page yields. G&G expects the NT-CO100XC product is expected to be a hot sale item among SOHO and SMB customers.
Clover Portugal Releases Color Toners for Samsung Printers Clover Portugal, a subsidiary of one of the world’s leading cartridge remanufacturers, released color toners for Samsung CLP-610 and 600 cartridges. These two toners are compatible with four different Samsung color printer models. Clover Portugal claims the replacement products are available under its Dataproducts brand as follows: CLP-610 and 660 cartridges
are designed for use in Samsung’s CLP610ND, CLP-660, CLP-660ND, CLX-6200ND, CLX-6200FX, CLX-6210FX and CLX-6240FX printers. The page yield of each of these cartridges is 5,500 prints.
InkCycle Launches HP Color & Jumbo Carts InkCycle (Lenexa, Kansas), a veteran supplier of toner and inkjet cartridges throughout North America, announced it has launched a series of remanufactured alternatives for HP cartridges. InkCycle introduced an HP CC364XL Jumbo toner cartridge it claims to be both ecofriendly and economical. The reman cartridge is designed for HP LaserJet printers, including models P4015 and P4515. The Jumbo toner cartridge boasts a yield of 41,000 pages. At the same time, InkCycle added remanned color toner cartridges for use in HP’s LaserJet Pro 300 and 400 printers, promising reliable quality and affordable cost. InkCycle says all the new products have gone through the company’s comprehensive quality control process, including “disassembly, cleaning, filling, component replacement and quality testing.” The cartridges are also part of the company’s GRENK (greenink) program which concentrates on green environment protection. InkCycle claims all of its cartridges are 100% quality guaranteed and have a 2-year manufacturer’s warranty.
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Product Release
Pointrole Releases Toner for Lexmark Printers
MSE Releases Carts for Most HP Printers Based in Van Nuys, Califor nia, Micro Solutions Enterprises (MSE), a global leader in remanufactured cartridges, announces the immediate availability of carts for HP’s most popular monochrome printers. The LaserJet Pro M401 series of printers replaces the P2035/P2055 family, one of the most ubiquitous Segment 2 printers in history. MSE anticipates strong end-user demand for this product, and, therefore, promising dealer opportunities to convert quality-conscious OEM buyers to aftermarket buyers. “This is going to be an exciting product for years to come and will be an immediate sales boost to our dealers,” Says Yoel Wazana, MSE’s President. “Also, because our technology team is utilizing our latest processes, including robotic routing conversion, there will be immediate availability of this high-demand product.” According to the company, MSE utilized the market’s most stringent approval protocols, which includes environmental stress and real world stop-and-go testing, accelerating aging, shipping simulations and more. MSE is cur rently qualif ying the MPS engineered, extended-life versions of the 280A/ X and expects to release it in the near future.
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Pointrole Information Technology, a Chinese cartridge remanufacturer, has released new toners which when used in Lexmark printers, deliver high-quality prints. Based in Wuhan, China, Pointrole specializes in toner manufacturing. It provides a variety of specialty toners to customers worldwide and claims consistent product quality. The toners are designed for Lexmark printers: including E260D/E260DN/ E360DN/ and E460DN. According to the company, the black image density of its products is over 1.45 units and
in the electrophotographic process, more than 95% of the toner is transferred and fused to the paper substrate. Pointrole claims a coverage rate of less than 0.03 gram per page with no background effects.
Katun Releases Toner for Sharp Printers Minneapolis-based Katun Corporation, a leading supplier of copier parts, components and consumables has released replacement, monochrome toner for Sharp printers. The new toners are designed to help customers improve profitability when used in Sharp models MX-M 283, 363, 453 and 503 series. According to Katun, the new toner has been rigorously tested to meet OEM product standards and specifications. With its complete compatibility, customers can easily install the
cartridges and have printer safety guaranteed. Katun says all of its products are sold at an affordable price without sacrificing per for mance. A company spokesman notes, “The addition of this new toner reaffirms Katun’s commitment to providing a comprehensive product offering for Sharp dealers—helping them improve bottom-line profitability on their most actively placed machines, now and in the future.”
APEX Offers Samsung 101 Series Solution APEX Microelectronics (Zhuhai, China) has introduced a complete line of components for Samsung 101 series cartridges. The line includes: chips, toner, OPC drums, PCRs, doctor blades, sleeved rollers, and wiper blades. According to APEX, the compatible chip is OEM size and can be installed the same way as the OEM product. Designed to be universal, the chip can be used in four different regions. Once the chip is installed, the cartridge becomes dedicated. APEX says its Samsung 101 series solution
has been life tested and found to deliver an average black density in excess of 1.36 units. The cartridge deposites 32mg toner per page, offering larger yields than the OEM product.
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Product Release
Static Control Releases 24 ZeroTwist™ OPC Drums Static Control Components (Sanford, NC) says it has released 24 ZeroTwist OPC drums for more than 150 cartridges used in over 180 printer models, which eliminate the risk of infringing Canon’s twisted prism patents. Industry analysts estimate that up to 70 percent of all remanufactured laser printer cartridges sold today use OPC drums with gears that feature a twist design that risks infringing
Canon’s patents. Static Control’s gears do not slant or twist, and they have 90 degree angles. “After an investment of thousands of legal and engineering hours and many millions of dollars in plastic injection molding equipment, additional personnel and time devoted to system testing, we now have fully functional gear solutions that eliminate the risk
of infringing Canon’s patents,” said Ed Swartz, Founder and CEO of Static Control.
Print-Rite Launches New Chips Print-Rite Technology Development Co., Ltd of Zhuhai, specialized in compatible printer consumable chips and related electronic product development has added new chips to its products lines. To meet the demand of global customers, the company has announced the debut of new compatible EPN series of chips. The chips are specially designed for Inkjet printers, including
EPN176/177/178/18/18XL/16/16XL/200/200 XL/190/196/195/197/IC69. Meanwhile, Print-Rite also announces it has finished the development of latest EPN inkjet chip in IC70/IC70L/26/26XL/24/24XL/273/273X L/277/277XL/269. Print-Rite says those products will be available soon in the market. Print-Rite believes the quality of the new products will be well recognized by customers.
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Road Map 2013: What’s Around the Next Corner? John Shane, Director of InfoTrends Inc. Each year, InfoTrends’ analysts look ahead to the following year. We call it our annual Road Map— how to get from one place to another, or how certain people or places interconnect. We predict what we believe to be the pivotal trends that will shape the market. The purpose of this Road Map is to highlight the trends and market forces that will impact the industry and your organization in 2013. This year, the economy saw some positive signs in the U.S., but Western Europe descended deeper into recession. While the economy continues to be an influence on the market, there are other trends that have also become important.
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Business Inkjet Continues to be a Bright Spot
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customers are reluctant to consider inkjet technology for their printing needs—including concerns related to ink costs, device speed, and paper handling capabilities. The new page wide technology inkjet desktop devices can help eliminate many of the negative perceptions that people have about inkjet technology, though it is important for them to see the devices in action to understand their true benefit. Nevertheless, business inkjet is not just about page-wide. Significant enhanced productivity is being seen from serial inkjet devices, as well. Referencing the chart below, InfoTrends U.S. print volume forecasts for serial business inkjet shows a 5.6% compound annual growth rate (CAGR) from 2011 to 2016, while the outlook for Western Europe is even more robust with business inkjet devices expected show a print volume growth of 12.1% CAGR during the same period. Those estimates are against an expected decline overall for serial inkjet of 1.6% CAGR and 1.7% CAGR, respectively.
Page Volume Consumer and Business Serial Inkjet U.S. and W.Europe (billions of pages) 80
60
Business Inkjet
40
20
Consumer Inkjet 0
U.S.
20 09 20 10 20 11 20 12 20 13 20 14 20 15 20 16
There is not much you can tell John Shane about all-in-one toner cartridges. But, not content with this, he continues to extensively research cartridge recycling, the world toner industry, trends related to inkjet cartridges, refills, and compatibles. Something he has done for more than 24 years. As a result, Shane has become one of the best-known faces as a frequent expert presenter at industry conferences and trade events. Before he joined InfoTrends, he spent seven years at BIS Strategic Decisions as an analyst and director of the company's Hard Copy Supplies Service. He also served as a Consultant for International Data Corp. (IDC) and a Site Manager of a consumer research center within the U.S. Testing Company. Shane’s job title at InfoTrends is Director for the Communication Supplies Consulting Service. This means he’s responsible for all forecasts, research reports, consulting, and client care concerning “marking materials”—toner, OPC, inkjet ink, and cartridges. He also manages the research on paper and substrates. InfoTrends/CAP Ventures was founded in 1991. Within six years, it was ranked #69 in the Inc. 500 fastest growing companies of America. Today it has more than 70 employees in Boston, London, United Kingdom, and Tokyo, providing research, analysis, forecasts, and advice to help clients understand market trends, identify opportunities, and develop strategies to grow their businesses. In January 2006, the name was shortened to simply, InfoTrends Inc., and became a subsidiary of the Questex Media Group LLC in September. In summary, they provide: • continuous advisory information with daily, weekly, monthly, quarterly, and annual deliverables; • in-depth primary research focused on major industry trends and topics; • custom research projects; • free basic, or paid premium access to the online Ultimate Guide offering product information, comparisons, and access to InfoTrends’ analysis reports.
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InfoTrends’ John Shane: Checking Out the Road Ahead For All of Us
As predicted in 2012, the market noticed business inkjet continue to gain importance in the imaging market while consumer inkjet saw declines. More business inkjet products were announced and shipped by HP, Canon, Epson, and Brother. Even Lexmark introduced several strongly positioned business inkjet devices before announcing its exit from the inkjet market late in 2012. The most impactful in 2013 are the expected crop of page wide arrays business inkjets from HP and Memjet partners. The main advantage of page-wide array technology is speed that can compete with laser with (theoretically) far fewer moving parts and significantly lower power consumption. The challenges are an affordable reliable head/ inkjet technology, print that comes out dry and resistant to smudge/highlighters, and, perhaps equally important, convincing office users who view inkjet though their experience as consumers that business inkjet can keep pace with their office lasers. Previous InfoTrends research has indicated there are a number of reasons why office
W. Europe
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Economic Recovery Continues? According to the International Monetary Fund, the economic recovery is continuing worldwide, but it has weakened. The fund breaks the market into two large segments: advanced economies and emerging market economies. While there is some growth, it is not enough to make unemployment change much. IMF has released revised growth forecasts from earlier forecasts in 2012. It forecasts for 2013 growth have been revised from 2.0% down to 1.5% for advanced economies, as well as from 6.0% to 5.6% for emerging and developing economies. Advanced economies are being affected by fiscal consolidation and a weak financial system, while emerging markets are being affected by the low growth and uncertainty in the advanced economies. Emerging markets, however, are expected to be an area of growth in the coming year, according to financial analysts. If the market uncertainty can be reduced by the measures that are being implemented, then things might be better (especially for Europe and emerging markets). Now that the U.S. presidential election is over, the economy will likely return to be the
main focus for the U.S. government—especially as the fiscal cliff looms. This term describes an impending crisis in which there is more than $600 billion in fiscal liability acting as a burden on the economy due to tax increases and government spending cuts slated to kick in on Jan 1, 2013 unless U.S. lawmakers act to avert it. As the government wrestles with
these issues, businesses may be reluctant to make investments in new equipment, including printers, if there is no critical need. Therefore, businesses will hang onto current devices and look for ways to be even more frugal with their printing activities—including adopting or tweaking MPS engagements and/or seeking out cheaper alternative supplies.
GDP Constant Prices, U.S. Dollars (Billions) 2013
5%
Central and Eastern Europe
2012
11%
ASEAN 5
5%
Newly Industrialized Asia
5%
Latin America and Carribean
2%
United States
0%
Western Europe
Emerging Markets and Developing Economies
7%
2%
Major Advanced (G7)
4%
World
0
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
(Source: International Monetary Fund)
First Sale Doctrine Before Supreme Court Again The First Sale Doctrine is looming larger in terms of the tools that OEMs have to use to combat aftermarket suppliers. Under First Sale, a patented component can be used again in a remanufactured cartridge sold in the U.S. if the original cartridge was first sold to the user in the United States. In that case, the patents are said to be exhausted. If cartridges sold in the
U.S. contain used patented components what were not originally sold as new in the U.S. but in a different country, however, then the patents are said not to be exhausted and the patent owner can claim patent infringement. This is becoming a potent tool for patent owners— particularly when it comes to remanufactured supplies sold into the U.S. from foreign sources
(most commonly China) that may or may not be able to show that the original components were first sold in the United States. Legal analysts have different opinions as to whether the First Sale Doctrine is sensible—particularly in a global economy. Some believe that the U.S. Supreme Court will eventually re-evaluate the doctrine and perhaps overturn it (at least, in some cases). www.iRecyclingTimes.com
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Features
Clones Have Higher Infringement Risk Clones will continue to create strains in the market for OEM suppliers and aftermarket remanufacturers, and we expect to see more lawsuits and trade actions to address the clone issue. Unfortunately, we also expect many to be largely ineffectual as global intellectual property (IP) laws and enforcement is variable, and clones that may be driven from one market or channel could flood another. Clones are made from all-new parts and are low cost alternatives to OEM and remanufactured cartridges. Clones can be priced 50% lower than a remanufactured cartridge of the same type. Largely made in China, OEMs and remanufacturers view clones as potentially IP-infringing, while also being difficult to
compete with because of their very low price. This puts OEM and remanufacturers who are doing their best to follow the law in a dilemma, a real quandary. I n f oTr e n d s b e l i e v e s t h a t O E M s a n d remanufacturers will find some common cause as they attempt to navigate the clone issue. Channels will become more aware of the risks of selling clones, and clones will be further segregated to those channels, such as the Internet, that are more willing to take on risk as well as countries where enforcement is complicated/costly or ineffectual. There is the perception, for example, that legal actions in the U.S., which may gradually restrict the availability of clones there, will
have the unintended result of increasing the amount of clone product entering the European market or elsewhere. The perception is that clones are even more widespread outside the U.S. and Western Europe and, in some cases, outnumbering remanufactured cartridges—even for those types of cartridges that would tend to be remanufactured in western markets. InfoTrends expects to see attempts to thwart clones in 2013, but we are not expecting to see a large impact. There could be further segregation by channel and country. It appears unlikely that the clone issue will be solved entirely without more uniform, global IP laws and enforcement.
OEMs Will Not Lose Focus on their Developed Market Supplies Businesses OEMs will not let up their guard on supplies in the developed markets, even as hardware sales shift to emerging markets. As the emerging markets represent a larger share of global new equipment placements year-over-year, one would expect that OEMs would also shift their supplies emphasis to the emerging markets. Nevertheless, that does not account for the situation worldwide. One noticeable thing about the supplies market is that OEMs tend to have lower shares of supplies sales in the emerging markets and significantly larger shares in developed markets. Aftermarket suppliers tend to have larger penetration rates in the emerging markets and, anecdotally, we have heard that some OEMs see startlingly low shares in the order of 20%
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for some types of products. What this means is that as long as the developed markets remain relatively large, declining or not, OEMs remain focused on protecting those markets on the supply side. Though the developed markets are beginning to decline, margins on supplies are still relatively strong, and certainly better than hardware margins. It is likely that OEM will for a long time need the developed market supplies to support overall profitability and so will defend that market in every way that they have. Examples of the current defensive positions that OEM are taking include: • Use of the First Sale Doctrine to defend against imported remanufactured aftermarket supplies • Use of IP/patents in court and the
International Trade Commission (ITC), in general • Smart chips • Managed print services (MPS) and other ways to tie supplies to a service contract • Shift to color As a natural consequence of the need to protect their supplies business in developed markets, we expect that vendors will need to re-think their business models in the emerging markets to improve overall profitability. Their first thoughts would be to charge more for the hardware if they cannot expect to see as large a continuing income stream from supplies aftersale. Nevertheless, we would also expect to see increased experimentation on tying supplies to equipment in ways that we do not see today.
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Consumer Inkjet Future Uncertain their emphasis on business inkjet and decreasing their emphasis on consumer inkjet. In the past, the supplies for business inkjet products were essentially the same as those used in consumer products—but that is changing. New supplies for business inkjet are a higher yield and higher price point than consumer inkjet cartridges, and offer lower costs per page. As
resellers deemphasize consumer inkjet supplies, we would not be surprised to see increased emphasis on multi-packs, that is, two or more of the same stock-keeping units—or SKUs— wrapped and sold as a single package. This would allow resellers to offer all of the necessary cartridges, while allowing for more compact use of shelf-space.
U.S. and W.Europe Consumer Digital Photo Prints Forecast Print Volume, 2010-2015 (4” x 6” equivalent)
U.S.
Western Europe
4,000 3,611 3,239
3,171 2,926
3,000
2,793 2,578
Prints (B)
The year 2012 saw the announcement of two major imaging vendors, Lexmark and Kodak, dropping their inkjet lines but vowing to continue to offer supplies to customers. It is no secret that the market has observed over the past few years that consumer inkjet printing has changed, and not in a good way for the OEMs and other companies that offer supplies. It is clear that print volume and, therefore, corresponding supplies use is declining significantly in the consumer segment of the market. With the rise in smartphones with larger screens and tablets, picture printing has evolved and pictures are printed less often. Instead of printing photos, consumers are just as happy to show the pictures they have on their mobile device. By taking away just a few photos from users’ typical print volume, the impact on supplies is greater since photos take so much more ink than a typical black and white page. The media used can also be higher value, which would equal higher cost. In addition, the channels are also shifting
2,610 2,334
2,448 2,079
2,000
1,000
0 2011
2012
2013
2014
2015
Sustainable Printing? As office printing in the U.S. and Western Europe declines, InfoTrends expects that there will be an increased need to understand what applications and what markets comprising products of a similar nature will be more
remain in the printing realm are often referred to as sustainable or least likely to be eroded by changes in business processes. While it is difficult to predict which applications will go one way or another, there
approaches in how people do their work. For example, in the legal world, signed contracts are still part of the process. Documents, however, may be scanned in later to retain a digital copy of the contract. Real estate, medical, and bank
sustainable than others in terms of print. As many aspects of business become automated or digitally stored, there are some applications that will remain a “printable” activity, while some will move to another format or method that does not involve printing. Those applications that
are certainly ones we can speculate on. Examples of general applications that may be printed less in the future could include the printing of e-mail, presentations, reports, or marketing collateral. Other applications or vertical markets may be more resistant to being replaced by digital
documents are other examples that still need hard copies for some things, but other aspects are becoming digitized. In anticipation of the need to target sustainable print, InfoTrends is preparing to launch a major multi-client study looking at print by vertical market. www.iRecyclingTimes.com
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Opportunities in Production Color Printing
Ed Swartz, Founder & CEO Static Control Components, Inc. The industry trends favor genuine remanufacturers that respect Intellectual Property. Printer manufacturers’ profits are declining and the OEMs are now aggressively protecting their business against clone manufacturers and all companies that infringe their patents. Remanufacturers will boldly reclaim and grow their business on the core values on which they built this industry: high-quality products, creation of local jobs, responsible environmental stewardship and respect for Intellectual Property.
Print volume in the production color space is expected to grow, particularly for roll inkjet. A growing question on this trend is
what are the applications, and what are the requirements in terms of substrates for those applications for them to grow as we expect?
300
Color Digital Production Total Print Volume (B) General/Commercial
Roll Inkjet
200
Roll Liquid Toner
Roll Dry Toner 100 Cut Sheet Inkjet
Cut Sheet Liquid Toner 0 2010 2011 2012 2013 2014 2015
2010 2011 2012 2013 2014 2015
U.S.
Arnald Ho, Chairman Print-Rite Holdings, Ltd. Because the year 2012 was filled with doubt and challenge, I don’t see why 2013 should be any better. Indeed, the determining criteria have not changed. The overall volume of office printing will likely decline and the OEMs will continue to suffer the most. Legitimate remanufacturers and producers of compatible cartridges will be hurting as well, if they compete with low quality, illegal, new build cartridges. This situation will continue until the OEMs decide to take serious legal action against them, such as, threatening wholesalers and warning them not to sell illegal, or patent infringing products. “Competition is not just for market share but also for profit margins. If this situation is allowed to continue following this path, there is no doubt some players will either be forced out of business or acquired by others. Truly, change is the only alternative, but in a fiercely competitive market, there is no guarantee of survival.
In anticipation of a growing need to know how to enable color production growth by application, InfoTrends is currently undertaking a major multi-client study of this topic and will be looking at the applications
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in the Table below, grouping as necessary, to understand where the growth will be for production color and what is needed in terms of substrate to enable that growth.
Forms
Presentations
Packaging
Utility
Fine art Consumer Photo merchandise
Proposals and reports
Books
Flexible packaging
Directories Greeting cards
Folding cartons Labels
Publishing
Magazines Manuals
Brochures
Promotional
Proofing Security print
Letterhead, other office documents
Catalogs
Newspapers/ Newsletters
Direct Mail
Bills and statements Checks
Inserts and coupons Transaction Posters, banners, and signage
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Business cards CAD/Rendering
Cut Sheet Dry Toner
Sys-out TransPromo
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Is Paper Sustainable? In terms of sustainability, paper companies are now also emphasizing how paper is also sustainable. Due to active forestry management programs that have been going on for decades, paper companies pay close attention to the sustainability of their products. In fact, the Printing Industry of America has a piece called “The Value of Print” that offers facts and figures about common misconceptions about paper. Below are some points excerpted from the report. We have our doubts whether or not endusers will understand and accept this message.
Since the 1970s, people have been bombarded with the idea that paper use is bad for the environment. True or false, the public likely now takes it as a proven fact that paper use is bad and, after 40 years of this message, are immune to the counter-arguments.
“Electronic communication is more environmentally friendly than print.” In 2008, Americans generated 3.16 million tons of electronic waste. In Europe and the U.S., around 60% of energy used to make paper comes from renewable resources.
“Using paper kills trees.” The primary raw material for paper is trees, which are a renewable resource. The trees in North America used for paper production come from well-managed forests or farms. Today, the U.S. has 20% more trees than it did on the first Earth Day in the spring of 1970.
“Print isn’t green.” Printed products are a renewable resource. About 63.5% of all paper consumed in the U.S. was recovered for recycling in 2010. Once a printed product has served its purpose, it reenters the cycle as a new product.
Worldwide Print Volume Expectations We assume that paper is a strong surrogate for print volume. The data below, taken from InfoTrends’ 2012 Market Pulse survey, shows the varying expectations on paper purchasing for 2013 on a regional basis. The Figures below show purchase expectations in most major regions around the world in the office environment. While it is important to note this is just but one point of information to consider when calculating worldwide considerations, it does give some guidance in how various regions responded to this series of questions. InfoTrends’ forecasts have carefully considered many factors that go into print volume. It is clear that print volume is down and will continue to decline in the U.S. and Western Europe. What about the rest of the world? All of the regions below show some positive expectation on paper purchasing growth. Nevertheless, Western Europe is the least
positive and we know that there is a decline taking place. North America, with the U.S. being the dominant economy, is a little bit more
positive than Western Europe—and paper use in the U.S. is declining at a slower rate. Keeping in mind what appears to be a net positive bias
Figure 1: How do you expect paper usage to change in the next 12 months? It will increase signiĮcantly It will stay the same It will decrease signiĮcantly
It will increase a liƩle It will decrease a liƩle Don't know
100% 80%
7.0% 10.0%
11.0% 18.0%
60%
12.0%
15.0%
27.0%
28.0%
35.0%
35.0%
12.0%
18.0%
16.0%
Western Europe
North America
Central and Eastern Europe
22.0% 33.0%
44.0% 37.0%
40%
13.0%
17.0%
35.0% 31.0%
20%
36.0%
25.0%
22.0%
0% India/China
N=
307
LaƟn America 453
Middle East and Africa 463
617
460
611
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The next few years will see some reshuffling. The largest players—focused on consistent innovation and cutting edge technology— will win the market, while the weakest players risk falling by the wayside. High value-added products and remanufactured products— especially color cartridges with their high profit margins—will continue to enjoy strong demand. The inkjet sector is undergoing fierce competition for business printing with highspeed, fixed nozzle-array printers, while in the laser sector, multi-function printers (MFPs) will continue to lead the market, going forward. Consumable suppliers must keep pace with these trends and directions. Managed print services (MPS) is definitely an opportunity for the entire office printing industry. Customer-oriented products and individual service will be warmly welcomed. In the next five years, those players that can provide solutions, that best meet and satisfy the individual demands of business customers, will capture market share.
(i.e., toner, developer, drum, and cartridge ink cartridges; paper is excluded) for the U.S. and Western Europe. (see Figure 2) The chart below shows total tonnes (000) of paper printed digitally for the U.S. and Western Europe. The uptick in the final years is caused largely by web-fed production inkjet, where these devices print very inexpensively and very high speed, and are siphoning applications from the traditional offset/analog world. (see Figure 3)
Figure 2: U.S. and W.Europe Total Marking Supplies Value $M at Final POS
$35,000 B/W Copier
$30,000
Final POS ($M)
Yan Wei, Senior Vice President Ninestar Group
among the respondents, the data does suggest likely paper purchasing growth in the Middle East, Latin America, and India/China. We believe, for example, that Latin America is still seeing growth in print volume on the order of about 10%. (see Figure 1) Overall, InfoTrends believes that total print volume worldwide is steady—particularly when production color is included. As a sample, InfoTrends provides below our estimate for total revenue for consumables
$25,000
B/W Page Printer
$20,000
Color Copier
$15,000
Color Page Printer
$10,000 Serial Inkjet $5,000 $0
U.S.
W.Europe
Figure 3: U.S. and W.Europe Total Paper Tonnes (000) Printed Digitally
6,000
5,000
Sergei Zubkov, CEO UMACS If positive trends prevail in Russian market, in five years time we will see a 7 to 9% compound annual growth rate (CAGR) for the imaging consumables market (starting with 2014) and a 3 to 5% CAGR until then. However, if negative trends dominate, then we will witness a considerable decline in the year 2014, and a sudden, 15% drop in 2016. Regardless of market conditions, I wish all industry players the best quality and the most robust sales in toners, inks and OPC drums in the years ahead!
4,000
3,000
2,000
1,000
0 2011 2012 2013 2014 2015 2016
U.S.
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2011 2012 2013 2014 2015 2016
W.Europe
Recycling Times Magazine
Features InfoTrends’ Opinion The year 2013 is in position to be another year of change. The supplies market may be flattening, but there is no shortage of interesting trends that can create opportunities or can cause some players to struggle. We are excited to see new page-wide office inkjets make their debut and that could shift long term the dominance that EP has held in the office. The OEM versus aftermarket competition is changing with clones creating divisions and separations not just with OEMs, but with remanufacturers and potentially in the sales and distribution channels. Taking the long view, we recall a time when consumer printing was in fast growth. That is over and inkjet technology extensions funded by consumer is moving to office and production. There was also a time when production was reaching a volume plateau, but now with production speed color, particularly web press inkjet, digital print is taking print from analog and creating new
print opportunities. Office printing has flatlined and is under significant stress with MPS, with digital processes that take print out of the process, and as office users adopt consumer products that keep them connected and can reduce the need for some print. Nevertheless, some vertical market segments and some applications will remain strong. OEMs, resellers, aftermarket suppliers, and paper mills have potential opportunities if they can take advantage of them. This material is prepared specifically for clients of InfoTrends, Inc. The opinions expressed represent our interpretation and analysis of information generally available to the public or released by responsible individuals in the subject companies. We believe that the sources of information on which our material is based are reliable and we have applied our best professional judgment to the data obtained.
Nikolai Yakimchuk, Managing Editor RechargEast & RechargRussia Equipment manufacturers restructure their business models to cater more to those market segments which allow higher markups. This is why, for instance, we see some vendors abandoning ink jet and focusing solely on laser. The aftermarket of imaging supplies will be following these trends very closely, even if we expect that there might be some delays in adapting the new knowhow. Futhermore, OEMs seem to be willing to enter the aftermarket for imaging supplies. They appear ready more than ever to start manufacturing supplies compatible with their competitors’ equipment. This is a real threat for the aftermarket. But the aftermarket industry can always beat the equipment manufacturers on price, flexibility, product customization, and customer service.
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Directory
Smart Chip Manufacturers ACRO COLORFUL TECHNOLOGY Acro Colorful Technology Co., Ltd. is a leading manufacturer-exporter in China specializing in the development, manufacture and sale of toner cartridge chips. The company supplies toner cartridge chips to many customers around the world and has earned an excellent reputation during the past 8 years. The quality of its chips is stable due to mature, leading edge technology.
Julia Zhu, Sales Manager 12th floor HeFa Investment Building, Qingquan North Road, Longhua Town, Baoan district, Shenzhen, CHINA Tel:+86-755-8380-8240 Email: julia@szcolorful.com Website: www.szcolorful.com
APEX MICROELECTRONICS APEX is focused on research, development, manufacture and sale of aftermarket cartridge components, creative chipping systems and complete chip resetting solutions. Its products include both inkjet and toner based printer chips, inkjet inks, toners, OPC drums, DR, MR, SR, PCR and blades. APEX is dedicated to providing the finest, fastest and fullest component solutions for the global imaging aftermarket.
Mandy Jiang, Regional Sales Manager 7/F, Unit 04, No.63 North Mingzhu Road, Zhuhai, CHINA Tel: +86-756-3333-768-258 Email: mandy.jiang@apexmic.com Website: www.apexmic.com
BAIKSAN Baiksan produces OPC drums, toner, chips, rollers, blades and ink for laser and inkjet printers, copiers and MFPs. On the Total Solution Bases, the company supplies the parts and materials for both Korean domestic market and international market. “HANP” and “CYBEN” are the trademarks of the company. BAIKSAN owns two factories, one for OPC coating and toner production, the other factory for Aluminum substrate & OPC coating, and chip production.
David Shin, Sales Director 45-10, Yongsomal-Gil, Deoksan-Myeon, Jincheon-Gun, Chungcheonbuk-Do, SOUTH KOREA Tel: +82-43-536-7561 Email: info@hanp.co.kr Website: www.hanp.co.kr
CHIPS INCORPORATED Chips Incorporated develops and manufactures replacement printer cartridge chips for Lexmark, including private labels (IBM, Dell, Toshiba, Gestetner, Nashuatec, Ricoh Aficio, SINDORICOH, Source Technologies, Standard Register, Unisys and Veritek), Konica Minolta (including private labels) and Samsung (including private labels) printers.
Bob Rauber, President 2710 Alt. 19 N., Suite 301 #207,Palm Harbor, FL 34683, USA Tel: +1-727-937-8088 Email: info@chipsincorporated.com Website: www.chipsincorporated.com
CIPHER ELECTRONICS Cipher Electronics Ltd. has specialized and developed toner chips for laser printers and Universal resetter for printer cartridge chips since 2002 in Korea. Moreover, it has focused on improving the quality of our eco-friendly products by being certified for ISO 9001:2008 / ISO 14001:2004. The company also took out a patent for method of cartridge chip model conversion and Universal resetter for printer cartridge chips.
Chris Lee, Sales B-307# Woolim Lion’S Valley 1st ,18 Yangpyeong-Dong 5-Ga, Yeongdeungpo-Gu, 150-105, Seoul, SOUTH KOREA Tel: +82-2-839-4335 Email: sales@cipheret.com Website: www.cipheret.com www.iRecyclingTimes.com
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Directory DAEWON PARK & OPC Daewon Park & OPC is a Korean based print consumables manufacturer. Based on years of technical expertise, the company is able to provide added advantage to its valued customers through the latest chip technology. Daewon also manufactures OPC drums for both OEMs and aftermarket clients.
ESPIDERTECH Espidertech is a high-tech company majoring in R&D and manufacturing of the counting chips. Under experienced technology, its unique engineers had developed all compatible chips which completely match the OEM products requirement. The company now has the leading R/D teams and chip suppliers in the world of printer recycling territory.
HANGZHOU CHIPJET CORPORATION Hangzhou Chipjet Corporation is a veteran in manufacture and development of compatible consumer chips for printers including Epson, Canon, and HP inkjet series for global users. These products are developed independently by its own technical team Chipjet’s smart chips are comparable to the OEM products in terms of quality, performance and reliability.
HI & BESTECH COMPANY Hi & Bestech Company was established in Taiwan in 2001. Its full product line includes printer and copier chips for HP, Samsung, Minolta, Lexmark, IBM, Xerox Dell, Epson and Sharp machines. They have full emulation and 100% functionality, while incorporating unique circuit and firmware design for Intellectual Property protection. Relying on strong technology, Hi & Bestech not only developed and launched firstto-market chips, but also produced multi-regional version chips to adapt to the differing requirements among the many world regions.
INTELET ELECTRONICS Intelet Electronics Co., Ltd was established in 2005 with the start of its development, production and promotion of compatible laser toner cartridge chips in China. It has established its own R&D department, optimized production processes, and standardized both quality control and test protocols. The new facilities enabled Intelet to improve the compatibility and performance of its toner chips for export and sale in worldwide markets.
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Jimmy Jeong, CEO of US Branch 1108-3,Namchon-Li, Oksan-Meon Cheongwon-Gun,Chung-Buk, SOUTH KOREA Tel. +82-43-710-0281 Email : opc@parkandopc.com Website: www.daewonopc.com
Frank Fong, General Manager 362 Sha Tsui Road,Tsuen Wan, Hong Kong Tel: +852-3105-8015 Email: info@256g.com Website: www.256g.com
Chengbin Chen, Sales Director 2/F,Building C,Kunlun Gong fang,NO.61 Baijiayuan Road, West Lake District, Hangzhou, CHINA Tel: +86-571-87672898 Email: sales@chipjet.com.cn Website: www.chipjet.com.cn/en
Alvin Hsu, Sales Director No.337, Changping 5th St., Beitun Dist., Taichung City 406, Taiwan Tel: +886-4-2422-2097 Email: info@tonerchips.com Website: www.tonerchips.com
Ivan Zhang, Sales Manager A601/602/603, Huachuangda Central Business Building, Xinghua 1st Rd, Baoan District 42, Shenzhen, CHINA Tel: +86-755-27896199 Email: info@hptonerchips.com Website: www.hptonerchips.com
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Directory POWER VIP Powervip is a company dedicated to high technological projects development. At the present time, it is one of the worldwide leaders in research, development, manufacturing, selling and distributing chips for printer cartridges.
Diego Tagle, Manager Londres 22 Bajo A – 28028, Madrid, SPAIN Tel: +34-91-713-0419 Email: europe@powervip.es Website: www.powervip.es
PRINTCHIP INTERNATIONAL, LTD. Printchip International continues to invest heavily in the development of new chip solutions in support of the global cartridge remanufacturing industry. These proprietary chips work with the most up-to-date firmware to run the latest models. It provides chip solutions for HP, Samsung, Xerox, Lexmark, Epson and many other brands. With over 1,500 different lines plus regional variations we aim to have the chips you require.
Mark Jordan, Sales Manager 5, Victoria Street Cinderford - GL14 2ET ENGLAND Tel: +44-1594-824499 Email: Mark@printchip.net Website: www.printchip.net
PRINT-RITE TECHNOLOGY DEVELOPMENT CO., LTD Print-Rite Technology Development Co., Ltd (PTD) of Zhuhai is specialized in development of technology. PTD focus compatible printer consumable chips and related electronic product development. PTD has over 10 years experience in printing consumable chips and have a professional R&D team. Its product model is complete and has stable quality.
Juan Xiaoshu, Sales 5/F Nanping Group Building, No.2 Pinglan Road, Nanping, Zhuhai, Guangdong, CHINA Tel: +86-756-8678000 Email: sales@pr-tech.com.cn Website: www.pr-tech.com.cn
SHENZHEN LIANPUDA TECHNOLOGY Shenzhen Lianpuda Technology Co., Ltd. has its own R&D department in China, Korea and Japan. As one of the very advanced producers of laser printer chips; the sales network covers Asia, Middle East, the Americas, Europe, etc. The company is mainly dedicated in the development and production of compatible laser toner chips, such as Samsung, HP, Lexmark, Epson series etc, and its annual output could reach to 24,000,000 pcs.
Jie Zhang, General Manager Room 328, Block C, Languang Building Zhenhua Road, Futian Distric Shenzhen City, CHINA Tel: +86-755-83648169 Email: jasonzhang@hotmail.com Web: www.szlpd.com
STATIC CONTROL COMPONENTS Static Control Components, Inc. is the world’s largest manufacturer and distributor of imaging components and supplies for the global remanufacturing industry. Static Control excels in intellectual property (IP), scientific research, system development, cartridge chip development, cartridge components engineering, production equipment engineering and fabrication, multiple manufacturing processes, comprehensive quality assurance, automation design and manufacturing, and vertical integration.
William Lau, General Sales Manager 22/F Tower II, Metroplaza Kwai Fong, Hon Kong Tel: +852-2419-1110 Email: info@scchongkong.hk Website: www.scc-inc.cn
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Directory SUNKING TECHNOLOGY Established in Oct. 2003, Sunking Technology Inc. of Shenzhen is a professional toner chip solution company with a mature design, production and sales team. Its eight years of experience in the smart chip aftermarket has provided a valuable background of knowledge and expertise.
UNIPLUS TECHNOLOGY UniPlus Technology is a professional R&D and manufacturing group for printheads and toner chips. In addition to its high-quality production of compatible ink cartridges, UniPlus produces reman. inkjets to fulfill the demand of our customers for a full product line. UniPlus’ chip R&D team consists of experienced, senior engineers who specialize in design, prototype, programming and testing of MCU-based circuits with mass production. UniPlus can provide not only the workable version of chip firmware, but also the upgraded firmware once OEMs launch their new versions. All of the company’s products are 100 percent tested.
ZHONO ELECTRONIC TECHNOLOGY Established in 2004, Guangzhou ZHONO Electronic Technology Co., Ltd.is the largest chip supplier for laser printers and digital copiers in China. The company deal exclusively in toner cartridge chips, color toner powder, color toner cartridges and drum unit.
ZHUHAI JINGXIN Zhuhai Jingxin Co. Ltd is expert in the design and distribution of integrated circuits . With years of experience in designing and marketing smart chips for printer cartridges, it has gained a large market share and at the same time, built a sound reputation for its quality products and excellent customer service. Over the years, it has established strategic relationships with many well-known domestic and international IC companies. This has further strengthened its ability to provide excellent products and technical support to meet the needs of its clients.
Yu Han, Sales Manager C305, 3 Floor, Nantianhui Commercial Building, 5 Area, Bao An District, Shenzhen, CHINA Email: ricky@winfirst.net.cn Tel: +86-0755-27840619 Website: www.sunkingtech.com
Jennifer Lee, V.P of Sales 7F-7, No. 162, Sec. 4, Chung Hsiao E. Road, Taipei 106, Taiwan Tel: +886-2-8773-1218 Email: jennifer@uni-plus.com.tw Website: www.uni-plus.com.tw
Kaishan Wang, Marketing Manager Room 1118 LongHui Building, No.5 Longkou East Road, Tianhe District, Guangzhou, CHINA Tel: +86-20-8527-6490; Email: sales@zhono.com Website: www.zhono.com
Linda Xiao, Sales Manager 9A Taihe Commercial Buliding 338 Ningxi Road, Xiangzhou Zhuhai, CHINA Tel: +86-756-3819297 Email: www.kingmic.net
This Directory, compiled by the staff of Recycling Times magazine, represents the best information currently available to us regarding those non-OEM producers offering smart chips for toner and ink jet cartridges to aftermarket dealers, distributors and remanufacturers. We plan to review and update this list on an annual basis. Your comments, additions, deletions and suggestions are most welcome as they will enable us to expand and certify the information presented.
We’ll publish the directory of inkjet ink manufacturers in next month’s edition of Recycling Times. If you wish to be included, please send your company profile to Mr. Keon Huang at: keon.huang@irecyclingtimes.com
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Recycling Times Magazine
Directory Laser Jet and Ink Jet Cartridge Chips Dale Lewis, Senior Vice President Research & Development and Manufacturing Static Control Today most laser jet and ink jet printers use cartridges that have a chip installed. These printers have been designed so that the chip stores authentication and life information about the cartridge. For these printers, if the chip is not installed or is spent the printer will not have full functionality or may not print at all. The chip stores data written to it by the printer and uses this data during operation. At a basic level, a chip authenticates the cartridge, stores data about the cartridge such as cartridge type, geographical information and cartridge yield values. Chips also store data which the printer firmware interprets as data about OPC drum, primary charge roller and developer roller. Depending on the printer model, the chip may store page counts, pixel counts, calibration information, development voltage information and more. Chips can store information even after the power is turned off. Typically, when a printer detects that a cartridge is low or out, it writes data to the memory and locks it. The data becomes permanent and this prevents reuse of the chip. Chips have become more complex through the years. Today cartridge chips are much more advanced and use a combination of customization
and encryption to authenticate with the printer. The use of encryptions protects the commun ication information and memory contents and prevents data from being manipulated. This makes the task of reverse engineering to thoroughly understanding the design extremely complicated. The printer firmware controls how often and which data is written to the chip. Firmware is the software that actually controls the operation of the printer. Manufacturers make regular changes to the firmware in the form of updates to adjust how the printer performs. A new firmware can affect the printer and cartridge in many ways. For example, firmware may change how the fonts look in the printer, how toner usage is tracked and may affect status supply pages. Firmware changes can also affect the chip functionality. Printer manufacturers have been known to use firmware changes to lock out aftermarket cartridges from being used in their printers. For the aftermarket, chips must be designed to provide full functionality. In other words, replacement chips must emulate OEM chip functionality without infringing patents or copyrights. Only by full emulation can an aftermarket chip avoid being locked out by firmware changes.
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Profiles
Hubei Dinglong: Innovator, Inventor, Initiator “Many companies are copycats, simply imitating what others do in managing their businesses. But this survival plan does not make a strong or successful company,” said Shunquan Zhu, General Manager of China’s Wuhanbased Hubei Dinglong Chemical Co. Ltd., during an interview with Recycling Times magazine. From defeating the monopoly of charge control agents (CCAs) controlled by Japanese, European and American producers, to the successful launch of China's first polymerized color toner production line in September, this industr y leader knows instinctively, the importance of a creative research and development (R&D) approach and believes that to remain unbeatable in a market, initiating advances in technology—through ingenuity, invention, and innovation—is the only solution. From Emulation to Innovation After engaging in the printer and copier
consumables industry for almost 10 years Shunquan Zhu and his brother Shuangquan Zhu jointly founded Hubei Dinglong Chemical Co. Ltd. in 2000. They researched, developed and manufactured new chemical materials such as CCAs, commercial printing inks and resin colorants. Years of professional experience in foreign trade enabled them to explore the international market. But as little known as it could possibly be, the company initiated its business through copying other’s products. Its policy then was to imitate and emulate before they could innovate. Indeed, this policy is followed by most successful inventors!
Shunquan Zhu recalled an unforgettable encounter with a famous Japanese OEM customer. He proudly told him, “The quality of our product is as good as the Japanese product.” To his surprise, the customer asked, “Do you have anything different from others? It doesn’t matter if it is more expensive. I want you to make different things out of different ingredients.” The same scenario took place as Shunquan Zhu met another chemical engineering tycoon. Their conversation didn’t last long—simply because Dinglong didn’t have any patents. “A patent is really a dreadful thing,” declared www.iRecyclingTimes.com
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Profiles
Mr. Zhu. Japanese companies’ obsession with patents gave his heart tremors that did not disappear until the Zhu brothers decided to build their business empire through innovation, rather than emulation. Breaking the Monopoly The primary physical principle at work in digital printers and copiers is electrostatic attraction. Toner is attracted to paper either by an electrostatic charge or an electrostatic field. A charge control agent contained in the toner is used to control the polarity and magnitude of the “tribo” charge on the toner used in electrophotographic (EP) copiers and laser printers. Typically, the CCA accounts for only 1% to 3% of the toner weight and is extremely expensive. Before 2000, 90% of China’s CCAs were imports priced at RMB 800,000 to RMB 1,500,000 per metric ton ($91 to $109 USD per pound). Under the leadership of the Zhu brothers, Dinglong managed to become one of the world’s three major CCA manufacturers in 2000, breaking the monopoly held by foreign companies for more than two decades. Nowadays, the company’s production line, whose manufacturing capacity reaching 1,500 metric tons of CCA annually, ranks No. 1 globally. That is far more than the other two Japanese competitors combined! Shunquan Zhu noted, “Currently, our CCA market share comprises 50% of the global negative charge market, enjoying an 80% share in compatible, aftermarket toners and deep penetration among OEMs.” Continuous investment in R&D makes Dinglong outperform
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its competitors in price, product quality and product variety. Today, Dinglong is able to meet the demands of many different clients through customization, a trump card that helps the company gain more market share. For the same model, Dinglong can make ingredient adjustments to suit the needs of different customers. For example, the N33 Series has three models — N33, N33H and N33T. A foreign company complained that the tribo charge level of N33 series was not good enough for use in their products. To adjust the problem, Dinglong’s R&D team studied new methods to double the tribo charge. Dinglong invested $100,000 USD in the project. When it accomplished the goal its client was so amazed by this “responsible achievement,” it declared, “Japanese companies would never do that!” Down through the years, Dinglong—which is fully committed to innovation—has won many awards, including “Key High-tech Enterprise of the National Torch Program”, “National Hightech Enterprise” and “National Enterprise of Innovation”, etc. It has also applied for 34 patents at home and abroad, 9 of which are in Japan and the United States. The company also is involved in drafting national industry regulations in the field of polymerized color toner in China. Color Chemical Toner-the Future Shunquan Zhu’s footprints are implanted in the lands of more than 20 countries where it sells CCAs. It meets the requirements of most advanced toner manufacturers worldwide, knows the technology sources and features of every toner plant they have seen, and maintains
positive relationships with R&D scientists in many companies. Through these contacts, Dinglong gradually realized that chemical toner, especially chemical color toner, is the future. It is with great confidence that Shunquan Zhu maintains, “In 2005, I predicted China will be the world’s compatible toner manufacturing base and that polymerized color toner will lead the trend of future development within 10 years. China is the largest cartridge manufacturer worldwide. European and American toner manufacturers would rather produce toner in China than ship it to China for cartridge filling. Compared with mechanically ground toner, the potato-like chemical toner’s shape and particle size distribution can be more precisely controlled. Also, chemical toner can deliver a lower melting point, higher page yield and higher print quality. I was sure then it would be very popular in the market place.” Shunquan Zhu’s prediction has proven to be true! He knew that researching and developing chemical toner was a long-term investment, given the complicated technology and long R&D cycle. “Hardly any manufacturer produced chemical toner at that time. Japan’s Mitsubishi Chemical was the only company that was selling it, but at an unbelievably high price.” Holding onto his faith in chemical toner becoming popular in 5-6 years, Dinglong’s R&D team commenced the long-term venture in 2006. A World Class Team Although chemical toner is more desirable than traditional ground toner for the EP imaging process, the manufacturing technology itself
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Profiles
is extremely complicated, not to mention the huge investment required in R&D, plant equipment and product testing. For this project, Dinglong retained several experts at home and abroad as consultants. The many higher learning institutions in Wuhan provided a local talent pool. Dinglong assembled a team of 28 scientists and engineers with expertise in different domains—dispersion, macromolecules, organic synthesis, plant equipment, water and sewage treatment and other disciplines. In other words, a world class team to build a world class chemical color toner production line. The whole process was indeed money-consuming. 50 Million RMB (~$8 million USD) was invested in R&D, and an extra 1500 million (~$240 million USD) in the production line. Going On Stream In September 2012, after 6 years’ preparation, the automated production line of polymerized color toner was completed. It is definitely a breakthrough not only in China, but also in the world. Its production capacity is expected to reach 1,500 metric tons per year. The plant housing the production line covers an area of 7,000 square meters. It’s said the entire manufacturing process, from material filling to packaging, is automatic. Moreover, two to three chemical methods of manufacturing can be applied in this production line. Most visitors could not help but heap praise on the innovative accomplishment. “Amazing!” is word many observers uttered. Memory of those days seemed to come alive. Shunquan Zhu paused for a while and smiled, “I’m proud that the design of the entire production line was completed by our
team independently. Have you ever seen toner flowing freely and, like water, seeking its own level? The mobility of our chemical toner is that good and it flows smoothly without additives.” Dinglong’s chemical toner powder consists of ulttrafine particles that produces high resolution images, has a high transfer efficiency and delivers a high page yield. The three-layer-structure of each particle has a soft core for low temperature fusing and a hard shell that ensures high flow mobility and prevents caking in storage. The toner also contains a specially designed CCA that guarantees stable electrical charge acquisition and high print quality. Shunquan Zhu confidently remarked, “Theoretically, we can supply customized product to every client.” His confidence comes from Dinglong’s leading engineering team which has a profound knowledge of toner, copiers, printers and cartridges. A Fully Integrated Producer Earlier in 2011, Dinglong purchased more than 50% share in Nantong Longxiang Chemical Technology Co. Ltd., one of the leading pigment suppliers in China. This investment increased Dinglong’s competitive position in regard to the cost of manufacturing color toner—which is comprised of 50% pigment. Apart from CCA, Dinglong produces most of the necessary ingredients for toner such as pigment and wax dispersions. That means Dinglong has completed its own supply chain, integrating completely from raw material to finished product. “We’re the only company in this field that managed to achieve this,” claimed Shunquan Zhu.
Planning 10 Years Ahead During our interview, Shunquan Zhu has mentioned more than once how he admires the patent awareness and managerial philosophy of Japanese companies. From those companies, he discerns the R&D trend for the industry and also applies their advanced management methods to his own company. “In developed Japanese and American countries,” says Shunquan Zhu, “first-rate companies plan ahead for the next 20 years, second-rate companies plan for the next 10 years, and third-rate companies plan for the next 5 years. Currently, we’re planning for the next 10 years.” The Zhu brothers never bask in the success of their chemical color toner. They never cease moving ahead. They are currently dedicating the company to other R&D efforts so as to better prepare for the color future. Dinglong is one of the very few publicly listed companies in the imaging consumables industry. Since 2010, when it first went public, its stock price has doubled. For the future, Dinglong aims to maintain its position as a high quality, leading edge, chemical material supplier. Although toner-related sales account for no more than 40% of Dinglong’s total revenue, Shunquan Zhu is confident that its potential room for growth, especially for chemical color toner, will increase that share. He plans to grab more than 50% of the market in this field within 5 years. “The demand for a high quality, low cost, stable color toner will continue to grow in the years ahead,’ he predicts, “and Dinglong has the technology and infrastructure to satisfy customers around the world.”
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HP Announces 5% Decline in 2012 Printer Revenue HP announced financial results for its fourth fiscal quarter and full fiscal year ended Oct. 31, 2012. The data show revenue of $30 billion was down 7% year-over-year ( YoY ) compared with 4Q2011. For the full fiscal year 2012, net revenue of $120.4 billion was down 5% from FY2011.
Printing revenue declined 5% YoY with a 17.5% operating margin. Total hardware units were down 20% YoY. Commercial hardware units were down 15% YoY, and consumer hardware units were down 22% YoY.. “We’re starting to see progress in key areas, such as new product releases and customer wins,” said Meg Whitman, HP’s CEO. “We’re particularly pleased that in 4Q2012, we were able to improve our balance sheet, generating $4.1 billion in operating cash flow, and returned $384 million to shareholders in the form of share repurchases and dividends.”
BLI Names Canon World Leader in Imaging Solutions Buyers Laboratory Inc. (BLI), the printer test laborator y, has announced several imaging awards based upon rigorous, in-depth tests. BLI named Canon Europe the worldleader in imaging solutions and granted its Line of the Year award to the Japanese OEM for energy efficiency. Canon also had 6 printers cited for outstanding achievements. BLI says those devices consumed between 37% and 62% less energy than their respective competitors. These machines also demonstrated excellent performance in specialty modes, such as, job review, proofing, toner-saving, automatic, double-sided printing and the ability to fax or scan without fully warming up the printer. The 6 printers were Canon’s: imageRUNNER ADVANCE 6075, 4051i, 4025i and C2030i Series, and its i-SENSYS Laser Beam Printers: LBP6670dn and LBP6680x In granting the awards, Pete Emory, BLI’s Manager of Laboratory Testing noted, “Canon’s
commitment to producing energy-efficient products has been clear for the past few years now. But we haven’t had as complete a sampling of its product line until now. Now, with highly energy-efficient monochrome and color devices ranging in speed from 20 ppm to 75 ppm it’s plain for anyone to see the significantly lower than average energy results available throughout Canon’s A3 product line.”
Lexmark Shows Promise after Exiting Inkjet Lexmark reported its business roundup on December 3, 2012 highlighting new product invention, contract wins and industry recognitions. Since its exit from the inkjet business, Lexmark has developed its business in laser printers, software and MPS areas. In what it called the largest product release, Lexmark rolled out 42 new printers and MFPs. To pair with the printers, Lexmark also introduced Unison® toner for higher image quality. Other new inventions include Perceptive Software, compatible with the newly released Windows 8, and Secure Content Monitor, which addresses printer security issues. Lexmark has also reported favorable news in business contracts. In October, the Lexington, Kentucky based OEM was awarded a fiveyear contract worth $20 million from Statoil to become its only print solution supplier. Software solution segments are also creating new opportunities. The company has received contracts from major customers like ING Group and Altru Health System. Besides recognition from business partners, Lexmark has again won notable distinctions from Gartner. A recent report puts Lexmark in the leading position in two Magic Quadrants: MPS and printer/MFP, crediting the company’s knowledge and expertise in these growth sectors. Alhough Lexmark’s third-quarter revenue remained gloomy; the company continues to believe firmly in its future financial performance.
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OEM News
IDC Reports 5.0% Drop Worldwide in Wide Format Printer Sales for 3Q2012
Xerox Offers Resellers New Ways to Expand A new offering called, Xerox Replacement Cartridge Line has been added to Xerox’s eConcierge consumables management program. Xerox eConcierge is a free service, allowing customers to order supplies for all eligible equipment (Xerox, HP, Samsung, Lexmark, Brother) with just a few clicks. It monitors all printers in a network and reminds users the level of ink/toner in the cartridge and sends out an alert when the level is low. Resellers who buy through Xerox’s distribution partner, Supplies Network, can now offer the eConcierge program to their customers. Xerox claims the new addition allows resellers to offer their customers savings through a lowercost, high-quality alternative to OEM cartridges. The company expects the new offering to help resellers expand by winning more orders and by setting up Managed Print Service (MPS) contracts for SMBs. “With these additions to Xerox eConcierge the door is wide open for resellers to take full advantage of what the program can offer their customers– and themselves,” said Kurt Schmelz, President, Xerox North American Reseller Sales. “Xerox is focused on helping resellers succeed by delivering unique products to differentiate them in the small business marketplace.”
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According to International Data Corporation (Framingham, MA) worldwide large format printer (LFP) shipments fell 5.0% overall, despite an increase in emerging markets. IDC’s Quarterly Worldwide Large Format Printer Tracker shows many emerging markets posted growth in the LFP market during the third quarter of 2012 (3Q2012), but these gains could not offset a decline in total worldwide shipments. Worldwide, shipments for 3Q2012 were 73,000 units. Emerging markets in Latin America, Central and Eastern Europe, and the Middle East showed continued positive growth, but shipments in these regions declined 3.9% year-over-year. At the same
time, mature markets declined 5.8%. "Although shipments have slowed over the past year, IDC expects large format printers to remain a significant market in the future," said Phuong Hang, Program Manager, Worldwide Large Format Printer Tracker. Ranking of the world’s top 5 LFP manufacturers remained the same as that of 2Q2012, with HP, Canon and Epson leading the way. HP’s market share declined slightly to 42.4% and Epson captured 20.4% of the total market. Canon’s shipments increased moderately in the third quarter compared to a year earlier, increasing its share to 16.2%. Océ and Roland followed, taking the No.4 and No.5 positions, respectively.
Worldwide Large Format Printer Shipments, Market Share, and Year-OverYear Growth, Third Quarter 2012 Vendors
3Q12 Unit 3Q12 Market 3Q11 Unit 3Q11 Market 3Q12/3Q11 Shipments Share Shipments Share Growth
1. HP
30,873
42.4%
34,347
44.8%
-10.1%
2. Epson
14,848
20.4%
15,228
19.9%
-2.5%
3.Canon
11,826
16.2%
11,193
14.6%
5.7%
4. Oce
2,408
3.3%
2,745
3.6%
-12.3%
5. Roland 2,258
3.1%
2,066
2.7%
9.3%
Others
10,674
14.6%
11,121
14.5%
-4.0%
Total
72,887
100.0%
76,700
100.0%
-5.0%
Some Samsung Printers Vulnerable to Hackers According to the United States Computer Emergency Response Team (US-CERT ), Samsung printers contain a hard-coded account that could allow a hacker to gain access to, and remotely control the device. In a security advisory, US-CERT warned that the hard-coded account does not require authentication and can be accessed over the Simple Network Management Protocol (SNMP) interface of the affected printers. This account remains active, even when SNMP is disabled in the printer’s administration interface.
Besides putting at risk the printers and data passing through these devices, it also endangers other systems on the network. Therefore, these printers could be the weak point enabling attackers to gain access to other devices on the network. In addition to Samsung brand printers, Dell printers made by Samsung are vulnerable to the same threat. However, the flaw seems to be confined to models produced before 31 October 2012. Samsung is working on a patch designed to protect the vulnerable devices against hackers and expects to release it later this year.
Recycling Times Magazine
OEM News
Xerox Blocks Import of Inks from South Korea Xerox has asked for help from American Customs and Border Protection agents to intercept some South Korean ink shipments, which were said to have infringed Xerox patents. The intercepted inks were from Hana Corporation of South Korea. Xerox said the
products had infringed its patents and applied for an ITC exclusion order to ban imports. According to Kurt Schmelz, President, Xerox North American Reseller Sales, “Xerox has long fought to protect its brand and warn customers that damage caused by third party inks and
toners is not covered by any Xerox warranty”.
Canon Dumps Océ Brand d From January 1, imaging solutions giant Canon will merge three existing businesses under one name in North America. Canon Business Solutions, Océ North America, and Océ Imagistics businesses will be merged into the new Canon Solutions America, Inc., a wholly owned subsidiary of Canon U.S.A. Inc. The Océ brand will cease to exist there. The move marks the final integration of Océ to Canon since the purchase of Océ in 2010. Canon Solutions America will provide sales and support for Canon and Océ hardware, software
and services targeting general office, production print and large format markets in the United States. Joe Adachi, president and CEO of Canon U.S.A., will serve as chairman and CEO of Canon Solutions America. "I am very pleased that the integration of the Canon and Océ businesses is nearly complete," said Mr. Adachi. "We have worked very hard these past three years to make sure our goal of creating the overall leading presence in the imaging industry will be realized. Canon Solutions America and the other companies
formed by the integration will be better positioned to meet the growing demands of customers locally, regionally and nationally by capitalizing on the strengths of each company and maintaining the superior service levels that customers require." The headquarters for the new company will be located on Long Island, N.Y., with offices located throughout the United States. As part of the company’s overall integration efforts, Canon U.S.A. also announced the change of name of several other departments.
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Recycling Times Magazine
Actionable Insights Charles Brewer
It’s All about the Economy Demand for hard copy is driven by GDP. It’s that simple. As the economy grows so does the need for “official” papers like contracts and all sorts of other business documents. Employment also follows GDP and as more people return to the workplace, more pages are printed. When the economy tanks, the converse is true. Aside from bankruptcy notices, not much hard copy is needed and no one is working so no one is printing. More than anything else, the fate of the supplies industry over the next few years is tied to ability of the world’s economies to grow and prosper. Unfortunately, recovery continues to be elusive and uncertainty hangs over many of the world’s markets. In Europe and Japan, for example, markets will remain weak as those economies struggle with domestic issues. The U.S. market is showing some signs of life but
recover y is far from certain as blowhard politicians take the U.S. economy to the brink of ruin. Unfortunately, all the uncertainty in the more established economies casts a pall on emerging markets and regional economies in Eastern Europe, South America, and much of Asia are adversely affected as a result. Despite the secular move away from hardcopy
as people use tablets, smartphones, and other forms of electronic media, businesses require printed materials and that need isn’t going away anytime soon. Let’s hope the problems that have dogged global economies since 2008 can be better addressed in 2013 and some of the persistent uncertainty that’s clouding the future starts to disappear. Once businesses sense recovery is near, printing will pick up again along with the consumption of supplies. Without some glimmer of economic hope, however, the supplies market will remain as soft as it has been since the start of the Great Recession.
www.action-intell.com
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Recycling Times Magazine
Tech Zone Mike Josiah
Remanufacturing the Samsung ML-3712 Toner Cartridge First released in September 2011 the Samsung ML-3712 series of printers are based on a 33-37 ppm engine with a maximum resolution of 1200 x 1200 dpi. The first page out is stated to be under 6.5 seconds. Depending on the model number, other options/specs are available including MFP versions (SCX). The MLT-D205E/L/S 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. These cartridges while look similar to other Samsung 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. See Figure’s 1 & 2 The standard cartridge (Samsung Part # MLT-D205S) is rated for 2,000 pages. The HY cartridge (Samsung Part # MLT-D205L) is rated for 5000 pages and the Extra High Yield cartridge (Samsung Part # MLT-D205E) is rated for 10,000 pages. As with pretty much all cartridges these days the cartridge has a chip and it has to be replaced each cycle. The OEM chips are regional so be sure to get the proper chip for your region. Most of the machines in this series when new ship with a 5,000 page starter cartridge. The MLT-D205S has a list price of $62.49, the MLT-D205L has a list price of $116.06, and the MLT-D205E lists for $173.40* *Pricing as of November 2011 There are quite a few machines both MFP and laser only that use these cartridges so far: • ML-3310ND • ML-3312ND • ML-3710ND • ML-3712ND Required Tools • Toner approved vacuum. • A small Common screw driver • A Phillips head screwdriver • Needle nose pliers Required Supplies • Samsung ML3712 Toner • New ML-3712 replacement chip (Check for the proper region)
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Figure 1
Figure 2
• ML-3712DW • SCX-4833FD • SCX-4835FR • SCX-5637FR • SCX-5639FR • SCX-5737FR • SCX-5739FW Cartridge troubleshooting will be listed at the end of these instructions. • New OPC drum (Optional) • New developer roller (Optional) • New PCR (Optional) • New wiper blade (Optional) • New doctor Blade (Optional) • Conductive Grease • 99% Isopropyl alcohol • Drum lubricating powder • Small tube of Silicone caulk
Recycling Times Magazine
Tech Zone
step >
On the contact side of the cartridge, slice off the slice off the heads of the 3 plastic rivets with a chisel blade knife. If your knife is too wide, you may find it necessary to drill out the upper recessed rivets on both sides. Leave the end cap on for now. See Figure 3
1
While still on the same side, locate the two tabs. Press in on each tab, and remove the end cap. The drum axle arm will come off with the end cap. See Figures 7, 8 & 9 step >
step >
On the opposite side end cap take the chisel blade knife and slice off the heads of the 3 plastic rivets. See above step for recessed rivets. Leave the end cap on for now.
2
On the right side end cap, Press in on the three tabs and remove the end cap. See Figures 10, 11, 12 & 13
4
Remove the drum drive gear. See Figure 6
step >
step >
step >
step >
The drum axle arms on both sides of the cartridge stay with the end cap. There is no need to remove them. See Figure 5
3
5
7
Separate the two halves slightly and lift off the middle top cover.
6
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Recycling Times Magazine
Tech Zone
step >
Pry up the chip cover. See Figure 24
step >
16
Lift up on the tab as shown, and press the chip out through the opening.
step >
step >
Remove the two screws from the wiper blade, remove the blade. It’s easy to remove if you slide it out from under the PCR holders. See Figures 20 & 21
12
15
17
Replace the chip. See Figure 26
step >
step >
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.
11
18
Replace the chip cover. See Figure 27
9
10
50
13
Clean out all the waste toner from the hopper. Make sure the seals are clean.
Remove the drum. See Figure 18
Remove the PCR from the assembly. See Figure 19 www.iRecyclingTimes.com
Carefully remove the wiper blade seal from the right (chip) side. Peel the seal back around 3�. See Figure 23 step >
step >
step >
step >
step >
Gently pry up on the tabs on both sides of the cartridge and remove the waste hopper. Be careful to hold the drum so it does not become damaged. Remove the drum/waste assy.
8
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19
26
Remove the developer roller. See Figure 37
27
Remove the 2 screws from the doctor blade, remove the blade. See Figure 38
step >
step >
step >
Install the new wiper blade and two screws. It is easier to install if you slide it in under the PCR holders. See Figure 29
20
step >
step >
Re-install the wiper blade seal. Use 100% silicon if the seal tore to prevent any leaks. Just like the OEM did, be careful not to use any silicon on the chip cover area. (Otherwise it will be very difficult to replace the chip on the next cycle. See Figure 28
step >
Tech Zone
24
28
Clean out all the remaining toner from the hopper.
Pry off the gear plate, remove the gears. See Figures 33 & 34
Make sure the doctor blade sealing foam and the developer rollers seals are clean and intact. See Figure 39 step >
step >
Place a small amount of conductive grease in the holders, and install the PCR. The long shaft side to the gear or non-chip side. See Figure 30
21
step >
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. See Figure 32
23
25
Remove the developer roller bushings from both sides.
29
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. See Figure 40 step >
22
step >
step >
Install the drum with the large gear to the gear or non-chip side of the drum into the waste hopper. See Figure 31
30
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Recycling Times Magazine
Clean and replace the conductive grease on the short shaft side of the roller. See Figure 45
Pull the tail of the seal through the seal port. See Figure 42
39
Fill the hopper with ML-2525 toner, replace the fill plug and check for leaks. See Figure 46
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. It should snap in place if installed correctly. See Figure 44
step >
37
Fit both sides of the waste hopper tabs into the toner hopper. See Figures 51 & 52
Replace the bushings on both side of the developer roller. See Figure 47
40
34
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step >
step >
33
Install the doctor blade and two screws. See Figure 43
Install the gear axle plate. See Figure 50
36
step >
step >
32
35
step >
Install the seal when available through the developer roller opening.
step >
31
step >
step >
Tech Zone
38
Install the gears in the order as shown. See Figures 48 & 49
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Tech Zone
Clean the hubs on the gear or right side end cap. Snap the end cap into place. See Figure 60
44
step >
42
Clean the contacts on the left side end cap, and replace the conductive grease. Snap the end cap into place. See Figures 56 & 57
step >
45
46
Install the drum drive gear. See Figure 63
The drum separators are fixed to the end caps. They should be set as shown. These arms keep the drum and developer rollers separated until the cartridge is installed in the printer. See Figure 64 step >
step >
step >
Slide the cleaned middle top cover/PCR cleaner assembly into place. Make sure the center tab fits under the edge of the doctor blade.
41
Drill 3 small holes that correspond to the screw size you’re using. Install the three screws into the end cap.
step >
step >
Drill 3 small holes that correspond to the screw size you’re using. Install the three screws into the end cap.
43
47
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Tech Zone
Samsung ML-3712 MLT-D205
Repetitive defect chart: Upper heat roller
77.5mm
OPC drum
75.6mm
Lower pressure roller
75.4mm
Supply Roller
49.0mm
Transfer roller
47.0mm
PCR
37.5mm
Developer roller
35.0mm
Printing test pages Depending on the model machine you have, there are different control panel configurations. To have test prints run on the laser printers, press the Menu button and scroll to the INFORMATION menu. From there you can select the Menu map, configuration, supplies info, demo, fonts etc pages.
2013 Event Calendar January 26-29
February 21-23
March 5-7
Paperworld
ReIndia Expo
Paperworld Middle East
Frankfurt, Germany www.paperworld.de
Bangalore, India www.rechargermag.com
Dubai www.paperworldme.com
April 17-18
May 16-17
May 21-23
ITEX 2013
RechargEast CIS Expo
BUSINESS-INFORM 2013
Las Vegas www.itexshow.com
Kiev, Ukraine www.rechargeastexpo.com
Moscow, Russia www.sforp.ru
June 18-20
July 9-11
October 17-19
Reciclamais South American Expo
World Expo 2013
RemaxAsia & iPrint (China) Expo
Sao Paulo, Brazil www.reciclamais.com
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Las Vegas www.worldexposhow.com
Zhuhai, China www.iRecyclingTimes.com