Christian Sandström holds a PhD from Chalmers University of Technology, Sweden. He writes and speaks about disruptive innovation and technological change. In May 2005, the German-Belgian camera and film manufacturer AgfaPhoto went bankrupt. Later, the AGFA building in Munich was demolished with 125 kilos of explosives. The shift to digital imaging put the former industrial giant AGFA out of business after about a century in the camera and film industry.

1. Camera
Demolition

2. Christian Sandström holds a PhD from Chalmers
University of Technology, Sweden. He writes and speaks
about disruptive innovation and technological change.

3. In May 2005, the German-
Belgian camera and film
manufacturer AgfaPhoto
went bankrupt.

4. Later, the AGFA building in
Munich was demolished.

5. An old business which had been
profitable for many decades was
now literally blown into pieces
within a few years.

6. A lot of people came to watch
this spectacular event.

8. The company said:
"AgfaPhoto has been
suffering from intense
competition in the market lot
traditional photographic
equipment and products,
and the shift among
consumers towards digital
products."

9. In a statement, workers'
representatives described it
as "a development that is
both surprising and painful."

10. 125 kilos of explosives
later the building hit the
ground.

17. AGFA used to make
consumer cameras…

18. … And film.

19. The shift to digital imaging
put this former industrial
giant out of business.

23. AGFA had
been in the
camera and
film industry
for about a
century.

32. Compact,
user-
friendly
amateur
cameras
had been
sold for
decades.

35. Within a few years, people
stopped buying film.

37. And in the camera business,
AGFA simply couldn’t keep up
with the Japanese dragons.

38. No film sold, no
cameras sold.

39. Once a great competitor to
Kodak, keeping them from
complete hegemony…

40. … is now out of business.

41. In 2001 the company announced that about 4000
employees will be laid off over the coming three years.

42. In 2004, the
photography
section of
AGFA was
divested
through a
management
buyout.

43. Prior to the buyout, AGFA
had tried to sell the
company through press
statements…

44. Sounds pretty desperate…

45. But once the buyout had
taken place, the new CEO
spoke confidently…

46. On a press conference, Bing
Liem, CEO of AGFAPHOTO
North America, said:

47. "We feel very strongly we’re
positioned for success…”

48. One year later,
AGFAPHOTO went
bankrupt.

49. Words don’t
change facts.

51. Since the company had a
competence base in precise
mechanics and chemistry,
attempts in digital imaging
were outsourced.

52. The German consumer
electronics firm PLAWA
manufactured cameras
for AGFA.

53. Comparing these
products to what the
large Japanese firms
could make, they were
clearly inferior.

54. A couple of reviews
from consumers:

55. “Never buy this camera.
Slowest digital camera
ive ever seen. Slowest
shutter lag and very
slow at even viewing
your images.”

56. The camera doesn't
make sharp pictures
and the colours aren't
good. I have another
digital camera, a
Olympus C-830L, this
camera makes much
better quality pictures!
My opinion: this camera
isn't worth the money!!!!

57. “i don´t like everything”

58. “Nice toy, and only as a toy.”

59. “This is a so-so camera, but really ices
the cake is that when the thing broke
(the LED screen began to leak) tech
support was AWFUL. They sent me two
refurbished cameras, neither of which
worked AT ALL. They refused to test the
cameras before sending, or to get me a
new one. Unrelenting complaining
FINALLY got me a refund.”

60. “Plawa's first stab at an Agfa-
cam isn't looking too incredibly
hot… The metal housing looks
durable, but incredibly bulky, and
there's no word on optical image
stabilisation or any other fancy
specs.”

61. If the camera business
went so-so…

62. The film business
was collapsing…

65. No medicine can cure a
business which there is no
demand for at all.

66. Virtually no one is
consuming film, and those
who used to produce it had
two options: change their
business or die.

67. Agfa ended up in
the latter
category.

68. “A development that is both
surprising and painful."

71. Another one bites the dust.

72. Image attributions

73. Find out more:
www.christiansandstrom.org