Summary of The Rapid Collapse of the Swedish Mechanical Calculator Industry

00:00:00 - 00:20:00

The Swedish mechanical calculator industry experienced a rapid decline in the early 1960s, due to the introduction of digital calculators by competitors. Facet, one of the early entrants into the market, was unable to maintain sales and profitability, due to a variety of factors, including a changing marketplace and unfavorable relationships with its suppliers. The company was eventually acquired by Addo, but the Agrel family's interference with plans to consolidate the two companies led to the gradual loss of profits and the eventual demise of Addo.

• 00:00:00 This video discusses the rapid collapse of the Swedish mechanical calculator industry, which began in the early 1990s. Over the course of just two years, the industry went from millions of dollars in profit to annihilation. The company that made the calculators, facet, was acquired by its bank, which then moved its production to the city. Elf Ericson, the company's CEO at the time, left to open his own design office, but it failed.
• 00:05:00 In the 1920s and 1930s, Swedish company Facet was one of the leading manufacturers of mechanical calculators. However, in the 1950s, Facet's competitors, Saab and IBM, began to catch up, and the company began to struggle. In 1957, Facet hired a team of engineers from the Swedish Board of Computing Machinery, known as the "Best Boys," and succeeded in building another BASIC machine, but the project cost so much money that it was unable to cover its costs. By the early 1960s, Facet had ceased production of mechanical calculators.
• 00:10:00 The Swedish mechanical calculator industry experienced rapid collapse in the early 1960s due to the introduction of digital calculators by competitors. Facets, a company that was one of the early entrants into the market, was unable to maintain sales and profitability due to a variety of factors, including a changing marketplace and unfavorable relationships with its suppliers.
• 00:15:00 In 1966, Swedish company Addo acquired competitor Facet for cash and stock. However, the Agrel family's interference with plans to consolidate the two companies led to the gradual loss of profits and the eventual demise of Addo. In 1971, fastened went from 25 million krona in profit to a stunning 54 million krona loss, leading to the dismissal of 1,500 people. In 1972, another 2,400 people were dismissed and the stock crashed from a high of 390 kroner to just 60 kroner. In the 1970s and 1980s, Addo tried to make office computers but continued to lose money. In 1998, Facet was fully liquidated.
• 00:20:00 The Swedish mechanical calculator industry was struggling before its launch 10 months ago. However, the company's focus on marketing and branding led to little regard for what was actually being sold. As a result, the industry saw a slow decline in sales until the devices became relics of the past.