Kodak's Bold Move into Home Printers

Kodak is making a move into the inkjet printer market that just may pay off big time for consumers.

Ever since the rise of digital photography gutted the photo company's film development business, Kodak has been repositioning itself in the photography market. The company makes the three top best-selling digital cameras, but profit margins are low on consumer electronics. Kodak's plan to sell inkjet printers with cheaper ink cartridges is designed to gain a strong footing in another piece of the competitive market—especially in homes where parents and kids share computers and printers, the Wall Street Journal reports.

To win consumers' printer dollars in recent years, companies have been selling printers at little or no profit margins, and making profits in high-priced ink. Kodak aims to upend that model by selling printers at slightly higher prices but significantly dropping ink prices. Kodak's first printers will initially be sold only at Best Buy and on Kodak.com for $150, $200 (pictured), and $300. They are document printers as well as photo printers.

Each will use a $10 black ink cartridge and a $15 color-ink cartridge, totaling less than half of the $60 to $80 it typically costs to buy a full complement of black and color-ink cartridges for a printer.

Kodak says its research shows 70 percent of families restrict their children's printing because of the cost of ink, and the research firm IDC says 56 percent of families print some photos at home. Kodak says its printers will allow consumers to print photos for about 10 cents each—cheaper than any other way available right now.

Of course, the true test will be in the quality. But I'm one consumer who would welcome spending less on ink, which our family of five runs through rather quickly.