SRAM (bicycles)
From Wikipedia, the free encyclopedia
| SRAM, Corp. | |
 |
|
| Type | Private |
|---|---|
| Founded | 1987 |
| Headquarters | America |
| Key people | Stanley R. Day Jr. (President) |
| Industry | cycling components |
| Products | Bicycle and Related Components |
| Revenue | undisclosed |
| Slogan | Powered by SRAM |
| Website | www.sram.com |
SRAM Corporation is a privately held bicycle component manufacturer based in Chicago, Illinois, founded in 1987 [1]. The correct pronunciation of SRAM is sram, as indicated on their website FAQ. SRAM is an acronym comprising the names of its founders, Scott, Ray, and Sam, where Ray is the middle name of company head Stan Day [2].
[edit] Business Development
As a start-up company, SRAM introduced the Grip Shift or Twist Shift technology to the mountain bike market in 1988.
In 1990 the company sued Shimano, claiming unfair business practices. Shimano offered, in effect, a 15 percent discount to bicycle manufacturers that chose an all-Shimano drivetrain. Few companies in the highly competitive bicycle manufacturing industry were willing to pay such a premium for specifying Grip Shift components. SRAM won an unspecified out-of-court settlement from Shimano in 1991. Even more importantly, it won the right to compete in the lucrative original equipment arena [3].
These post-settlement years marked a period of almost exponential growth for the company, as it grew sales organically and later went on an industry-wide shopping spree. SRAM now incorporates the former bicycle division of Fichtel and Sachs, Sachs-Huret and recently acquired Rock Shox, Avid and Truvativ, in an effort to compete against industry giant Shimano.
[edit] Innovations
SRAM pioneered the invention of what it has dubbed a "1:1 Actuation Ratio". This technology means that for any distance a cable is pulled by the shifter, an equal amount of lateral distance is covered by the derailleur.
In the road componentry, SRAM has introduced "Exact Actuation" technology, similar in some ways to the 1:1 system. One part of SRAM's road system is the DoubleTap lever. The unique aspect of this shifter, in comparison to Shimano and Campagnolo levers, is the use of a single lever for both upshifting and downshifting; the typical arrangement features two separate levers. The SRAM road groupsets are called Force and Rival, and some bike manufacturers, like Cannondale, Bianchi, Specialized, and Raleigh, equipped SRAM road components on their bikes [4] [5]
Their bicycle chains are widely used by cyclists, even those not using any other SRAM componentry on their machine. SRAM chains are often called "Sedis" or "Sedisport", which was the original name given to the bushingless design by Sachs-Huret. These chains have greater flexibility than traditional chains with full-width bushings and are essential for the operation of modern derailleur gear systems. SRAM more recently introduced the "Powerlink", a tool-free master link for derailleur gear chains. The 10-speed road systems will use the one-time use "PowerLock" chain master link.
[edit] Financials
- Sales 1987 $0 million
- Sales 1994 $25 million
- Sales 1995 $40 million
- Sales 1999 $120 million
- Sales 2004 $160 million (estimate)[6]
- Sales 2005 $150 million[7]
- Sales 2006 >$200 million[8]
[edit] Brands
In recent years SRAM has purchased a number of companies to allow it to offer a full component group. These brands are as follows:
[edit] RockShox
RockShox, purchased on February 19, 2002, was one of the first companies to introduce a suspension fork for bicycles commercially. Marketing and Sales were relocated to Chicago, while Colorado Springs remained the home for RockShox product development. A SRAM production facility in Taichung, Taiwan was converted to RockShox production as part of the RockShox acquisition.
[edit] Avid
Avid, purchased on March 1, 2004, designs and manufactures bicycle brake systems and components. Its products include hydraulic and mechanical disc brakes for mountain bikes, mechanical disc brakes for road and cyclocross bikes, rim brakes for mountain and cyclocross bikes, brake levers for mountain bike rim brakes and mountain bike mechanical disc brakes, brake cables, and brake maintenance products. Because Avid's parent company SRAM recently added road bike rim brakes and brake levers to its product line, one may find brakes and levers for all types of road, mountain and cyclocross bicycles within the SRAM business family
As with RockShox, Avid's product development continued in Colorado Springs while Marketing and Sales divisions were moved to Chicago.
[edit] Truvativ
SRAM purchased Truvativ in 2005, providing SRAM with a line of cranks, bottom brackets, handlebars, stems, pedals, seatposts and chain retention systems. This allowed SRAM to offer a complete drivetrain.
