More info...

[Jannard]

I think it is only fair to speak clearly about our current situation... which is not good.

1. We had taken payment from customers the past month as production ramped up and we anticipated that most of our production problems were solved.

2. At NAB, a very large number of reservation holders, that had previously passed on taking their cameras, stepped up ready to go.

3. At the same time, we had an issue with a supplier. That put us back. And we had collected money from customers and have kept them waiting while we quickly dig out of this hole. We applaud our customer's patience (for the most part) through this.

4. Today, we had more bad news. Upon inspection of the newest batch of sensors... we have a significant number of rejects for bad cover glass. Just when we thought nothing more could go wrong... it did. We are scrambling to speed up sensor production and fix the cover glass issue, but we will NOT ever send out cameras with sensor issues of any kind.

5. So here we are. Customers sent money in for their cameras on our request. While we fully believed we would ship their cameras, we are now in a bad place. I am prepared to refund the money to every customer until we catch up and have their camera in hand and boxed for shipment. We have not stopped production, but the current cover glass issue has severally (and temporarily) slowed production at the worst possible time.

We will contact all those that have paid in full to see if they prefer to have the money in their possession until this drama ends.

We established an open policy early in the game. Now is not the time to change that. We tell the good news and the bad news. It is what it is.

We are listening carefully to your comments and suggestions and will do whatever we can that is in the best interests of our customers.

As with every obstacle that has come before us... we will get past it. The only damage to this program has come in the form of "time lost". I wish we could make the time up... we are trying.

Jim

 

[Greg M]

Thanks for the honesty!

 

[Gino Papineau]

I take this situation in peace.

Keep on, Jim and the RED team

 

[Craig Bowman]

Stuff happens and you've always been upfront. Its happened in the past and it will likely happen in the future. You've always got my complete support and I'm happy always to vote that support with my wallet.

The Red One has performed rock solid on all of my pro shoots. Just finished a greenscreen shoot with Leslie Nielson in Edmonton and the Red was as much a star amoungst the crew as Leslie was.

I don't think Red would have performed as well if you hadn't made some of those important delays early in the process. You made it happen.

I hope the latest batch see what you've done and take it in stride.

Thanks Jim!

 

[Scott Webster]

The Red One has performed rock solid on all of my pro shoots. Just finished a greenscreen shoot with Leslie Nielson in Edmonton and the Red was as much a star amoungst the crew as Leslie was.

Shirley you can't be serious? :clown2:

 

[Gunleik Groven]

Good to know. Cover glass... Is that the IR filter, too?

 

[Matthew Rogers]

I had been suspecting that one of your suppliers had been screwing around with you. Sorry to hear about the sensor problem. Seems like no one makes like they used to (which explains why my new tools break and my grandfather's old tools don't)

I think I speak of alot of customers when I talk about money and interest on loans. Yes, I would love to have the $22k back in my bank account so I am at least paying a little less interest, but my concern is "getting out of line" if I take my money back for the time being. What have you thought about Jim with keeping paid people's place in line, but giving them back their money for right now. My issue is that I don't mind doing that, but when my camera IS actually ready to ship, I don't want to pay another hefty wire transfer fee or wait two weeks for a check to arrive and clear.

Truly, for me, the issue is, because of the supplier issue and now the sensor issue will my camera that I paid for today arrive by the end of May. Even if it ships May 31st, that's fine. I will leave my money with you and just eat the interest. However, if we are talking into June, then I would be more open to getting my money back for right now--*IF* I didn't lose my place in line.

Thanks for being honest and open Jim. You will truly gain more, and better customers because of it.

Matthew

 

[R. Gonzales]

Hi Jim,

How long do you think it will take to fix a cover glass problem if a camera was sent out and then returned to you for repair?

Method

 

[Jeff Kilgroe]

Jim,

Thank you for all the information. I appreciate these updates, as I'm sure many others do. You can hold on to my money, I just want my camera... When it is ready.

 

[chuck colburn]

I don't expect an answer to this question... but if you care to tell, what's wrong with the sensor glass (is that olpf or is there a seperate one above the sensor?) Surface quality, parallelism, mounting, coating etc. It's just the old tech in me that makes me wonder.

 

[david farland]

Jim,
We asked you to be this quick in your production of Reds.
If I can't find 2500 posts from people that haven't implied this, I'm on the wrong forum.
If we like to admit it or not......this stuff will happen and should be expected. I guess it's a little of the pioneer wagon trail making a turn and hitting the quicksand.
Also everybody is a genius after the event and knows how they would have done it better.
You're doing your best, people will be disappointed and i'm sorry for them.

but do you know what...I thinking we're starting to learn a little what you're up against.....and we're starting to be less like demanding kids and give you a break.

Dave,

ps: where is my Epic...?

 

[Paul Hazlett]

Shirley you can't be serious? :clown2:

I am serious...and stop calling me Shirley

 

[michael zaletel]

An Asset Untapped.

An Asset Untapped.

...We established an open policy early in the game. Now is not the time to change that. We tell the good news and the bad news. It is what it is.
...
As with every obstacle that has come before us... we will get past it. The only damage to this program has come in the form of "time lost". I wish we could make the time up... we are trying.

Jim

Hello Mr. Jannard:

Is there anything the RED community can do to help you? Perhaps in the form of additional manpower, programmers, or research into alternative sources of supply for various components.

This is truly an amazing group of people and although it would be unprecedented, I really think many of the best and brightest among them would (without hesitation) sign NDA's and spend a few hours a day or even a few days a week donating manpower towards helping you to solve various challenges. These are people that you couldn't hire if you tried but who would gladly stand by your side for free and offer lifetimes of experience, contacts, ideas and implementation abilities.

Reach out to us, put us to work, we'd rather help you ship 5,000 Red Ones by December than post threads from the cheap seats any day.

Sincerely,

-shooter

 

[C.B. Lorch]

I'll hand over the cash to anyone with money in, who's willing to swap their spot with mine. :whistling:

What? No takers? I thought not. I guess it isn't that big of a deal to have that $ out there after all!

 

[Jannard]

1st off, no one will lose their place in line if we send the money back until their camera is ready.

It is a sensor cover glass issue, not a sensor issue. The cover glass is part of the sensor package and not removable once installed so these sensors will be scrap. It is a completely separate issue from the OLPF, which is replaceable if damaged.

We appreciate the understanding and support. It would be nice if this stuff never happened, but we are learning this business trial by fire. I expect that the lessons we are learning now will serve us well in the future. If they serve is well... we can serve our customers better.

Jim

 

[Warren Kommers]

Are EVF shipments delayed as well?

 

[Mike Prevette]

Thanks for some honest information Jim. I'm willing to deal with some delays as long as I can justify them with reasons, and not just mystery delays. Luckily I paid with cash I had and so I'm a lucky one in that I'm not loosing interest payments on it.

However it does put me in some awkward positions trying to explain to my producers, and customers why "that fancy new camera" isn't here yet. It's not doing a lot to help REDs reputation. Agency producers and Line producers smell fear, and don't take risks on unproven technology if there is a hint of instability. I can't keep using the "NAB delay" as an excuse forever. I know these fears will disappear once they get used to the amazing imagery pumping out of it. In the mean time I'm still using the RED as a rental item. I would love to be putting that money in my pocket, but getting my clients hungry for the camera is more important right now.

 

[Jannard]

Thanks for some honest information Jim. I'm willing to deal with some delays as long as I can justify them with reasons, and not just mystery delays. Luckily I paid with cash I had and so I'm a lucky one in that I'm not loosing interest payments on it.

However it does put me in some awkward positions trying to explain to my producers, and customers why "that fancy new camera" isn't here yet. It's not doing a lot to help REDs reputation. Agency producers and Line producers smell fear, and don't take risks on unproven technology if there is a hint of instability. I can't keep using the "NAB delay" as an excuse forever.

Send your producers a link to this thread... I'll be happy to field a call if necessary.

Jim

 

[Michael "Dorkman" Scott]

My money's probably better off in your hands than mine. Otherwise I'd just spend it.

I echo Jeff. I'll just be on pins and needles until I get my tracking numbers.

 

[tylerhawes]

We experienced some painful delay on our first camera and just put money down on the second camera not long ago, so we're among those waiting.

It sounds like for people like us you will allow us to have back the use of our funds but continue getting our camera ready and let us have it just as soon, only we'll pay you when it's actually good to go this time. Please correct me if I'm wrong...

Lastly, may I suggest you consider a permanent change of policy on payments for reservation holders, and not just this one-time exception? It really seems like we already have money down, you should be building the camera and calling us when it's ready to ship to get payment at that time (or maybe the day before, etc.). This would also be a lot easier if you relaxed your policy about only allowing $7,500 to be on a credit card, which is very weird to me. Lastly, it's very strange to me that I must allow my professional digital cinema camera to be delivered by the UPS guy who throws my boxes around in amusement, rather than at least have the option to pick it up at your offices.

I mean that all constructively, and it's based on our experience with #452 of all the things that were off-putting and seemed very foreign compared to our usual experience with professional cinema equipment companies. Today is day 2 shooting our first feature with RED and the beautiful imagery certainly helps me forget all the hassle it took to get to this point. But if you're listening for ways to benefit your customers (as I take you at your word that you are), those are some big things at the top of my list.