News
Philips acquires iPod accessory maker DLO
By LC Angell
Senior Editor, iLounge
Published: Friday, April 13, 2007
News Category: iPod Accessories
Philips announced today that it will take over Digital Lifestyle Outfitters (DLO), folding the iPod accessory maker into its Peripherals & Accessories unit.
“Through this deal, Philips will become a leading player in peripherals and accessories for the mobility domain, which will further strengthen Philips’ contacts to key international retailers—relationships based on solid category management and operational excellence,” Philips said in a statement. “DLO’s position as a leader in the field of MP3 accessories complements Philips’ strong position in the headphones category.”
Philips said DLO had sales of approximately $100 million in 2006, and that the company is expected to make a positive contribution to operating margins in Philips’ Peripherals & Accessories business unit.
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1
I wonder if Philips plans on doing more than switching product labels...DLO has a history of selling exciting accessories that do not function as advertised. I suppose legions of dissatisfied customers is irrelevant if this practice remains profitable. It’s just that DLO never really had a brand name to dilute. Philips does.
Posted by Matt L. on April 13, 2007 at 11:04 AM (PDT)
2
“DLO has a history of selling exciting accessories that do not function as advertised.”
So does Philips.
Posted by malren on April 13, 2007 at 3:10 PM (PDT)
3
So does Philips.
Maybe that’s why they’ll be such a perfect fit. No announced price, I see.
Posted by flatline response on April 13, 2007 at 4:52 PM (PDT)
4
Man, $100 million in sales last year. I’m in the wrong business.
Posted by Boner on April 13, 2007 at 6:43 PM (PDT)
5
$100M gross, I suspect. State that figure net of refunds/returns and I bet it’s considerably smaller!
Posted by Matt L. on April 14, 2007 at 3:41 PM (PDT)
6
subtract out Apple’s MFI tax and DLO has a net loss for the year.
Posted by Lounger on April 14, 2007 at 5:03 PM (PDT)
7
Wow, just reviewed the DLO website.
It looks to me like Philips just bought the phone numbers to a bunch of Chinese trading companies.
Suckers!
Posted by Lounger on April 14, 2007 at 5:06 PM (PDT)
8
Just bought one of DLO accessories for the 1st gen shuffle. It was the extension usb to charge or sync. I paid 50 cents at wal fart. Good to hear there will always be old ad ons at discount prices. This keeps the old toys still a playin. Also keeps these great music players in more peoples hands.
Posted by mango on April 15, 2007 at 8:55 AM (PDT)