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Horizon acquired AKA?!!!

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Horizon acquired AKA?!!!

Old 06-22-2021, 10:45 AM
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Default Horizon acquired AKA?!!!

I suppose this could be posted in the Nitro Off-Road channel as well, but…

Holy cow, first Pro-Line, and now AKA? Talk about market consolidation. I would imagine that there’s gonna be some market consolidation here, regardless of what the press release says. It also sets a dangerous precedent that if Horizon fails at some point in the future, it could leave a gaping hole in the industry.

Speaking of industry, if the hobby industry were not as small as it is, I would imagine that there would be more scrutiny over this.
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Old 06-22-2021, 11:37 AM
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They know what they are doing. Less competition. Inflate prices. We need more competition as a consumer. I prefer USA made tires but might see a monopoly on that in the future. Stay strong Rawspeed!
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Old 06-22-2021, 11:57 AM
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Until yesterday, I didn’t know that AKA was founded by Gil Losi. This was probably part of the deal when he came back to Losi.

It would not surprise me if they eventually own them all
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Old 06-22-2021, 12:03 PM
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Default Horizon does NASCAR announcement

In related news, Horizon announces sponsorship of a NASCAR entry on the Speed Sport website.

Horizon does NASCAR

Personally, I am a bit uncomfortable with both PL and AKA now both under the same umbrella organization. On the surface, at least, it has the appearance of a conflict-of-interest that can only adversley affect the rc'er. Hopefully, I am in error in assuming that. Cheers. 'AC'
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Old 06-22-2021, 12:51 PM
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Originally Posted by buggybug View Post
They know what they are doing. Less competition. Inflate prices. We need more competition as a consumer. I prefer USA made tires but might see a monopoly on that in the future. Stay strong Rawspeed!

It's not just the ability to control the prices, but they can get things product made cheaper. The more you have made, the cheaper it is to make.
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Old 06-22-2021, 01:17 PM
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Hmm. At our local 1/10 clay track, the "serious racers" go through a set of tires in one race night (4-5 runs.) A complete set of tires is $55-$60. How much more expensive can you make them? If Horizon can drop the cost of tires to $12-$15, I am all for it. Can we also standardize the offsets for 1/10 off-road tires?

BTW, does anyone know the actual production cost of tires (I would guess between $2 and $5 max per pair)?
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Old 06-22-2021, 02:39 PM
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Originally Posted by billjacobs View Post
Hmm. At our local 1/10 clay track, the "serious racers" go through a set of tires in one race night (4-5 runs.) A complete set of tires is $55-$60. How much more expensive can you make them? If Horizon can drop the cost of tires to $12-$15, I am all for it. Can we also standardize the offsets for 1/10 off-road tires?

BTW, does anyone know the actual production cost of tires (I would guess between $2 and $5 max per pair)?
So don’t grind them down? 4-5 runs? Brand new tires are lasting this long?
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Old 06-22-2021, 03:40 PM
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Originally Posted by TurnNBurn View Post
I suppose this could be posted in the Nitro Off-Road channel as well, but…

Holy cow, first Pro-Line, and now AKA? Talk about market consolidation. I would imagine that there’s gonna be some market consolidation here, regardless of what the press release says. It also sets a dangerous precedent that if Horizon fails at some point in the future, it could leave a gaping hole in the industry.

Speaking of industry, if the hobby industry were not as small as it is, I would imagine that there would be more scrutiny over this.
Where were you when Horizon bailed out the rc industry?????? Horizon bought it all and took on the debt. Consolidated it all and got rid of some brands. Where ever you buy from now it is horizon!
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Old 06-22-2021, 04:13 PM
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Originally Posted by studawg View Post
So don’t grind them down? 4-5 runs? Brand new tires are lasting this long?
depending on the clay treatment, there’s a multiple second difference between sanded in tires, and just running them with treads
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Old 06-22-2021, 04:21 PM
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Originally Posted by OffRoadJunkie View Post
It's not just the ability to control the prices, but they can get things product made cheaper. The more you have made, the cheaper it is to make.
sorry but I have never seen price decrease when this kind of stuff happens. I truly hope I am wrong on this.
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Old 06-22-2021, 04:52 PM
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you're literally removing your own tread with sandpaper and then saying they don't last a long time?
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Old 06-22-2021, 04:57 PM
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There's an industry-wide price increase going as we speak. Redcat was the first to announce it, and so far the only one to come out and say it. Everyone else is doing it in a roundabout way. Arrma released the Vorteks at a higher price than their other 3s rigs. Traxxas released the Drag Slash at $500 and then the brushed 4tec 3.0 for $329. Associated released the B6.3 at $359 instead of $339. The prices are creeping up everywhere.
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Old 06-22-2021, 05:35 PM
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Originally Posted by billjacobs View Post
Hmm. At our local 1/10 clay track, the "serious racers" go through a set of tires in one race night (4-5 runs.) A complete set of tires is $55-$60. How much more expensive can you make them? If Horizon can drop the cost of tires to $12-$15, I am all for it. Can we also standardize the offsets for 1/10 off-road tires?

BTW, does anyone know the actual production cost of tires (I would guess between $2 and $5 max per pair)?

The cost of tires today are not that far off from what they were in 1990. Back then, you would still spend about $40 on a set of tires, plus another $15 on foam inserts. Wheels were more expensive back then because they were car specific. the offsets are different now, but they usually fit different brands.

The cost to actually make the tire is pretty cheap. However, overhead is pretty high. You have labor, engineering, sponsorships, etc... With Horizon being able to combine overhead costs and shrink costs in other placed, like engineering, then the total cost goes down. However, I doubt very seriously that they will drop the prices. They may come out with cheaper entry level tires, but no way will they drop the competition level and bashing level tires. Expect tires to start wearing out faster.
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Old 06-22-2021, 06:26 PM
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Originally Posted by billjacobs View Post

BTW, does anyone know the actual production cost of tires (I would guess between $2 and $5 max per pair)?
The cost to make a set of tires is low. The cost of R&D, and tooling is astronomical. I'd like to know how many sets of a tire does a manufacturer have to sell before they recoup their initial costs. It has to be a really big number.
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Old 06-22-2021, 07:11 PM
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Originally Posted by studawg View Post
you're literally removing your own tread with sandpaper and then saying they don't last a long time?
Correct. On clay tracks, tire prep is the biggest advantage or disadvantage for that matter. If they are not prepped right you can be multiple seconds off of the pace with a perfect setup.
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