Wouldn't it figure -- the company synonymous for charging absurd amounts of coinage for products that are debatably no better than the copper-laced
counterparts available en masse for much less is cutting 120 jobs, only to replace them with outsourced labor. While we fully understand the "
business demands of the 21st century," as Mr. Lee so aptly implied, there's something to be said when you're
suckering folks into buying cranking out
$100 HDMI cables and
$70 iPod controllers, yet can't afford to hook your loyal employees up with anything more than "four weeks severance" and a dash of "counseling." What's notable about all this is that prior to this recent batch of layoffs, excessed employees received "four weeks pay plus one additional week of pay per year of service." Furthermore, many employees say the job searching assistance is "worthless," as they really have no desirable skills besides the one's learned at
Monster. 'Tis a shame to see the folks let go, but we're fairly certain the firm's (supposed) cash drought isn't due to a lack in markup.
[Via
CEPro]
Reader Comments (Page 1 of 1)
Rishard Chapoteau @ Dec 13th 2006 11:51PM
In the era of digital cables, Monster is becoming unnecesary. I'm not surprised that they are having financial issues. They need to adapt to the curent market and pricing structure of HDMI cables or they are screwed.
IseWise @ Dec 14th 2006 12:45AM
I cant believe they are still in business. Their cables are so over priced, I guess the only people keeping this company afloat are the suckers who get sold into buying the cables from a Best Buy associate.
rikemomo @ Dec 14th 2006 1:26AM
I never buy stuff from Monster. They are too corporate and too overpriced. I try to use small online retailers for my cables and that kind of thing--I have a much better idea of who I am giving my money to, and the build quality is much, much better (in my experience).
that sucks they are doing this right before the holiday. insane.
Ken @ Dec 14th 2006 1:54AM
Have you noticed Monster getting less and less shelf space in retail stores as house brand and other brands of cables move in?
How many people actually buy Monster Cable online? Like 5...ever?
SimbaDogg @ Dec 14th 2006 3:15AM
audioquest FTW
zombieflanders @ Dec 14th 2006 9:11AM
Feh, Audioquest is just as bad. Even if you're running $20K worth of equipment, they won't be any different than Monoprice.com, Radio Shack Gold, or BlueJeansCable.com.
Seriously, these Monster/Audioquest/Knuconceptz.com/etc all refuse to submit to double-blind tests because they know people won't see or or hear any difference with the stuff they can get for $20 anywhere else.
GhostDoggy @ Dec 14th 2006 5:18AM
IseWise, never underestimate an ignorant consumer. And never underestimate the money to be made by ignorant consumers in gross numbers. How else does Monster and Bose stay alive?
Unfortunately, someone I know spent $20 at Best Buy for a six-foot s-video cable. I just shook my head in disbelief. I suggested he try monoprice dot com in the future, to return his original purchase, and will provide him with a quality cable for free.
humpty @ Dec 14th 2006 7:39AM
Why does Monster need so many employees in the first place; all they do is contract development and production out to Chinese OEMs. The only employees they need are marketing folks and administrative staff.
VinylVision @ Dec 14th 2006 9:21AM
Too bad about Monster's layoffs which I assume were in the USA. Monster recently started to diversify its product line with with some cost effective, worthwhile A/V non-cable products including the AVL-300 universal remote with z-wave lighting support and the HTUPS 500 and 1000 backup power systems specifically designed to gently power down projection TV's and other A/V devices in case of a power outtage. I hope Monster survives and continues to innovate useful products. such as the two that I mentioned.
pete @ Dec 14th 2006 9:36AM
Anyone else think VinylVision works for Monster? Astroturf much?
picaso @ Dec 14th 2006 10:19AM
From Industry Week Magazine:
"Nearly 40,000 manufacturing establishments have closed and 3 million manufacturing jobs have vanished since 2001. Alarms should be going off nationwide. . ."
To the middle class, this is the biggest silent catastrophe in recent history.
TheNatural @ Dec 14th 2006 10:46AM
VinylVision take that viral marketing BS elsewhere.
WallyB @ Dec 14th 2006 12:42PM
VinylVision = Pwned. Good work guys.
Move along, plant.
Joe T @ Dec 14th 2006 2:13PM
hey picaso -- manufacturing is old economy, very old economy. Today the U.S. economy is dominated by the power of our brains, not the brawn of our backs. And it's been that way for quite some time now. I truly commiserate with any person who has lost their job. But the notion that a declining American manufacturing sector is a "silent catastrophe" is a bunch of outdated, industrial age hooey.
picaso @ Dec 14th 2006 2:58PM
hey joe t -
Manufacturing jobs include such jobs as cnc operators, moldmakers, tool/die makers, electricians and engineers of all types. Don't think that manufacturing is all "sweat shops". When was the last time you visited a plant? Many six-figure salary jobs are lost every time a plant moves overseas.
Mark @ Dec 18th 2006 2:06AM
It never ceases to amaze me how often people fail to plan their first 20 years of life in preparation for the next 50.
In a country where most young people have the ability to join any of the armed forces (try the Navy or AF for those who are afraid of being on the ground in Iraq) and then have their post-4 yr term higher ed paid for, I have little sympathy.
It's what I did (BS degree) with absolutely no help from my parents and if I get laid off tomorrow (knock on wood) oh well, my post-HS ed. credentials are still marketable in the modern economy. Yea, it would be tough but am I going to be compelled to spend my post-layoff time begging for my job back or finding another.
Also, what if I'm realistically overpaid relative to comparable jobs in the industry, am I saving my pennies for that rainy day if/when my good fortune runs out or am I up to my pits in debt and living on the edge of my means. If I get laid off then who do I blame.
Naman @ Dec 14th 2006 3:18PM
At least they actually got severance pay. I never got severance pay when I was laid off.
And to all you people whining about the loss of manufacturing jobs overseas. If you're so concerned, raise some capital and start a manufacturing company in the US yourself! Protectionist laws don't create jobs, entrepeneurs do.
Navstar @ Dec 14th 2006 8:26PM
I don't know what you guys are talking about. Clearly VinylVision knows a Quality Product when he sees it. Monster brand cabling and accessories are made only from the finest pixie-dusted metal mined from the depths of Mordor. I bought some Monster Cables last week and I'm doing better at school, I got a raise at work, and the tooth fairy brought me a PS3!
Tyler @ Dec 14th 2006 10:29PM
ZombieFlanders-
I'm confused by what you mean when you say these companies don't submit to double-blind testing. Every one of these companies provide review samples to major publications, who can review them any way they choose. I would find it rather fishy if a company conducted its own double-blind test, frankly.
When I worked in high-end theatre sales I sold everything by double-blind, and monster frequently won. There is a huge profit margin on their products, true, but that's not unique to Monster. That being said, both monoprice and bluejeanscable make excellent product at great prices. Radio shack Gold, however... yuck.
GhostDoggy @ Dec 15th 2006 4:35AM
Tyler, show me the double-blind kiosk in any Monster-equipped brick and mortar retail store for the common Joe can test them. Sorry, that ain't gonna happen because Joe consumer will probably be upset at the apparent inability to discern between a Monster cable product and one costs a fifth of the price.
And if this is done during a big screen display retail sales endeavor, it may just ruin the sale, too. Sorry, but if I can't 'hear' or 'see' a difference then why should I 'pay' a difference. Of course, I activel encourage everyone to buy, and then return, Monster products as a means to double-blind test in their own home with their own setup.
Jean @ Dec 15th 2006 7:18AM
Comcast will give you HDMI cables at their service centers. Hows that for pricing.
DDzuban @ Dec 15th 2006 5:45PM
Mass-market beer supposedly costs 1 penny out of a dollar to make, and the rest is marketing, packaging, and profit. Your average person will likely waste more on beer per year than they might spend on audio cables in their lifetime, but there is little complaining about the beer industrys pricing decisions or about people getting suckered into buying beer that only should cost pennies. And that isn't just a knock on beer. Many consumer products have a sophisticated pricing structure that ultimately involves big margins. Companies tend to stay away from industries that DON'T.
Rarely have I ever heard a complaint about Monster Cable that DOESNT come from: 1) a persnickety audiophile snob whose frame of reference includes $2000 cables; or 2)a non-audiophile who doesnt realize that there are audiophiles who spend $2000 on cables.
Monsters products are mass-market products of exceptional quality. Just as in ANY product category, there will always be limited production (ie., boutique) manufacturers that might offer higher performance products, but they are typically incapable of supporting the high volumes, customer service levels, and sophisticated marketing that mass market retail requires.
Snideness aside, Monster Cable sells consistently high quality products that offer high enough performance for 99% of consumers, and perhaps even 75% of avowed audio/video enthusiasts.
No I don't work for Monster, but yes I have a financial interest in their success, as well as about 2 dozen other audio companies' success. I.e., I have lived and breathed this stuff long enough to avoid the BS, but also to spend my own money when it is worth it. And Monster is often (but not always) worth it.
Phil @ Dec 16th 2006 4:18PM
Monoprice.com FTW
Anyone who pays close to $100 for copper wiring is a moron.