At long last, Logitech has done away with OEM computer mice

By Gabe Carey
Jan 25, 2016
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  1. Another day, another Logitech product line to forget about. Today, this is the case for company's OEM mouse product line, which it's finally decided to phase out beginning this week. What once accounted for a sizable chunk the company's revenue is now being completely negated in favor of more premium quality products in emerging categories.

    Back in the 1980s, Logitech was one of the first to debut computer mice produced en masse. This, in turn, made it one of the leading companies in providing PC consumers with the entry-level mice they'd need to get started with their new purchase just outside the box.

    This news is significant mostly because, for quite some time there, Logitech was responsible for some of the world's most renowned computer mice, including the U96, which was bundled with millions of PCs. Unfortunately for Logitech, as desktop PC sales have begun to decline, it's high time for the hardware company to traverse elsewhere.

    This shouldn't come as a surprise to anyone, since it was last March when the company revealed it would cease all OEM device sales, with its final shipments having taken place in December. By the third quarter of the 2016 fiscal year, which concluded on December 31, 2015, the aforementioned OEM hardware only comprised about 4.45 percent of the comany's revenue. And, because profit margins were so negligible on these products, it wouldn't make sense for Logitech to sell its OEM business off to another company.

    Presently, the vast majority of Logitech's earnings stem from gaming accessories, including mice, keyboards, speakers, headsets, controllers, and other devices while mobile speakers, video collaboration, and tablet accessories take the lead in non-gaming hardware.

    Described as "growth category products," these devices accounted for $224.87 million for Logitech in the third quarter of its 2016 fiscal year while traditional devices netted $368.87 million. OEM shipments, on the other hand, only garnered little over $26.5 million for the formerly PC-focused equipment provider.

    Permalink to story.

  2. Evernessince

    Evernessince TS Evangelist Posts: 1,102   +530

    You can thank OEM and boutique PC builders for choosing to include ultra-junk Chinese "gaming" mice with their products instead. While the OEM mice that logitech sold were not flashy or have crazy buzz words like "16,000 DPI!" they were very good mice and tracked reliably.
    SuperVeloce and trgz like this.

    IAMTHESTIG TS Evangelist Posts: 906   +243

    This is indeed unfortunate in some ways. The Logitech made mice that were included with Dell PC's were solid runners that's for sure. But I understand they feel it is time to move on... unfortunately the premium product market is even more unpredictable than the OEM PC manufacturers market.
    trgz likes this.
  4. psycros

    psycros TS Evangelist Posts: 1,295   +663

    I guess they figured they might as well self-destruct along with Microsoft. I'll have to stock up on some of their classic products before "Logi" is reduced to selling purses with tablet compartments. Sad.
    EClyde likes this.
  5. Uncle Al

    Uncle Al TS Evangelist Posts: 1,510   +674

    Well, hopefully some day in the future they will find their way back. I have always liked their products and as I sit here playing with my wireless keyboard & mouse I know I'm certainly going to miss their level of quality and thoughtfulness in engineering and pricing. The King is dead, long live the King ...
  6. trgz

    trgz TS Booster Posts: 148   +22

    Very sad indeed. I have had many mice - my latest is a RAT7, my first a '95 Microsoft 'ball-type' Intelli-mouse I think) and several Logitech mice like the one pictured. I still use two of them for my work PC and home PCs and they are pretty reliable - the only flaw so far is that the plastic peg inside the button that presses the microswitch has a tendency to wear a groove in it. I've always recommended the budget Logitech mice (failing that the budget Microsoft mice) to friends and family who want reasonably comfortable and relaibile mouse.
    I was 'issued' a Lenovo equivilant that must've come out of a budget Christmas cracker it was so poor - it went back in the box and carried on using the Logitech.
  7. Badvok

    Badvok TS Booster Posts: 115   +47

    Wow, how to totally misunderstand the article and to the extent that you actually post a comment showing how complete your misunderstanding is - well done!
  8. Capaill

    Capaill TS Addict Posts: 279   +86

    I have to agree with Badvok. The article only says that the production of mice to OEMs (such as Dell) will end. Which implies that the production of standalone mice and other products will continue. No great loss here, we still get the benefit of the excellent Logitech peripherals as most of us here surely build our own computers.
  9. Derek123

    Derek123 TS Rookie

    Exactly. Their just ending their lowest tier production lines to up the quality. A random person won't by a $200 gaming keyboard when they're only association with Logitech is when they saw a computer at a school with really cheap keyboard and mouse.
  10. kuschb

    kuschb TS Rookie

    Certainly a sign of the times. I was the Director of WW OEM Sales for Logitech from 1988-1994 during a time of incredible growth. At that time, the OEM segment accounted for nearly half the revenue. I will forever be grateful for the experience of working for such an innovative enterprise in such a dynamic industry. I am confident they will continue leading in incredible ways.

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