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NOW I'M STUMPED!

I want a Carvin PB5 but I don't know if it would be wise to spend the dollars on a bass put out by a company facing trouble. What do you think will become of Kiesel?
I see no signs Kiesel is facing trouble, I've read reports they're expanding and hiring recently. Completely separate deal from Carvin Audio since 2015.
 
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From the Kiesel website

Statement on Closure of Carvin Audio/Amplifiers
Posted on Invalid Link Removed by Invalid Link Removed
With the announcement that Carvin Audio and Amplifiers is ceasing operations effective Monday, October 9 2017, Kiesel Guitars wants to let our customers know that this in no way affects the continued operations at the Kiesel Guitars USA Custom Shop. Because Kiesel Guitars and Carvin Audio became separate entities in 2015, we are in no way impacted by the shuttering of Carvin Audio and Amplifiers. Kiesel Guitars is building more guitars and basses than ever before, and we're already looking ahead to our 75th Anniversary in 2021. Kiesel Guitars continues going strong by significantly expanding our guitar and bass offerings, hiring additional personnel, offering world-wide direct sales, participating in Summer NAMM in addition to our long-running presence at Winter NAMM, and adding many new endorsers to the Kiesel Guitars family of artists. Additionally, we've recently converted our state-of-the-art Escondido facility to all solar power, and we continue to make dramatic improvements to our design, engineering and manufacturing processes so we can, and will, continue to offer the best made-in-the-USA guitars and basses at factory-direct pricing that is unequaled in the industry.

We'd like to express our sincere gratitude to our customers for their continued support, and we'd like to wish the staff of Carvin Audio and Amplifiers success in their future endeavors.

Mark Kiesel, President, Kiesel Guitars
Jeff Kiesel, Vice President, Kiesel Guitars
 
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One of the "joys" of the corporate structure is that each corporate entity is its own thing.

When Carvin split into two separate entities, Keisel was completely isolated from Carvin Audio because they are now two independent companies.

Many times a corporation will cordon off a part of its business that is losing money or not meeting its profit expectations. Kinda like cutting loose the one liferaft that's pulling the other liferafts down. AT&T did that when it separated from its local phone line business by creating the Baby Bells, and keeping its far more profitable long distance and leased lines businesses. AT&T did it again about 20 years later when they kept their wireless services and data communications businesses and got out wired communications entirely. It's called knowing enough to get out while the gettings still good. And in a market experiencing fundamental change, it's essential to a company's survival.

I think Carvin saw the writing on the wall when it came to amps. I doubt they were losing money. But they probably weren't making enough to justify staying in the amp business. I'm guessing somebody in the family wanted to see if they could turn it around. So the mothership cut them loose with its blessing and each went their separate ways.

The biggest single problem their amp business faced was they were stuck when it came to manufacturing cost containment. For decades they had trumpeted "Made in USA" as a key part of their corporate identity - and a major marketing point with their gear. And for the target demographic buying their products, "Made in USA" was a very desireable thing.

Unfortunately, it also painted Carvin Audio into a corner. They couldn't outsource manufacturing without violating the sacred trust they now had with many in their customer base - many which wanted or insisted on "buying American." And although Carvin makes a fine product, it never succeeded in garnering sufficient mojo points to put them in the league with all the other amp companies we know. Made in USA was their unique selling point. Otherwise, they were just one more good amp. So they were stuck.

No shame in that.

What isn't excusable is the way they handled the closing. Leaving it for others to explain; and talking around or stonewalling direct questions about warranties and service is just showing bad form and causing (hopefully) unnecessary worries for its soon to be former customers.

It could have been handled better.
 
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