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Plastic Aircraft Model Kits are Going Away
StrategyPage ^ | 1/31/05

Posted on 01/31/2005 7:41:53 AM PST by pabianice

January 31, 2005: For over half a century, kits have been sold that enable military history buffs to assemble scale models of military ships, aircraft and vehicles. But that era is coming to an end, as the manufacturers of the original equipment, especially aircraft, are demanding high royalties (up to $40 per kit) from the kit makers. Since most of these kits sell in small quantities (10-20,000) and are priced at $15-30 (for plastic kits, wooden ones are about twice as much), tacking on the royalty just prices the kit out of the market. Popular land vehicles, which would sell a lot of kits, are missing as well. The new U.S. Army Stryker armored vehicles are not available because of royalty requirements. Even World War II aircraft kits are being hit with royalty demands.

This move grew out of the idea that corporations should maximize "intellectual property" income. Models of a companys products are considered the intellectual property of the owner of a vehicle design. In the past, the model kits were considered free advertising, and good public relations, by the defense firms. The kit manufacturers comprise a small industry, and the aircraft manufacturers will probably not even notice if they put many of the model vendors out of business.

Some model companies will survive by only selling models of older (like World War I), or otherwise "no royalty" items (Nazi German aircraft) and ships. But the aircraft were always the bulk of sales, and their loss will cripple many of the kit makers.


TOPICS: Business/Economy; Culture/Society; News/Current Events; Philosophy
KEYWORDS: dumbideas; hobbies; toys
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To: pabianice

Sad. Really sad. I guess model building goes bye-bye for our young boys now, too. Not many seem interested in such a slow, meticulous activity now, anyway. Most 'models' on the shelf are pre-painted, snap-together, and instantly gratifying.

Question -- how many images of such vehicles are used in video games?


41 posted on 01/31/2005 8:31:20 AM PST by polymuser
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To: skeeter
The Profit Takers will get around to screwing everybody, sooner or later.

Liberals hate "profit takers".

The market will work around this minor "problem". But of course liberals don't have any faith in the market.

I know you're not a liberal since you are on this site. The question is, where did you develop this liberal trait?

42 posted on 01/31/2005 8:33:17 AM PST by Protagoras (No one is fit to be a master and no one deserves to be a slave. GWB 1-20-05)
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To: orionblamblam
however: what this came from, at least with Boeing, is that some brat somewhere choked on the engine pod of a model of a Boeing jetliner... and *Boeing* got sued.

Ummm ... the internet being what it is, I must ask: Is this sarcastic speculation on your part, or is this an actual recitation of the facts?

43 posted on 01/31/2005 8:33:59 AM PST by ArrogantBustard (Western Civilisation is Aborting, Buggering, and Contracepting itself out of existence.)
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To: null and void
From: Graxx, Thrult, and Steinberg, Attys.-at-Law
Admitted for practice in NY, CA, DC, and Alpha Centauri

Sir(s):

It has come to our attention that your company, Garage Modelers Inc., is producing an unauthorized model version of Flying Saucer XD-31b, the copyrights to which reside with our clients, the Slime Tentacled Frazzulators of Zeta Reticuli.....

44 posted on 01/31/2005 8:34:10 AM PST by general_re (How come so many of the VKs have been here six months or less?)
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To: orionblamblam
What makes you think kit makers have the moolah to afford the lawyers required for the court challenge?

It's a matter of is it cheaper to cease and desist, litigate or settle? If the kit makers cease and desist, they effectively exit the kit making business. With respect to a decision to litigate or settle, a settlement on terms described by the story would mean the kitmakers effectivly exit the market as kids won't be saving soda bottle return money for a $40 model. So, if the kitmakers want to continue mass marketing kits, they will have to litigate.

I don't think the case would ever make it to trial as the kit makers would likely win summary judgement of non-infringement due to multiple invalidity defenses.

All that is my non-legal opinion based on personal experience.

45 posted on 01/31/2005 8:34:30 AM PST by fso301
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To: Conspiracy Guy
Ridiculous.

Second that..!!

46 posted on 01/31/2005 8:35:21 AM PST by Osage Orange (Why does John McCain always appear to be grinning like a mule eating cockleburs?)
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To: norton

> Got any good obscure non-space stuff?


You betcha. Behold (blatant self-promotion mode ON):

http://www.up-ship.com


47 posted on 01/31/2005 8:36:58 AM PST by orionblamblam
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To: ArrogantBustard

> Is this sarcastic speculation on your part, or is this an actual recitation of the facts?

It's what I was told by Boeing reps when I first looked into Doing The Right Thing And Getting A License. Maybe the rep lied or was misinformed... but let's face it, it hardly sounds unlikely.


48 posted on 01/31/2005 8:38:55 AM PST by orionblamblam
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To: Dr. Frank fan
Let's see, I'm no actuary, but seems to me that demanding X+Y royalties on 0 sales rather than X royalties on N sales will not help you "maximize intellectual property income" in the first place.

You apparently aren't a graduate of business school. More and more, I am finding that companies exist as a small core of competent people getting something done surrounded by huge numbers of useless, unproductive people searching out meaning for their existence at the expense of everyone else.

Unfortunately, the useless people eventually wind up running the place...right into the ground.

49 posted on 01/31/2005 8:40:29 AM PST by hopespringseternal
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To: pabianice

Model Railroading hobbyists have run into the same thing with the Union Pacific, which is now demanding a fee from model companies in order to reproduce their logo.


50 posted on 01/31/2005 8:42:08 AM PST by HolgerDansk ("Oh Bother", said Pooh, as he chambered another round.)
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Comment #51 Removed by Moderator

To: Protagoras
The question is, where did you develop this liberal trait?

I guess I should be insulted.

Notice I said nothing about inhibiting their pursuit of profit. I do believe there are other considerations as important, sometimes even more so.

In this case, I would think that encouraging certain interests - such as in our military hardware, or simply working with their hands instead of playing video games or watching TV - in our kids would be beneficial.

But no, someone saw a chance to make a buck.

52 posted on 01/31/2005 8:42:24 AM PST by skeeter (OBL "Americans" won't honor any law that interferes with their pocketbooks)
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To: Osage Orange

If someone was building Real F16's from a Monogram kit, that would infringe on intellectual property. Lawyers and accountants are ruining the world.


53 posted on 01/31/2005 8:43:34 AM PST by Conspiracy Guy (If only I used my evil genius for good !)
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To: pabianice; Imaverygooddriver; AppyPappy; All
Take heart, modeling FReepers - Great deals still abound on this here internet thingy!

Plastic-Models.com

Discount Plastic Models

CarCrazy.net (actually a wide variety of stuff)

Intrnational Hobby Supply

Testor's Model Kits

Model Roundup.com (vintage kits)

Frontier Models UK (lots of scifi & movie related)

54 posted on 01/31/2005 8:44:39 AM PST by NewRomeTacitus (Unrepentent politically-incorrect Nativist who believes America comes first (because we earned it)
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To: polymuser

Funny. I regularly go to three hobby stores, and they are well supplied with traditional glue-together model kits.


55 posted on 01/31/2005 8:47:22 AM PST by buwaya
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To: Conspiracy Guy
If someone was building Real F16's from a Monogram kit, that would infringe on intellectual property. Lawyers and accountants are ruining the world.

I disagree...............................with your use of the word "are".

56 posted on 01/31/2005 8:48:59 AM PST by Osage Orange (Why does John McCain always appear to be grinning like a mule eating cockleburs?)
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To: Imaverygooddriver

How about a feminist who wants to eliminate "war toys"?

These idots better remember that future VOTERS make these models. FUTURE VOTERS who will buy their stocks. future voters who will support their senators making/keeping the programs ALIVE.

Now if they don't exist , there will be no nostalgia to continue.


57 posted on 01/31/2005 8:49:29 AM PST by longtermmemmory (VOTE!)
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To: pabianice

I don't see how they can get away with this, since it is not generally their intellectual property. Most of these items have been designed at the behest of the U.S. Military and paid for by the U.S. taxpayers.


58 posted on 01/31/2005 8:50:02 AM PST by Frumious Bandersnatch
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To: pabianice

Anbd another childhood hobby shot to hell.


59 posted on 01/31/2005 8:51:00 AM PST by shellshocked
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To: NewRomeTacitus

My favorite -

http://www.squadron.com/


60 posted on 01/31/2005 8:51:25 AM PST by buwaya
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