Brooklyn-based MakerBot is reportedly engaged in talks with Stratasys over a possible acquisition by the latter company.
MakerBot started in 2009 and launched their first 3D printer at South by Southwest, where they spent each night printing out shot glasses at bars. Since then, over 13,000 MakerBot printers have been sold at $2,000 to $2,800 each and the company holds about 22 percent of the 3D printer market.
Last fall, MakerBot opened up a New York City store where customers can see demos of the printers in action and purchase items printed on site. They recently opened a 50,000 square foot warehouse where their two printers, Replicator 2 and Replicator 2X, are manufactured. As founder and CEO Pettis says, it's a "factory that makes small factories," in reference to the printer's ability to produce almost any printed 3D item.
Stratasys, on the other hand, produces industrial-grade 3D printers, and is perhaps best known for the Liberator pistol, which was printed by a Stratasys machine. However, the company hasn't yet been able to break into the entry-level desktop niche - a niche in which MakerBot has earned $10 million in revenue last year, with a substantial $50 million expected this year alone. A Stratasys acquisition of the smaller company, if a The Wall Street Journal report is accurate, would allow them to enter the consumer market and profit from it themselves.
The important question, however, would be how to market MakerBot to a wide audience. MakerBot, of course, isn't inexpensive for the common consumer, and investing in a niche 3D printer which - while it has the hearts of knowledgeable hobbyists - hasn't yet marketed its practicality to money conscious consumers is risky.
The at-home 3D printer space is also becoming an increasingly competitive field with Kickstarter campaigns looking to produce 3D printers to sell for under $500.
According to The Wall Street Journal, MakerBot has been looking into raising around $300 million in venture capital, but it seems that those thoughts may have turned to acquisition instead.
It's still possible, however, that MakerBot may decide to continue riding its own wave of popularity. Pettis refused to comment on speculation of a sale of the company, according to ValleyWag and added that "we're not going anywhere," despite rumors that have surrounded the company this year
When asked if he would prefer to continue running the company from venture investments or through an acquisition, Pettis simply said "we'll make the right call."
