Keurig Stock Drops, Says It Was Wrong About DRM Coffee Pods
An anonymous reader writes: Green Mountain (Keurig) stock dropped by 10% this morning after a brutal earnings report. The reason? CNN Money reports that DRM has weakened sales of their Keurig 2.0. CEO Brian Kelley admits, "Quite honestly, we were wrong." Last year Green Mountain decided to make their new coffee machines work with licensed pods only. The company says they now plan to license more outside brands, and bring back “My K-Cup” reusable filters.
I have been a loyal user of K-Cups for years now...
I will never buy a DRM coffee machine...
The whole idea is just stupid. I get that they are trying to make money from every cup sold, just like the razor model, but frankly that is a boardroom fantasy...
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The same issue with music happened... once Amazon started selling DRM free music, I started buying, now having a collection of hundreds of "CDs" all downloaded to all my devices.
I don't pirate any of them, nor do I share them outside my family. Sell me a product I control at a reasonable price and I'll pay you money.
Simple.
If their plan is to get more third parties to go along with their DRM, then they haven't really learned a thing yet.
Coffee is pouring hot water on ground beans. DRM'd Dispensers try to ignore that fact.
...they should have included Apps in their coffee apps so you could app while apping coffee! Or better yet, don't bother with coffee, and just brew more apps!
Apps!
Turns out their DRM consists of a colored rim on the pod. Taping a used v2 lid on to a v1 pod is all it takes.
Oh, I'm sorry sir, I thought you were referring to me, Mr. Wensleydale.
Personally I'd like to see the environmental nightmare of the Keurig and Tassimo curl up and die.
I do not fail; I succeed at finding out what does not work.
It is also working to launch the Keurig KOLD system in the fall, which it hopes will revolutionize how people consume cold beverages at home.
Boldly going where many others have failed before. At least with coffee, there was always a need & market for easy 1 cup brewing. I can't see what need they may be filling with cold beverages, and I don't see people adding another appliance unless it is something quite "revolutionary." Am I missing an obvious need?
For a company that has a limited product line, launching a new one and failing can be very painful.
Make your product better than your imitators! That's all you need to do. Why does everyone buy SD, PNY, Adata, and Silicon Power flash drives over those much cheaper no-name brand Hong Kong wonders on ebay? Because they lie about the speeds, they fail in about a week, and they're made with flimsy materials. Why do people go to Starbucks instead of Kwik Trip (or Seven Eleven for you southerners) for their coffee? Because Starbucks' product is better. That or because they're hippie douchebags. Either way, if you make your product better, your competitors get no business.
While looking for a coffee machine, I liked one of this 2.0 Keurig models.
Then I learned about this "only keurig aproved" cups and actually bought an 1.0 keurig machine instead.
And using this 1.0 model I can't see a reason for one buy a 2.0 model.
The French Press is to prepare his skin for the straight razor - by compressing shaving foam directly into his pores, hair literally leaps from follicles into the path of the blade.
"There is more worth loving than we have strength to love." - Brian Jay Stanley
At last, a serious blow to the pocket book for companies employing stupid DRM crap.
Consumers voted with their wallets and Keurig learns a valuable lesson. Let's hope other industries learn from their mistake and consumer continue to take a stance against this garbage.
> "Quite honestly, we were wrong."
YA THINK??? Sorry sorry sorry. That's a little unfair, now that they're trying to do something more reasonable. Too bad it took a shot to the pocketbook, though.
They are sorry to be caught... If they really cared, they'd provide a DRM "fix" kit for anybody who owns a 2.0 device.... Betcha they don't do that..
"File to fit, pound to insert, paint to match" - Aircraft Maintenance 101
Hacking the Keurig is as easy as Hollywood style bomb defusing. You open it and literally cut the green wire. It takes less than 5 minutes and removes all restrictions.
Video explanation here: https://www.youtube.com/watch?...
BeauHD. Worst editor since kdawson.
They could have gotten away with it if they had been smarter about it.
K-cup is popular.
The 2.0 machine will do things like espresso, and it needs the smarts to do it,
If they had set the machine to treat K-cups without the chips just like the old machine did, no one would have cared.
As more of the featurefull drinks became more popular, more drinks would move over to that.
10 years out, when people are drinking a LOT more of the drinks that use the new features, your making a LOT more money.
Oh, wait, that doesn't drive everyone else out of the market. But it sells a lot more machines and a lot more licences to make drinks using the new features.
My 20 year old Saeco Vienna superautomatic just grinds, tamps, brews and foams with barely a microcontroller in there and physical buttons. No LCD, no IoT, no touch screen, no flavors, no DRM.
Until they can DRM individual coffee beans, I'm never changing.
Mostly random stuff.
FTFY
I am not even opposed to DRM per se. DRM as a means of piracy prevention is fair (although it's rarely implemented in a good way). DRM as a means of vendor lock in is completely unacceptable. If Keurig somehow remains successful, it reinforces the precedent that dabbling with vendor lock in is ok, as long as you apologize when it becomes a PR problem. What would be better is if a huge company goes bankrupt over it, and scares other companies from trying the same thing.
The company says they now plan to license more outside brands, and bring back “My K-Cup” reusable filters.
If they really believed they were wrong about the things they were actually wrong about, then they would Open-Source the DRM technology and make the interoperability specs public domain, and stop trying to charge licensing dollars.
"The company says they now plan to license more outside brands, and bring back “My K-Cup” reusable filters."
They learned nothing. They will continue to DRM the coffee maker just license More pods.I hope the pod makers flip them off as they should.They don't need Keurig,Keurig needs them.
Jack of all trades,master of none
buy a french press or a proper espresso machine and learn to make a decent cup of coffee without all the stupid prepackaged waste.
The keurig 2.0 pissed so many people off, that standard store clerks know about the keurig 2.0 and warn people away from it. I warned my stepmother about it before she went out to buy one as a present for someone, and then she got reminded again at the store. I was happy to know that they're actively pushing people away from an inferior product.
Also of note, I found something funny in one of their third party k-cup purchases at my parent's house. It came with something called a 'freedom clip.' It goes over the sensor and does something to the 2.0 machine, preventing all the tomfoolery.