The Federal Aviation Administration (FAA) prohibited the US airlines from flying in and out of the Israel’s Tel Aviv Ben Gurion International Airport. This ban was imposed in the wake of rocket attack from the Gaza Strip, which struck a mile away from Israel’s main airport.
Rocket attacks are mainly due to the escalating violence between Israel and Islamist groups in the Gaza Strip. Stratasys, Ltd. (NASDAQ:SSYS) has one of their Corporate Headquarters in Rehovat, Israel. The other one is in Minnesota, United States. David Reis, the CEO of Stratasys talked on CNBC about the impact of the situation in Israel on their business, competition and future growth.
Reis feels that there is no increased risk in the last 24 hours. He added that the company has a lot of contingency plans to run the business, if the situation in Israel gets worse.
“The company is global and most of our employees are not based in Israel. So, really business as usual and I don’t anticipate any problems in the coming month,” he said.
Reis thinks that the conflicts might end soon and the flights to and from US will be restored as usual.
Stratasys, Ltd. (NASDAQ:SSYS) is one of the world’s leading companies, which manufactures and sells the 3D printers for both commercial and industrial purposes.
Reis added that there is a lot of potential both in the commercial and industrial 3D printing markets. He thinks that they have very strong consumer market base. He referred to the consumers as prosumers (consumers who produces things). He pointed out at the collaboration with Home Depot as an example for their hold on the consumer 3D printing market.
Due to a lot of basic pattern expiration, analysts predict that new 3D printing products might be launched by the end of the year. Reis acknowledged the fact that some basic patterns in the industry will expire in the coming years. He said that they are making a lot of investments in developing the new products and they are planning to launch them on the need basis. He thinks that product launch might be accelerated towards the end of 2014.
Stratasys, Ltd. (NASDAQ:SSYS) did not face any stiff competition in the 3D printing market, but the arrival of some big names on the market might impact their market share. Reis said that he is not underestimating the arrival of companies like Hewlett-Packard Company (NYSE:HPQ) on the market. But he feels that 3D printing is a complex market and requires a lot of knowledge to succeed. He thinks that the Stratasys has gained a lot of experience over the past 25 years of operation and he is confident that the company will be successful even with the heated competition in the days to come.