WEBVTT - Panasonic - 1954 to 1973

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<v Speaker 1>Welcome to Text Up, a production from I Heart Radio.

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<v Speaker 1>Hey there, and welcome to tech Stuff. I'm your host,

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<v Speaker 1>Jonathan Strickland. I'm an executive producer with I Heart Radio

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<v Speaker 1>and I love all things tech, and today we are

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<v Speaker 1>continuing our journey through the history of Pana Sonic. Now,

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<v Speaker 1>if you haven't listened to the previous episode, I recommend

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<v Speaker 1>you do that first. You'll learn a lot about Konosuke

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<v Speaker 1>Matt Sushida. He is the founder of Pana Sonic, and

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<v Speaker 1>in fact, the company was originally called the Matt Sushida

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<v Speaker 1>Electric Industrial Company, Limited, and we're still in that era

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<v Speaker 1>as I pick up this episode. In fact, the company

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<v Speaker 1>at the end of the last episode had not even

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<v Speaker 1>introduced the Pana Sonic brand name yet. We also learned

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<v Speaker 1>how the company produced military vehicles wooden ones for Japan

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<v Speaker 1>during World War Two, and how the company didn't really

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<v Speaker 1>necessarily have a choice in that. Again, I don't really

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<v Speaker 1>know what the sentiments were for Matt Sushida and his employees,

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<v Speaker 1>but I know that they really didn't have any option

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<v Speaker 1>but to make those military vehicles, and that would end

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<v Speaker 1>up putting the company in danger when the US government

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<v Speaker 1>began to kind of dismantle older Japanese businesses that were

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<v Speaker 1>very um familial. They were all kind of locked into

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<v Speaker 1>these families that had deep relationships with one another and

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<v Speaker 1>with the Japanese government. So this was sort of a

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<v Speaker 1>systemic approach to dismantling all of that. And uh, Matt Sushida,

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<v Speaker 1>despite the fact that it wasn't this ancient family business,

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<v Speaker 1>was one of the companies that was under the microscope

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<v Speaker 1>when that was going on. We're now up to nineteen

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<v Speaker 1>five d four when the company was just starting to

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<v Speaker 1>try and market radios to the United States, and for

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<v Speaker 1>Matt Sushida, this was still the pre transistor radio era.

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<v Speaker 1>There were transistor radios around this time, but Matt Sushida

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<v Speaker 1>was not making them yet, so we're still talking about

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<v Speaker 1>radios that use vacuum tubes for amplifiers. So let's get

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<v Speaker 1>back into this story now. During the nineteen fifties, Japan's

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<v Speaker 1>economy saw some fluctuations. Early it saw on overall improvement,

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<v Speaker 1>but there were some ups and downs along the way.

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<v Speaker 1>The country was still in a post World War Two

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<v Speaker 1>era of reconstruction officially until nineteen fifty two. The economy

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<v Speaker 1>boomed in the early days of the Korean War because

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<v Speaker 1>the forces, like the United Nations, the United States in particular,

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<v Speaker 1>were dependent upon Japan to supply materials that they needed.

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<v Speaker 1>But by nineteen fifty three the economy was starting to

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<v Speaker 1>slow down a little, it picked up again, and despite

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<v Speaker 1>some drops here and there, was on a fairly steady

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<v Speaker 1>climb through most of the nineteen fifties. One consequence of

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<v Speaker 1>this is that a lot of Japanese households were making

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<v Speaker 1>more money, and thus they had more money to spend

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<v Speaker 1>on what had previously been a luxury item like an

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<v Speaker 1>electric appliance. So Matt Ssshida the company saw sales grow,

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<v Speaker 1>at least in Japan. I honestly don't know how their

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<v Speaker 1>sales numbers fared in the United States, because while the

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<v Speaker 1>histories I read talked about the company marketing radios over here,

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<v Speaker 1>I didn't find much information about how the sales were going.

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<v Speaker 1>If the sales were good, the company had managed to

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<v Speaker 1>overcome the odds because Japanese electronics were not yet common

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<v Speaker 1>in the US and most Americans didn't associate japan with

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<v Speaker 1>technology at that point, and for years the general rep

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<v Speaker 1>for Japanese technology was associated with really cheap goods that

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<v Speaker 1>didn't perform as well as stuff that was produced in

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<v Speaker 1>the United States or in Europe. It would take some

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<v Speaker 1>time for that perception to change. It was not helped

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<v Speaker 1>by the fact, and we'll get into it that Japanese

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<v Speaker 1>companies did some fairly shady things in order to really

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<v Speaker 1>get a foothold in the markets of Europe and North America. Now,

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<v Speaker 1>one thing that Matsushida had to do in the American

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<v Speaker 1>market was come up with a new brand name for

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<v Speaker 1>some audio speakers that the company wanted to sell to

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<v Speaker 1>customers in the United States. They had been using the

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<v Speaker 1>National brand in Japan, but that was sort of a

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<v Speaker 1>prestige consumer products that the company was selling in Japan,

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<v Speaker 1>and it had a real issue, which was that there

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<v Speaker 1>were a lot of companies in America that had some

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<v Speaker 1>variation of National as their branding, so it really wasn't

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<v Speaker 1>a possible brand for them to go with. So they

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<v Speaker 1>had to create something new, and they went with something

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<v Speaker 1>that felt related to speak, kers and sound. They came

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<v Speaker 1>up with the name Pana Sonic, and so in nineteen

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<v Speaker 1>fifty five, remember this company was founded in nineteen eighteen.

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<v Speaker 1>Nineteen fifty five, we finally get the brand name that

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<v Speaker 1>would ultimately become the name for the entire company again

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<v Speaker 1>more than fifty years later. Spoiler alert, and that's not

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<v Speaker 1>even going to come in this episode. Another spoiler alert,

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<v Speaker 1>and dangan we we nearly got to that brand name

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<v Speaker 1>at the end of the last episode, but just missed it.

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<v Speaker 1>Over in Japan, things were going pretty well in nineteen

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<v Speaker 1>fifty five. The company was one of several in Japan

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<v Speaker 1>to enjoy the rebound of the economy as Japanese households

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<v Speaker 1>began to invest in home appliances. The three major ones

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<v Speaker 1>at that time we're all really big ticket items. Television

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<v Speaker 1>was one of them, a refrigerator was another, and a

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<v Speaker 1>washing machine was the third. Those were the three must

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<v Speaker 1>haves if you wanted to have a modern household in Japan.

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<v Speaker 1>Matt Sushida invest did in the manufacturing process, which made

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<v Speaker 1>production more efficient and helped bring down the cost of manufacturing,

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<v Speaker 1>which also meant the company could sell their products at

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<v Speaker 1>a lower price tag sort of, we'll get to it.

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<v Speaker 1>By nineteen fifty five, factories were producing more than five

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<v Speaker 1>thousand units per month, which is a small number compared

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<v Speaker 1>to manufacturing facilities today, but at the time in Japan,

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<v Speaker 1>it was an impressive accomplishment. The Japanese government announced in

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<v Speaker 1>nineteen fifty six that the nation had successfully navigated the

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<v Speaker 1>process of economic reconstruction. Now, I believe in the previous

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<v Speaker 1>episode I mentioned that Japan used to be an empire,

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<v Speaker 1>and I really should take this opportunity to say that

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<v Speaker 1>technically it still is. There still is an emperor of Japan.

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<v Speaker 1>It's just that these days the role of emperor is

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<v Speaker 1>almost entirely symbolic, with the actual role of governing falling

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<v Speaker 1>to the executive, legislative, and judicial branches of the Japanese government.

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<v Speaker 1>Something else happened in nineteen fifty six that does not

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<v Speaker 1>pop up in Panasonic official history, and that was the

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<v Speaker 1>formation of an organization called the Home Electronic Appliance Market

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<v Speaker 1>Stabilization Council. Now, this council counted the larger consumer electronics

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<v Speaker 1>manufacturing companies among its members, the big Japanese electronics companies.

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<v Speaker 1>This group, which The Washington Post would later label as

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<v Speaker 1>an illegal production cartel, worked together to set minimum price

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<v Speaker 1>levels for certain products like radios and television. They all said,

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<v Speaker 1>none of us are going to price any of our

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<v Speaker 1>models below this certain amount. As price fixing is what

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<v Speaker 1>it was and coercion between companies that are supposed to

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<v Speaker 1>be competitive, and it also acted against foreign companies. They

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<v Speaker 1>worked very hard to lobby the government of Japan to

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<v Speaker 1>put as many obstacles in the way of foreign companies

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<v Speaker 1>that were trying to get imports into Japan and as possible,

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<v Speaker 1>because they didn't want that competition there, So they were

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<v Speaker 1>trying to deny foreign companies access to distribution chains in Japan,

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<v Speaker 1>for example. And when we come back to this a

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<v Speaker 1>little bit later in this episode, we'll see how these

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<v Speaker 1>companies in this council would have a profound impact on

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<v Speaker 1>the electronics market in the United States anyway. Also in

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<v Speaker 1>nineteen fifty six, Konosuke held his own meeting within matt Sushida,

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<v Speaker 1>and he laid out an ambitious five year plan. So

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<v Speaker 1>in nineteen fifty six, the company posted annual sales of

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<v Speaker 1>twenty two billion yen. Now, if we adjusted that for inflation,

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<v Speaker 1>that would be nearly one thirty five billion yen today.

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<v Speaker 1>I would give those figures in dollars, but then you

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<v Speaker 1>have to consider stuff like the historic exchange rates, and

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<v Speaker 1>it really gets difficult to find resources that include exchange

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<v Speaker 1>rates the date back that far so I can't really

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<v Speaker 1>tell you how much that is in US dollars in

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<v Speaker 1>a meaningful way. Anyway. The start point was twenty two

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<v Speaker 1>billion yen, but Konosuke wanted to have sales climbed to

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<v Speaker 1>eighty billion yon within five years. He also wanted the

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<v Speaker 1>assets for the company to increase from three billionion to

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<v Speaker 1>ten billion yen, and he wanted to grow the company

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<v Speaker 1>by seven thousand employees at the end of those five years.

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<v Speaker 1>So this was a pretty ambitious and aggressive plan, but

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<v Speaker 1>Konosuke argued that it really reflected what the people of

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<v Speaker 1>Japan wanted, and the company restructured. It had grown to

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<v Speaker 1>eleven divisions up to that point, but now they subdivided that,

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<v Speaker 1>so now it was fifteen divisions. Konosuke did this because

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<v Speaker 1>he really believed that each division needed enough autonomy to

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<v Speaker 1>make decisions that would benefit that specific division and not

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<v Speaker 1>get tied up with the fate of the company at large.

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<v Speaker 1>So that way, the consumer electronics division and an industrial

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<v Speaker 1>like business to business vision could each operate independently of

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<v Speaker 1>each other and not have to worry about the success

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<v Speaker 1>or failure of one affecting the other. While the plan

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<v Speaker 1>was ambitious, it turned out that it was also achievable

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<v Speaker 1>because the company would hit all the goals of this

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<v Speaker 1>five year plan in just a little more than four years.

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<v Speaker 1>Jumping back to ninety six just for a second, that's

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<v Speaker 1>also the year that Matt Sushida introduced an electric automatic

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<v Speaker 1>rice cooker. The cooker had a heater inside it that

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<v Speaker 1>used the same general process as the heating coils that

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<v Speaker 1>I talked about in the previous episode with irons, so

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<v Speaker 1>I won't go into it again, but it also had

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<v Speaker 1>a thermostat that could cut off power to the heating

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<v Speaker 1>coils after the cooker had reached a target temperature, which

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<v Speaker 1>meant the cooker wouldn't burn the rice. So how the

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<v Speaker 1>heck do thermostats work? I mean, this is a tech

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<v Speaker 1>stuff episode, right, and you knew I was going to

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<v Speaker 1>have to do this. We'll be looking specifically at electro

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<v Speaker 1>mechanical thermostats. There are more modern thermostats that are purely electronic.

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<v Speaker 1>They have sensors that can measure heat in very precise

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<v Speaker 1>ways and thus send a command for a heating or

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<v Speaker 1>cooling element to stop or start, depending on the situation,

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<v Speaker 1>But older thermostats depended on a different approach. These thermostats

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<v Speaker 1>work because of physics and how metal expands in the

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<v Speaker 1>presence of heat. So why does metal even do that?

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<v Speaker 1>When the metal heats up, the atoms in the metal

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<v Speaker 1>gain more energy and they move around more because atoms

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<v Speaker 1>are always moving, well, nearly always. If a material were

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<v Speaker 1>to cool down to like absolute zero, the atoms would

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<v Speaker 1>essentially freeze in place. There'd be no atomic movement. But

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<v Speaker 1>if you add energy in the form of heat in

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<v Speaker 1>this case, it will cause the atoms to boogie down

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<v Speaker 1>a bit more. They'll move around more than they did before.

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<v Speaker 1>And as they do that, they take up more space

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<v Speaker 1>than they used to, and so the piece of metal

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<v Speaker 1>as a whole expands because those individual atoms and molecules

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<v Speaker 1>are pushing each other apart as they get funky with

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<v Speaker 1>the heat. I can completely identify with that. However, different

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<v Speaker 1>metals don't all do this at the same rate. They

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<v Speaker 1>have different expansion rates. Some metals expand more slowly than others,

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<v Speaker 1>and you can think of these metals as having atoms

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<v Speaker 1>that have a different tolerance to heat. They just aren't

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<v Speaker 1>as impressed as the temperature goes up. If you take

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<v Speaker 1>two different metals that expand at different rates, and then

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<v Speaker 1>you sandwich them together so that you get a strip

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<v Speaker 1>of metal where one side is one metal, the other

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<v Speaker 1>side is the other metal. You have created a bimetallic strip.

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<v Speaker 1>And if you apply heat to this strip, one side

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<v Speaker 1>of the strip will expand faster than the other. So

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<v Speaker 1>one side is expanding quickly, the other one is less quickly,

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<v Speaker 1>and so that means that the expanded side's going to

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<v Speaker 1>start to curl around. As a result, it deforms the

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<v Speaker 1>bimetallic strip. And your typical electro mechanical thermostat has a

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<v Speaker 1>bimetallic strip and that that does this, and as it expands,

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<v Speaker 1>it will displace or tip a component that acts like

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<v Speaker 1>a switch. In old air conditioners. This would tend to

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<v Speaker 1>be a vial of mercury, and the mercury would have

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<v Speaker 1>some wires attached inside the vial that would come into

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<v Speaker 1>contact with the mercury. Depending on the vial's orientation. Liquid

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<v Speaker 1>mercury conducts electricity. That's an important part of this. So

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<v Speaker 1>depending upon the vial's orientation, the heater or the air

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<v Speaker 1>conditioner and the circulation fans would turn on or off.

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<v Speaker 1>So with this rice cooker, the thermostat would trip upon

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<v Speaker 1>reaching a particular temperature and power would stop flowing to

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<v Speaker 1>the heating coils. Matt Sushida wasn't the first company to

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<v Speaker 1>offer an automatic electric rice. The competitor Toshiba had one

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<v Speaker 1>that came out a year earlier, but Matt Sushida's version

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<v Speaker 1>boosted awareness of this technology, and in ninety seven the

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<v Speaker 1>category of automatic rice cookers really began to take off

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<v Speaker 1>in Japan. In nineteen fifty eight, Matt Sushida produced the

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<v Speaker 1>company's first home tape recorder audio tape. This was the

0:14:23.880 --> 0:14:26.800
<v Speaker 1>r Q two A one. This wasn't a cassette tape

0:14:26.840 --> 0:14:29.760
<v Speaker 1>player like the kind that would dominate the nineteen eighties

0:14:29.800 --> 0:14:32.440
<v Speaker 1>when I was a kid. This was a real to

0:14:32.640 --> 0:14:36.680
<v Speaker 1>reel tape recorder. So, hey, guess what. We get to

0:14:36.720 --> 0:14:39.000
<v Speaker 1>talk about how these work really quickly. And this is

0:14:39.040 --> 0:14:41.640
<v Speaker 1>helpful because it also gives you an understanding of how

0:14:41.760 --> 0:14:45.920
<v Speaker 1>magnetic storage works in general, whether it's for audio or

0:14:46.120 --> 0:14:50.200
<v Speaker 1>video or computer data storage or whatever. So let's start

0:14:50.400 --> 0:14:53.960
<v Speaker 1>with the actual tape, and this is the stuff that

0:14:54.160 --> 0:14:58.560
<v Speaker 1>stores information. Basically, it's a strip of plastic material that

0:14:58.640 --> 0:15:03.280
<v Speaker 1>has a ferric ox eye powder bonded to that plastic

0:15:03.320 --> 0:15:07.280
<v Speaker 1>material through some binding agent. Essentially, you can think of

0:15:07.320 --> 0:15:10.720
<v Speaker 1>a binding agent is kind of like glue. Ferric Oxide

0:15:11.080 --> 0:15:13.800
<v Speaker 1>is an oxide of iron. The one most of us

0:15:13.840 --> 0:15:18.240
<v Speaker 1>tend to encounter is iron oxide that's also known as rust,

0:15:18.320 --> 0:15:21.560
<v Speaker 1>but ferric oxide is a little different. Iron oxide is

0:15:21.600 --> 0:15:25.440
<v Speaker 1>made up of one iron atom and one oxygen atom,

0:15:25.920 --> 0:15:31.160
<v Speaker 1>whereas ferric oxide is too iron atoms and three oxygen atoms,

0:15:31.240 --> 0:15:35.680
<v Speaker 1>and that makes all the difference. Really. Ferric Oxide is

0:15:35.760 --> 0:15:39.880
<v Speaker 1>ferro magnetic. That means that if you expose ferric oxide

0:15:40.000 --> 0:15:44.680
<v Speaker 1>to a magnetic field, the field will permanently magnetize that

0:15:44.760 --> 0:15:48.880
<v Speaker 1>ferric oxide. And this is what lets us record information

0:15:49.000 --> 0:15:53.720
<v Speaker 1>to magnetic tape. Using an electro magnet. You can subject

0:15:54.040 --> 0:15:56.640
<v Speaker 1>parts of that tape to a magnetic field as the

0:15:56.680 --> 0:15:59.360
<v Speaker 1>tape passes by, So as the reels are turning, the

0:15:59.400 --> 0:16:05.040
<v Speaker 1>tape is being pulled across underneath an electronic writing head

0:16:05.640 --> 0:16:08.880
<v Speaker 1>that has this electro magnet in it, so it creates

0:16:08.920 --> 0:16:12.640
<v Speaker 1>this magnetic flux generated by that electro magnet, and that

0:16:12.720 --> 0:16:16.560
<v Speaker 1>affects the particles on the tape. It aligns those particles

0:16:16.640 --> 0:16:21.840
<v Speaker 1>in specific ways. So during playback, when the reels are

0:16:21.880 --> 0:16:27.200
<v Speaker 1>rewound and played back across this same electro magnet, the

0:16:27.280 --> 0:16:32.080
<v Speaker 1>head is no longer active, it's in passive mode. But

0:16:32.480 --> 0:16:36.480
<v Speaker 1>the tape's motion creates a magnetic flux that the electro

0:16:36.600 --> 0:16:39.880
<v Speaker 1>magnet picks up and creates a signal out of that.

0:16:39.960 --> 0:16:43.680
<v Speaker 1>So you get a reversible process here. You have one

0:16:43.720 --> 0:16:48.240
<v Speaker 1>signal that you can encode through magnetism, and then use

0:16:48.320 --> 0:16:53.160
<v Speaker 1>that magnetism to regenerate that encoded signal and send it

0:16:53.200 --> 0:16:56.400
<v Speaker 1>back through say an amplifier, to speakers, so you can

0:16:56.440 --> 0:16:59.160
<v Speaker 1>listen to the audio you've recorded. So again, if you

0:16:59.160 --> 0:17:02.320
<v Speaker 1>speak into a micro phone, the microphone converts the kinetic

0:17:02.440 --> 0:17:05.920
<v Speaker 1>energy of your voice that you impart to a little

0:17:05.960 --> 0:17:10.840
<v Speaker 1>diaphragm that's inside the microphone into electrical signals, and those

0:17:10.880 --> 0:17:14.120
<v Speaker 1>signals typically passed through an amplifier to boost their strength

0:17:14.200 --> 0:17:17.199
<v Speaker 1>before they feed into a recorder, which then takes that

0:17:17.240 --> 0:17:21.000
<v Speaker 1>electric signal and generates a magnetic fluctuation that passes on

0:17:21.040 --> 0:17:24.160
<v Speaker 1>to the tape. The tape holds the record of that fluctuation,

0:17:24.400 --> 0:17:27.159
<v Speaker 1>and on playback, the whole process is reversed, except in

0:17:27.200 --> 0:17:30.280
<v Speaker 1>this case, the signal doesn't go back to the microphone.

0:17:30.320 --> 0:17:33.399
<v Speaker 1>It would go say two set of speakers after passing

0:17:33.400 --> 0:17:37.320
<v Speaker 1>through an amplifier. Real to real tape recorders are super cool,

0:17:37.720 --> 0:17:42.720
<v Speaker 1>but they didn't become household systems. They aren't terribly convenient,

0:17:43.119 --> 0:17:45.720
<v Speaker 1>and storing real to real tapes is a pain because

0:17:45.720 --> 0:17:48.280
<v Speaker 1>they take up a good amount of space. The development

0:17:48.280 --> 0:17:50.920
<v Speaker 1>of the cassette tape, which would come a few years later,

0:17:51.480 --> 0:17:55.119
<v Speaker 1>would put the reels inside a little plastic cassette and

0:17:55.160 --> 0:17:57.320
<v Speaker 1>those were much easier to use, and that would change

0:17:57.320 --> 0:18:00.399
<v Speaker 1>things dramatically, but we're a little too early for that

0:18:00.440 --> 0:18:03.280
<v Speaker 1>with the r Q two oh one. I've looked at

0:18:03.280 --> 0:18:05.840
<v Speaker 1>photos of this particular tape recorder and I gotta admit

0:18:05.880 --> 0:18:08.960
<v Speaker 1>I really dig it. It looks kind of like a briefcase.

0:18:09.000 --> 0:18:11.199
<v Speaker 1>It's got a handle on the top of it. You

0:18:11.240 --> 0:18:13.320
<v Speaker 1>did have to plug it into a wall, so it

0:18:13.359 --> 0:18:17.040
<v Speaker 1>was portable, but it wasn't battery operated. The same year

0:18:17.119 --> 0:18:19.760
<v Speaker 1>that Matt sushied To introduced the tape layer, it also

0:18:19.880 --> 0:18:23.520
<v Speaker 1>launched a room air conditioner, one of the earliest small

0:18:23.560 --> 0:18:26.879
<v Speaker 1>air conditioners intended for home use in Japan. There's a

0:18:26.960 --> 0:18:29.520
<v Speaker 1>small unit that could be mounted in a window. The

0:18:29.560 --> 0:18:31.960
<v Speaker 1>company produced eleven hundred of them in the first year

0:18:32.000 --> 0:18:34.800
<v Speaker 1>of production, and I am not going to go through

0:18:34.800 --> 0:18:38.200
<v Speaker 1>how air conditioners work. That's because I already talked about

0:18:38.240 --> 0:18:42.000
<v Speaker 1>how refrigerators work in our last episode, and an air

0:18:42.040 --> 0:18:44.720
<v Speaker 1>conditioner works in pretty much the same way with heat

0:18:44.720 --> 0:18:48.600
<v Speaker 1>exchange coils and fans and then compressor and expansion valve,

0:18:48.640 --> 0:18:50.919
<v Speaker 1>all that kind of stuff. So you've been spared that

0:18:50.960 --> 0:18:55.119
<v Speaker 1>whole discussion because we already had it. You're welcome. Now.

0:18:55.119 --> 0:18:57.879
<v Speaker 1>I've got a lot more to say about Matt Sushida

0:18:58.040 --> 0:19:01.200
<v Speaker 1>slash Pana Sonic, but first, let's say a quick break.

0:19:08.920 --> 0:19:12.320
<v Speaker 1>By the late nineteen fifties, Matt Sushida the future Pana

0:19:12.400 --> 0:19:15.840
<v Speaker 1>Sonic was starting to see an increase in international sales,

0:19:16.280 --> 0:19:19.800
<v Speaker 1>though Kona Suke believed that they hadn't really even scratched

0:19:19.800 --> 0:19:22.800
<v Speaker 1>the surface yet. In the fall of nineteen fifty nine,

0:19:23.000 --> 0:19:26.000
<v Speaker 1>the company established its first office in North America, the

0:19:26.080 --> 0:19:30.560
<v Speaker 1>Matt Sushida Electric Corporation of America in New York. By

0:19:30.600 --> 0:19:34.080
<v Speaker 1>this time, the company was producing transistor radios, and again

0:19:34.119 --> 0:19:36.840
<v Speaker 1>it was not the first company to do this. Matt

0:19:36.840 --> 0:19:41.719
<v Speaker 1>Sushida was not necessarily an innovator of technology, but it

0:19:41.720 --> 0:19:46.600
<v Speaker 1>did adopt them pretty quickly in order to produce consumer

0:19:46.640 --> 0:19:51.320
<v Speaker 1>products for the various markets. Engineers at Bell Labs were

0:19:51.359 --> 0:19:53.760
<v Speaker 1>actually the first to develop the transistor all the way

0:19:53.800 --> 0:19:56.840
<v Speaker 1>back in n seven, though the transistor they made was

0:19:57.040 --> 0:19:59.359
<v Speaker 1>far too large to be used in electronics. It was

0:19:59.400 --> 0:20:02.400
<v Speaker 1>more of a of concept. However, it didn't take long

0:20:02.440 --> 0:20:07.280
<v Speaker 1>for companies to start manufacturing smaller transistors and other companies

0:20:07.320 --> 0:20:10.920
<v Speaker 1>to then take those transistors and use them in consumer products.

0:20:11.200 --> 0:20:13.800
<v Speaker 1>So by the late nineteen fifties, Matte Sushida would join

0:20:14.080 --> 0:20:19.159
<v Speaker 1>lots of other electronic companies that we're already producing transistor radios.

0:20:19.320 --> 0:20:23.240
<v Speaker 1>The main purpose of the transistor was to amplify signals,

0:20:23.280 --> 0:20:26.359
<v Speaker 1>something that vacuum tubes had done before. And I've talked

0:20:26.359 --> 0:20:28.359
<v Speaker 1>a lot about how this works, so really we just

0:20:28.400 --> 0:20:30.960
<v Speaker 1>need to think about the general concept. You start off

0:20:30.960 --> 0:20:34.960
<v Speaker 1>with a relatively weak signal that holds the information you want,

0:20:35.359 --> 0:20:38.679
<v Speaker 1>like a radio broadcast, for example. So you've got a

0:20:38.760 --> 0:20:41.960
<v Speaker 1>radio and a radio antenna picks up the broadcast signal.

0:20:42.440 --> 0:20:47.320
<v Speaker 1>The antenna converts that signal into a weak electric signal. Technically,

0:20:47.400 --> 0:20:50.879
<v Speaker 1>the antenna is not converting anything. It's all about physics.

0:20:50.920 --> 0:20:54.199
<v Speaker 1>But anyway, you get the radio broadcast converted into a

0:20:54.240 --> 0:20:57.760
<v Speaker 1>weak electric signal that goes through the antenna to the radio.

0:20:57.800 --> 0:21:02.479
<v Speaker 1>But that signals typically not wrong enough to really drive

0:21:02.600 --> 0:21:06.439
<v Speaker 1>something like speakers effectively, So if you try to listen

0:21:06.800 --> 0:21:09.199
<v Speaker 1>to a radio that didn't have an amplifier in it,

0:21:09.680 --> 0:21:12.760
<v Speaker 1>you would get a very quiet result. So the purpose

0:21:12.960 --> 0:21:17.560
<v Speaker 1>of the transistor is to boost this signal without otherwise

0:21:17.640 --> 0:21:20.560
<v Speaker 1>altering it. So it's all about giving the signal more oomph,

0:21:20.840 --> 0:21:23.359
<v Speaker 1>but not changing it in any other way because that

0:21:23.400 --> 0:21:28.120
<v Speaker 1>would just scramble the output. Vacuum tubes served that purpose

0:21:28.160 --> 0:21:32.119
<v Speaker 1>for decades, but they are large, they're delicate, they're kind

0:21:32.160 --> 0:21:35.520
<v Speaker 1>of like lightbulbs, and they put out a lot of heat,

0:21:35.760 --> 0:21:40.520
<v Speaker 1>so they weren't ideal for portable electronics in general. They

0:21:40.640 --> 0:21:44.240
<v Speaker 1>do still serve a purpose in electronics today, particularly with

0:21:44.840 --> 0:21:51.080
<v Speaker 1>musicians amplifiers. Guitarists swear by amplifiers that are too be

0:21:51.119 --> 0:21:54.720
<v Speaker 1>amplifiers versus transistor amplifiers, and as soon as I get

0:21:54.720 --> 0:21:57.680
<v Speaker 1>my guitar this week, i'll be able to tell you

0:21:57.800 --> 0:22:02.800
<v Speaker 1>my thoughts on it. Kind of The transistor, though, allowed

0:22:02.840 --> 0:22:07.399
<v Speaker 1>for menturization because the transistors themselves were smaller than vacuum tubes,

0:22:07.720 --> 0:22:10.080
<v Speaker 1>and also because they didn't put out as much heat,

0:22:10.440 --> 0:22:12.639
<v Speaker 1>so you could have a small reform factor and not

0:22:12.680 --> 0:22:16.639
<v Speaker 1>worried about it overheating and becoming a problem. Panasonics transistor

0:22:16.720 --> 0:22:19.520
<v Speaker 1>radios would become a success story in the United States,

0:22:19.880 --> 0:22:23.399
<v Speaker 1>driving much of the overseas sales numbers, and it didn't

0:22:23.480 --> 0:22:27.000
<v Speaker 1>hurt that the name pana Sonic applied equally well to

0:22:27.160 --> 0:22:30.560
<v Speaker 1>radios as it did to the speaker systems that came before.

0:22:31.240 --> 0:22:35.640
<v Speaker 1>In nineteen sixty, the company developed its first color television set,

0:22:35.720 --> 0:22:40.560
<v Speaker 1>the National K twenty one ten. So since this is national,

0:22:40.640 --> 0:22:43.159
<v Speaker 1>we know that this was for the Japanese market. This

0:22:43.200 --> 0:22:45.920
<v Speaker 1>one had a twenty one inch screen on the diagonal

0:22:46.200 --> 0:22:48.600
<v Speaker 1>and it was a hefty critter. It was inside a cabinet.

0:22:49.119 --> 0:22:52.360
<v Speaker 1>Um it's kind of hard to cover everything that the

0:22:52.400 --> 0:22:55.480
<v Speaker 1>company was doing. And while I'm mostly familiar with the

0:22:55.480 --> 0:22:59.359
<v Speaker 1>consumer electronics side of the company, that was really just

0:22:59.520 --> 0:23:03.000
<v Speaker 1>one to vision of many. This is a company that

0:23:03.040 --> 0:23:06.480
<v Speaker 1>did lots and does lots of stuff. It's just that

0:23:06.560 --> 0:23:09.520
<v Speaker 1>the things that are most visible to to me happen

0:23:09.560 --> 0:23:12.159
<v Speaker 1>to be the consumer electronics. Mattsshida was also in the

0:23:12.160 --> 0:23:16.080
<v Speaker 1>business of producing heavy grade electrical equipment for industrial purposes,

0:23:16.440 --> 0:23:20.680
<v Speaker 1>like stuff like transformers. More than meets the eye, So

0:23:21.680 --> 0:23:24.080
<v Speaker 1>you know, I haven't talked about transformers in a while either.

0:23:24.359 --> 0:23:26.480
<v Speaker 1>This is why I love doing these history episodes. By

0:23:26.480 --> 0:23:29.159
<v Speaker 1>the way, guys, it lets me fit in tons of

0:23:29.400 --> 0:23:33.520
<v Speaker 1>how this tech works, so I sneak in some technical

0:23:34.080 --> 0:23:37.879
<v Speaker 1>education along with historical education. So transformers are a way

0:23:37.880 --> 0:23:42.280
<v Speaker 1>to change the voltage when you're transmitting electricity from one

0:23:42.320 --> 0:23:46.600
<v Speaker 1>place to another as long as that electricity is alternating current,

0:23:46.960 --> 0:23:49.720
<v Speaker 1>meaning that the direction that the current flows and switches

0:23:49.760 --> 0:23:52.480
<v Speaker 1>many times a second. And it's all because of some

0:23:52.600 --> 0:23:57.760
<v Speaker 1>interesting elements of electro magnetism. Now I mentioned electro magnets

0:23:57.760 --> 0:24:00.280
<v Speaker 1>with tape recorders, so this kind of builds on at

0:24:00.440 --> 0:24:04.399
<v Speaker 1>If you run a conductive wire around, say an iron core,

0:24:05.000 --> 0:24:08.360
<v Speaker 1>and then you run a current through that coil of wire,

0:24:08.880 --> 0:24:13.080
<v Speaker 1>you'll create a magnetic field. With direct current, this ends

0:24:13.119 --> 0:24:16.200
<v Speaker 1>up being a steady magnetic field, but if you use

0:24:16.359 --> 0:24:21.479
<v Speaker 1>alternating current, you get a fluctuating magnetic field. The field

0:24:21.640 --> 0:24:24.520
<v Speaker 1>changes as the direction of the current changes. So the

0:24:24.520 --> 0:24:27.560
<v Speaker 1>magnetic field fluctuates as many times a second as the

0:24:27.600 --> 0:24:31.800
<v Speaker 1>current changes direction. Now, one thing that is super cool

0:24:32.000 --> 0:24:35.600
<v Speaker 1>about electro magnets is that if you put one next

0:24:35.640 --> 0:24:39.399
<v Speaker 1>to another one and you run alternating current through the

0:24:39.560 --> 0:24:42.639
<v Speaker 1>first of your two electromagnets, and the second one doesn't

0:24:42.640 --> 0:24:45.960
<v Speaker 1>have anything going through it at all, that fluctuating magnetic

0:24:46.000 --> 0:24:51.159
<v Speaker 1>field from that primary electro magnet will induce current to

0:24:51.280 --> 0:24:55.720
<v Speaker 1>flow through the second electro magnet. So, just as electricity

0:24:55.760 --> 0:24:58.840
<v Speaker 1>flowing through a coil will create a magnetic field, a

0:24:58.960 --> 0:25:04.320
<v Speaker 1>coil in countering a magnetic field will have current flow

0:25:04.400 --> 0:25:08.400
<v Speaker 1>through it. Now, that's true as long as the magnetic

0:25:08.440 --> 0:25:11.520
<v Speaker 1>field is changing in some way. The changing magnetic field

0:25:11.600 --> 0:25:14.480
<v Speaker 1>is necessary if you want the current to keep flowing. Otherwise,

0:25:15.080 --> 0:25:18.359
<v Speaker 1>current will flow as the coil encounters a magnetic field,

0:25:18.640 --> 0:25:21.359
<v Speaker 1>and then it will stop if the magnetic field doesn't

0:25:21.440 --> 0:25:23.320
<v Speaker 1>change at all. So if the coil stops moving if

0:25:23.359 --> 0:25:26.320
<v Speaker 1>the magnetic field is stable, you won't get current to flow.

0:25:27.400 --> 0:25:32.280
<v Speaker 1>Transformers work by pairing two coils together, primary coil and

0:25:32.320 --> 0:25:36.040
<v Speaker 1>a secondary coil, and the ratio of the number of

0:25:36.200 --> 0:25:39.960
<v Speaker 1>loops of each coil between the two. That ratio determines

0:25:40.000 --> 0:25:43.399
<v Speaker 1>how much the voltage will either step up or increase,

0:25:44.080 --> 0:25:48.640
<v Speaker 1>or step down or decrease. If the primary coil has

0:25:48.720 --> 0:25:53.240
<v Speaker 1>more loops than the secondary coil, you've got yourself a

0:25:53.320 --> 0:25:57.359
<v Speaker 1>step down transformer. The voltage that's going out of the

0:25:57.359 --> 0:25:59.919
<v Speaker 1>transformer is going to be lower than the voltage was

0:26:00.080 --> 0:26:04.240
<v Speaker 1>going in. Now that's important. If you're delivering electricity from

0:26:04.280 --> 0:26:07.840
<v Speaker 1>a main transmission line to a building like a house,

0:26:07.920 --> 0:26:11.320
<v Speaker 1>you don't want high voltage going into the house. You

0:26:11.359 --> 0:26:16.320
<v Speaker 1>would have to say danger, danger, high voltage. That's an

0:26:16.320 --> 0:26:18.919
<v Speaker 1>Electric six reference. If you don't know who Electric six is,

0:26:18.960 --> 0:26:22.639
<v Speaker 1>you should definitely listen to that music. Anyway, If the

0:26:22.680 --> 0:26:26.439
<v Speaker 1>secondary coil actually has more loops than the primary coil,

0:26:26.800 --> 0:26:29.720
<v Speaker 1>then you've got yourself a step up transformer. It means

0:26:29.720 --> 0:26:32.959
<v Speaker 1>the outgoing voltage is going to be higher than the

0:26:33.000 --> 0:26:36.240
<v Speaker 1>incoming voltage. This is what you would use to transmit

0:26:36.320 --> 0:26:40.480
<v Speaker 1>electricity across far distances where you need that high voltage

0:26:40.720 --> 0:26:44.439
<v Speaker 1>to push electricity through with as little loss as you

0:26:44.480 --> 0:26:49.080
<v Speaker 1>can manage. This is ultimately why alternating current one out

0:26:49.200 --> 0:26:52.960
<v Speaker 1>over direct current, because transmitting direct current over long distances

0:26:53.480 --> 0:26:55.760
<v Speaker 1>was a challenge in the early days of electricity, and

0:26:55.800 --> 0:26:58.720
<v Speaker 1>typically admit that you really had to build lots more

0:26:58.760 --> 0:27:01.439
<v Speaker 1>power plants to be those to the areas where the

0:27:01.480 --> 0:27:06.520
<v Speaker 1>electricity was going. One other neat thing about transformers is

0:27:06.560 --> 0:27:11.240
<v Speaker 1>that there really aren't any moving parts. Transformer doesn't wear

0:27:11.359 --> 0:27:14.120
<v Speaker 1>down the same way that mechanical systems do over time.

0:27:14.880 --> 0:27:20.080
<v Speaker 1>That being said, things can and do go wrong with transformers,

0:27:20.160 --> 0:27:24.879
<v Speaker 1>and not just Decepticons. If you've ever witnessed this firsthand,

0:27:24.920 --> 0:27:27.240
<v Speaker 1>you know how spectacular it can be to see a

0:27:27.280 --> 0:27:31.680
<v Speaker 1>transformer blow. If the installation around one of the coils

0:27:31.720 --> 0:27:34.840
<v Speaker 1>happens to wear down, or it corrodes, or if the

0:27:34.880 --> 0:27:39.240
<v Speaker 1>transformer is really close to a lightning strike, the transformer

0:27:39.320 --> 0:27:42.400
<v Speaker 1>can heat up and give out a spark. Now, typically

0:27:42.640 --> 0:27:46.520
<v Speaker 1>transformers use mineral oil as a coolant to keep things

0:27:46.520 --> 0:27:51.280
<v Speaker 1>at operational temperature, but mineral oil can burn, and if

0:27:51.320 --> 0:27:55.320
<v Speaker 1>it does, it will create pressure inside the sealed transformer,

0:27:55.359 --> 0:27:58.439
<v Speaker 1>and when that pressure is great enough, it causes the

0:27:58.480 --> 0:28:01.800
<v Speaker 1>transformer to burst been and typically you get a really

0:28:01.800 --> 0:28:04.800
<v Speaker 1>loud bang and a lot of sparks and maybe even

0:28:04.840 --> 0:28:07.520
<v Speaker 1>some flames, and those sparks tend to be kind of

0:28:07.520 --> 0:28:11.119
<v Speaker 1>bluish green there really spectacular, especially when it happens at

0:28:11.240 --> 0:28:14.400
<v Speaker 1>night or whenever the sky is super dark. And I've

0:28:14.440 --> 0:28:18.000
<v Speaker 1>seen this happen a few times, and I'll never forget

0:28:18.040 --> 0:28:19.760
<v Speaker 1>the first time I ever saw it. It was when

0:28:19.840 --> 0:28:22.040
<v Speaker 1>I was a kid. I was in the back seat

0:28:22.160 --> 0:28:25.280
<v Speaker 1>of my parents car, and we were driving through Atlanta,

0:28:25.520 --> 0:28:28.199
<v Speaker 1>and that by itself was outside the norm for us,

0:28:28.200 --> 0:28:31.320
<v Speaker 1>because I grew up in rural Georgia. To us, Atlanta

0:28:31.520 --> 0:28:36.080
<v Speaker 1>was the big, big city. And I remember a transformer

0:28:36.119 --> 0:28:38.800
<v Speaker 1>blew up not too far from our car. It was

0:28:38.840 --> 0:28:40.800
<v Speaker 1>a couple of card links ahead and on the left

0:28:40.800 --> 0:28:43.440
<v Speaker 1>hand side, and at first I thought maybe someone had

0:28:43.440 --> 0:28:46.520
<v Speaker 1>fired off a shotgun or something. I had no idea

0:28:46.600 --> 0:28:49.080
<v Speaker 1>what had happened, and my dad actually explained to me

0:28:49.160 --> 0:28:52.160
<v Speaker 1>what was going on, and I have never forgotten how

0:28:52.160 --> 0:28:55.440
<v Speaker 1>startling that was. Anyway, let's get back to the history

0:28:55.440 --> 0:29:00.000
<v Speaker 1>of Matsushita slash Panasonic. In nineteen sixty one, matt Sushi,

0:29:00.040 --> 0:29:02.959
<v Speaker 1>you began to expand operations by not just opening up

0:29:02.960 --> 0:29:07.400
<v Speaker 1>sales offices in other countries, but also actual manufacturing plants,

0:29:07.440 --> 0:29:10.960
<v Speaker 1>putting the manufacturing closer to where you were going to

0:29:11.040 --> 0:29:14.280
<v Speaker 1>sell the stuff. The first of those was a battery

0:29:14.320 --> 0:29:18.760
<v Speaker 1>production facility called the National Thai Company or in TC.

0:29:19.960 --> 0:29:23.280
<v Speaker 1>That should not be confused with one of many other

0:29:23.640 --> 0:29:27.120
<v Speaker 1>entities that also go by the name in TC. I

0:29:27.160 --> 0:29:29.680
<v Speaker 1>actually got a little confused when I first came across

0:29:29.760 --> 0:29:32.840
<v Speaker 1>this name and had to research it further because it

0:29:32.880 --> 0:29:35.680
<v Speaker 1>was like, is this the NTC I'm thinking of? It

0:29:35.760 --> 0:29:40.360
<v Speaker 1>was not. Names are hard y'all. The company also established

0:29:40.480 --> 0:29:44.680
<v Speaker 1>or helped establish plants in places like Uruguay and Pakistan,

0:29:45.200 --> 0:29:47.800
<v Speaker 1>and by the end of the decade, it would expand

0:29:47.840 --> 0:29:52.680
<v Speaker 1>operations to the Philippines, to Australia, Peru, Mexico, Puerto Rico,

0:29:53.000 --> 0:29:57.280
<v Speaker 1>and several other places. The little company that had started

0:29:57.280 --> 0:30:00.680
<v Speaker 1>off as a workspace in a tiny room that had

0:30:00.800 --> 0:30:06.800
<v Speaker 1>dirt floors was now a global entity. Kanasuke Matsushida had

0:30:06.840 --> 0:30:10.520
<v Speaker 1>accomplished an enormous amount in his run as the founder

0:30:10.560 --> 0:30:13.440
<v Speaker 1>and president of the company, and in nineteen sixty one

0:30:13.720 --> 0:30:17.560
<v Speaker 1>he decided to step down as president, although he would

0:30:17.600 --> 0:30:20.920
<v Speaker 1>remain the chairman of the company for several more years.

0:30:21.520 --> 0:30:27.000
<v Speaker 1>His replacement was his son in law, Masaharu Matsushita, and

0:30:27.120 --> 0:30:31.440
<v Speaker 1>here we go that familial line of succession in companies again.

0:30:32.280 --> 0:30:37.360
<v Speaker 1>During Kanasuke's run, the company didn't just grow dramatically. Kanasuke's

0:30:37.400 --> 0:30:42.680
<v Speaker 1>philosophy stressed the importance of harmony, and he had a

0:30:42.720 --> 0:30:46.440
<v Speaker 1>reputation for really listening to his employees, and he led

0:30:46.480 --> 0:30:49.360
<v Speaker 1>the way in attempting to adopt fair business practices at

0:30:49.400 --> 0:30:54.600
<v Speaker 1>least in Japan in public, we'll get more into that.

0:30:55.000 --> 0:30:58.600
<v Speaker 1>His company was the first one in Japan to adopt

0:30:58.720 --> 0:31:01.400
<v Speaker 1>the five day work week. This was announced like by

0:31:01.520 --> 0:31:05.360
<v Speaker 1>nineteen sixty, it took until nineteen to actually roll out,

0:31:06.520 --> 0:31:08.560
<v Speaker 1>and that was something that other countries have been adopting

0:31:08.600 --> 0:31:11.600
<v Speaker 1>since the early nineteen hundreds, so Japan was kind of

0:31:12.280 --> 0:31:15.440
<v Speaker 1>trailing behind here. And it's actually a pretty good idea

0:31:15.480 --> 0:31:18.720
<v Speaker 1>to talk a moment about the differences in work culture

0:31:18.720 --> 0:31:22.479
<v Speaker 1>in Japan versus places like the United States. So in Japan,

0:31:22.720 --> 0:31:26.400
<v Speaker 1>the major companies are fierce competitors, not just in the

0:31:26.440 --> 0:31:32.520
<v Speaker 1>market generally when they're not you know, working secretly together,

0:31:32.760 --> 0:31:36.960
<v Speaker 1>but they're also competitive for employees. Companies seek the highest

0:31:37.000 --> 0:31:41.240
<v Speaker 1>performing students to join their ranks. Employment tends to be

0:31:41.360 --> 0:31:46.000
<v Speaker 1>a lifetime gig with those companies, so company loyalty and

0:31:46.040 --> 0:31:49.320
<v Speaker 1>the company reciprocating that loyalty over time is a big

0:31:49.360 --> 0:31:53.240
<v Speaker 1>part of the culture. Starting wages in Japanese companies are

0:31:53.320 --> 0:31:58.200
<v Speaker 1>especially around this time. We're pretty low, and we're often

0:31:58.280 --> 0:32:01.360
<v Speaker 1>tied to seniority, and you would typically stay in the

0:32:01.440 --> 0:32:05.440
<v Speaker 1>same job and just get increases in wages working that

0:32:05.560 --> 0:32:08.760
<v Speaker 1>same job through the course of your career. That is,

0:32:08.840 --> 0:32:10.680
<v Speaker 1>of course, all this is only true if you were

0:32:10.680 --> 0:32:13.560
<v Speaker 1>a full time employee. If you were a part time employee,

0:32:13.920 --> 0:32:16.600
<v Speaker 1>which included most of the women who were working in Japan,

0:32:17.120 --> 0:32:19.800
<v Speaker 1>you would not enjoy the same benefits. You wouldn't get

0:32:20.400 --> 0:32:24.360
<v Speaker 1>those same considerations. On a related note, these days, there

0:32:24.360 --> 0:32:27.120
<v Speaker 1>are a few Japanese companies that are actually experimenting with

0:32:27.240 --> 0:32:29.760
<v Speaker 1>moving to a four day work week in an effort

0:32:29.840 --> 0:32:34.080
<v Speaker 1>to reduce work stress and burnout and to boost productivity.

0:32:34.120 --> 0:32:38.000
<v Speaker 1>The booming economy of the nineteen fifties meant that consumers

0:32:38.080 --> 0:32:42.640
<v Speaker 1>were purchasing more electric appliances than ever before. The Japanese

0:32:42.680 --> 0:32:47.760
<v Speaker 1>household was modernizing, and the company's overseas manufacturing facilities could

0:32:47.760 --> 0:32:51.360
<v Speaker 1>supply Mattsushida goods to other markets as well. But this

0:32:51.480 --> 0:32:54.320
<v Speaker 1>also brought up a new need the development of a

0:32:54.400 --> 0:32:58.360
<v Speaker 1>service department, because sometimes even when we do everything correctly,

0:32:58.760 --> 0:33:03.560
<v Speaker 1>our technology break and many manufacturing companies, Mattsoshida among them,

0:33:03.720 --> 0:33:08.040
<v Speaker 1>introduced service divisions for the purpose of repairs and to

0:33:08.160 --> 0:33:12.520
<v Speaker 1>establish the correct policies and processes for service centers. If

0:33:12.560 --> 0:33:15.080
<v Speaker 1>someone wanted to open up a repair shop for matt

0:33:15.080 --> 0:33:18.560
<v Speaker 1>Sushida products, they could have their business certified through Matt

0:33:18.600 --> 0:33:23.480
<v Speaker 1>Soshida and learned the best ways to tackle common repair issues.

0:33:23.960 --> 0:33:30.200
<v Speaker 1>Mattsshida established the service division in nineteen sixty four, but

0:33:30.560 --> 0:33:33.680
<v Speaker 1>that booming economy of the nineteen fifties had gone into

0:33:33.720 --> 0:33:37.200
<v Speaker 1>a bit of the slump. In the nineteen sixties. Several

0:33:37.280 --> 0:33:41.320
<v Speaker 1>factors came together and hit Matt Sushida hard. One was

0:33:41.480 --> 0:33:45.440
<v Speaker 1>the general economic slump, which started around nineteen sixty one

0:33:45.480 --> 0:33:48.440
<v Speaker 1>and got worse year over year. Another was the volatile

0:33:48.520 --> 0:33:52.160
<v Speaker 1>market for consumer electronics, which makes sense, right. I mean,

0:33:52.200 --> 0:33:55.520
<v Speaker 1>once you buy a big appliance, you aren't likely to

0:33:55.600 --> 0:33:58.080
<v Speaker 1>need another one for a good long while. I mean,

0:33:58.120 --> 0:34:02.200
<v Speaker 1>I don't know about you, but I don't buy refrigerators

0:34:02.200 --> 0:34:06.480
<v Speaker 1>all that often. So a company might experience rapid expansion

0:34:06.520 --> 0:34:10.080
<v Speaker 1>and growth early on when a country is going through

0:34:10.120 --> 0:34:13.799
<v Speaker 1>the process of modernizing, and then see that growth plateau

0:34:13.920 --> 0:34:17.319
<v Speaker 1>or even decline as you start to get to market saturation.

0:34:17.760 --> 0:34:19.839
<v Speaker 1>You know, more households get up to speed, there are

0:34:19.880 --> 0:34:23.000
<v Speaker 1>fewer households that are in need of those things, and

0:34:23.040 --> 0:34:26.400
<v Speaker 1>that was starting to happen in Japan in the nineteen sixties.

0:34:26.800 --> 0:34:30.080
<v Speaker 1>The company had produced more goods than it could sell,

0:34:30.719 --> 0:34:34.320
<v Speaker 1>so supply was outstripping demand, and the company was hurting.

0:34:34.640 --> 0:34:38.520
<v Speaker 1>In nineteen sixty four, the company posted a decline in profits,

0:34:38.560 --> 0:34:42.440
<v Speaker 1>which was the first decline in profits since nineteen fifty,

0:34:42.520 --> 0:34:45.760
<v Speaker 1>and there was concern across the company, with the sales

0:34:45.800 --> 0:34:50.520
<v Speaker 1>departments blaming production, production was blaming sales. Things were coming

0:34:50.560 --> 0:34:53.520
<v Speaker 1>to a head. It was time for Konosuke to step

0:34:53.640 --> 0:34:56.120
<v Speaker 1>up again. We'll learn how he did that in just

0:34:56.200 --> 0:35:06.840
<v Speaker 1>a moment, but let's take another quick break. In nineteen

0:35:06.960 --> 0:35:10.600
<v Speaker 1>sixty four, Matt Sushida held a conference in a Tommy, Japan,

0:35:10.800 --> 0:35:13.480
<v Speaker 1>where the presidents of all the sales companies and divisions

0:35:13.480 --> 0:35:16.560
<v Speaker 1>were to gather together to talk through the problems that

0:35:16.600 --> 0:35:20.560
<v Speaker 1>the company faced. Kona Suke ultimately addressed the group and

0:35:20.640 --> 0:35:23.839
<v Speaker 1>said that the economic recession had played a large part

0:35:23.920 --> 0:35:27.360
<v Speaker 1>in the current company status, but that the company itself

0:35:27.600 --> 0:35:31.759
<v Speaker 1>had also made some bad decisions that exacerbated things, and

0:35:31.800 --> 0:35:36.080
<v Speaker 1>he stressed that all sides had some accountability in this problem,

0:35:36.120 --> 0:35:38.440
<v Speaker 1>and that trying to pen blame on one side or

0:35:38.440 --> 0:35:42.400
<v Speaker 1>the other would just delay any solution. Kanasuke himself came

0:35:42.480 --> 0:35:45.920
<v Speaker 1>out of retirement and temporarily assumed the duties of the

0:35:45.960 --> 0:35:50.240
<v Speaker 1>corporate sales division director in order to overhaul the sales

0:35:50.280 --> 0:35:54.960
<v Speaker 1>and distribution divisions at matt Sushida. Early in nineteen sixty five,

0:35:55.080 --> 0:35:58.759
<v Speaker 1>he presented his plan to reorganize the division and institute

0:35:58.760 --> 0:36:03.080
<v Speaker 1>new policies. The plan did not initially receive universal appeal,

0:36:03.400 --> 0:36:06.520
<v Speaker 1>but over time the division adopted it and the company's

0:36:06.560 --> 0:36:10.719
<v Speaker 1>fortunes began to improve. By nineteen sixty six, the company

0:36:10.760 --> 0:36:15.200
<v Speaker 1>also implemented a new wage structure. Now wages were no

0:36:15.280 --> 0:36:19.840
<v Speaker 1>longer tied to seniority as much, but rather to job classification.

0:36:20.239 --> 0:36:24.880
<v Speaker 1>Konosuke wanted to model Matsushida's operations after what he saw

0:36:25.239 --> 0:36:28.000
<v Speaker 1>when he visited the United States. He wanted them to

0:36:28.040 --> 0:36:31.120
<v Speaker 1>be more like a US company, and his ultimate goal

0:36:31.280 --> 0:36:33.879
<v Speaker 1>was to get wages closer to what people would earn

0:36:33.960 --> 0:36:36.480
<v Speaker 1>in a similar position in the United States, and it

0:36:36.480 --> 0:36:38.919
<v Speaker 1>would take several more years before the company would even

0:36:38.960 --> 0:36:42.200
<v Speaker 1>get close to that goal, but it was improving over time.

0:36:43.040 --> 0:36:45.560
<v Speaker 1>One of the shifts the company made was to create

0:36:45.600 --> 0:36:49.759
<v Speaker 1>a stronger communication channel between sales and production, So Konosuke

0:36:49.960 --> 0:36:52.240
<v Speaker 1>thought that it would be valuable to get the sales

0:36:52.280 --> 0:36:56.560
<v Speaker 1>team input on stuff that the manufacturing side should really

0:36:56.719 --> 0:36:59.720
<v Speaker 1>focus on, and the development side as well. The sales

0:36:59.719 --> 0:37:03.640
<v Speaker 1>team had experience talking with retailers, and the retailers knew

0:37:03.680 --> 0:37:07.759
<v Speaker 1>what customers were looking for. So now that Sushida was

0:37:07.800 --> 0:37:11.360
<v Speaker 1>looking to develop new products not just from their internal

0:37:11.520 --> 0:37:15.600
<v Speaker 1>R and D division, but also by responding to customer desires.

0:37:16.040 --> 0:37:19.040
<v Speaker 1>As a result, the company started developing a whole new

0:37:19.160 --> 0:37:22.640
<v Speaker 1>range of consumer electronics, some of which were on a

0:37:22.719 --> 0:37:27.600
<v Speaker 1>more whimsical side. For example, while researching this show, that

0:37:27.680 --> 0:37:30.680
<v Speaker 1>came across a radio that Panasonic produced in the nineteen

0:37:30.719 --> 0:37:35.200
<v Speaker 1>seventies called the twot A loop. It's t O O

0:37:35.400 --> 0:37:40.960
<v Speaker 1>T dash a dash l O O P. Often classified

0:37:41.040 --> 0:37:45.200
<v Speaker 1>as a novelty radio for good reason. This device kind

0:37:45.200 --> 0:37:49.880
<v Speaker 1>of looks like an oversized bracelet that is slightly offset.

0:37:49.920 --> 0:37:53.440
<v Speaker 1>It has one side that's thicker than the other, and

0:37:53.520 --> 0:37:56.239
<v Speaker 1>that thicker side holds the actual radio and speaker, and

0:37:56.239 --> 0:37:59.160
<v Speaker 1>you aren't supposed to wear it on your wrist. It

0:37:59.239 --> 0:38:02.120
<v Speaker 1>was an a M band radio only, so it only

0:38:02.320 --> 0:38:04.480
<v Speaker 1>had the ability to pick up a M stations, no

0:38:04.719 --> 0:38:08.440
<v Speaker 1>FM signals, and they go for pretty penny these days.

0:38:08.560 --> 0:38:10.920
<v Speaker 1>I just did a casual search and I saw some

0:38:11.080 --> 0:38:14.359
<v Speaker 1>listed online for between a hundred fifty dollars to two

0:38:14.440 --> 0:38:17.560
<v Speaker 1>hundred dollars now. The suggested retail price when they first

0:38:17.560 --> 0:38:22.480
<v Speaker 1>went on the market was a mere fourteen dollars cents. However,

0:38:22.520 --> 0:38:24.680
<v Speaker 1>if we adjust that for inflation, it would be quite

0:38:24.680 --> 0:38:28.720
<v Speaker 1>a bit higher. Based on the inflation calculator that I used,

0:38:29.080 --> 0:38:33.000
<v Speaker 1>fourteen dollars in say n two would be equivalent to

0:38:33.200 --> 0:38:36.799
<v Speaker 1>ninety two dollars twenty cents today. So this radio would

0:38:36.840 --> 0:38:39.080
<v Speaker 1>cost nearly a hundred bucks in today's money. So I

0:38:39.080 --> 0:38:42.200
<v Speaker 1>guess when you take that into consideration, uh, and you

0:38:42.239 --> 0:38:44.400
<v Speaker 1>think of the value they have as collector's items, the

0:38:44.480 --> 0:38:49.480
<v Speaker 1>value has only slightly appreciated when you adjust for inflation. Honestly,

0:38:49.560 --> 0:38:53.480
<v Speaker 1>that am only thing really knocks it in my book.

0:38:53.800 --> 0:38:57.600
<v Speaker 1>Mattsushida began to produce a wide variety of consumer goods

0:38:57.600 --> 0:39:00.719
<v Speaker 1>more in tune with what people wanted, just as the

0:39:00.840 --> 0:39:04.279
<v Speaker 1>Japanese economy also began to recover, which created pretty much

0:39:04.280 --> 0:39:07.040
<v Speaker 1>a perfect situation to pull the company away from the

0:39:07.120 --> 0:39:10.000
<v Speaker 1>chaos that had threatened it just a couple of years earlier.

0:39:10.600 --> 0:39:15.040
<v Speaker 1>The company continued marketing new consumer electronics, including its first

0:39:15.080 --> 0:39:19.440
<v Speaker 1>microwave oven, which was actually a very tall cabinet like

0:39:19.760 --> 0:39:22.520
<v Speaker 1>device like mook to me like. It was about four

0:39:22.640 --> 0:39:25.360
<v Speaker 1>or five feet tall, so it was intended more for

0:39:25.480 --> 0:39:29.040
<v Speaker 1>businesses than homes, so I didn't take up that much

0:39:29.080 --> 0:39:32.320
<v Speaker 1>floor space, but did require a good deal of vertical space.

0:39:32.840 --> 0:39:36.480
<v Speaker 1>In nineteen sixty seven, Matte Sushida created a new transistor

0:39:36.680 --> 0:39:40.160
<v Speaker 1>radio cassette recorder for the US called the r Q

0:39:40.440 --> 0:39:43.440
<v Speaker 1>two thirty one. I took a look at this, and

0:39:43.480 --> 0:39:45.760
<v Speaker 1>you know, it looks a lot like a radio cassette

0:39:45.760 --> 0:39:47.920
<v Speaker 1>player that I owned when I was a kid. I

0:39:47.960 --> 0:39:50.320
<v Speaker 1>had one very similar to this. One has a little

0:39:50.360 --> 0:39:53.840
<v Speaker 1>handle at the top, has the telescoping antanna and the

0:39:53.840 --> 0:39:58.520
<v Speaker 1>company's old collaborator, Phillips, had actually invented the compact cassette

0:39:58.760 --> 0:40:01.799
<v Speaker 1>format back in nine teen sixty two. Those cassettes that

0:40:01.840 --> 0:40:04.000
<v Speaker 1>I talked about being such a big thing in the

0:40:04.040 --> 0:40:08.319
<v Speaker 1>nineteen eighties, So this was the first of Matt Sushida's

0:40:08.560 --> 0:40:13.960
<v Speaker 1>radio cassette players that followed that format. UH and cassettes

0:40:13.960 --> 0:40:16.120
<v Speaker 1>were much easier to use than realtorial tape, and they

0:40:16.160 --> 0:40:18.200
<v Speaker 1>took up a lot less space. Like I said earlier,

0:40:18.560 --> 0:40:24.200
<v Speaker 1>in ninet, Matt Sushida slash Panasonic would celebrate its fiftieth anniversary.

0:40:24.440 --> 0:40:27.960
<v Speaker 1>The company created some new initiatives, including investing in sales

0:40:27.960 --> 0:40:31.440
<v Speaker 1>and production offices in towns of Japan that had seen

0:40:31.640 --> 0:40:35.719
<v Speaker 1>issues with depopulation. Young people were moving away from these

0:40:35.760 --> 0:40:38.960
<v Speaker 1>towns because they were seeking out opportunities, and most of

0:40:38.960 --> 0:40:43.480
<v Speaker 1>the big companies had offices and factories in places like

0:40:44.040 --> 0:40:48.239
<v Speaker 1>Osaka and Tokyo. So this was Matt Sushida trying to

0:40:48.280 --> 0:40:53.400
<v Speaker 1>take advantage of that workforce, not by tempting them away,

0:40:53.400 --> 0:40:57.160
<v Speaker 1>but by building centers closer to them. The company also

0:40:57.200 --> 0:41:01.600
<v Speaker 1>introduced a technology called pen assert a in a S

0:41:01.640 --> 0:41:04.560
<v Speaker 1>E R T. And when I first came across the

0:41:04.600 --> 0:41:08.840
<v Speaker 1>description of this technology, I was left with more questions

0:41:08.840 --> 0:41:11.760
<v Speaker 1>than answers. So I'm just going to quote the passage

0:41:11.800 --> 0:41:15.879
<v Speaker 1>directly from Panasonic's history so that you guys can can

0:41:15.880 --> 0:41:20.400
<v Speaker 1>hear what I first encountered. Quote. This machine represented the

0:41:20.480 --> 0:41:25.480
<v Speaker 1>start in nineteen sixty nine of automated electronic mounting devices

0:41:25.520 --> 0:41:29.359
<v Speaker 1>and components in Japan, the foundation for the company's business

0:41:29.400 --> 0:41:34.279
<v Speaker 1>in mounting machines. The original random access system was improved

0:41:34.360 --> 0:41:37.840
<v Speaker 1>and became a direct random access system in which taping

0:41:37.920 --> 0:41:40.560
<v Speaker 1>was transferred to the insertion head so that a component

0:41:40.640 --> 0:41:44.480
<v Speaker 1>was inserted without being freed This made for rapid progress

0:41:44.560 --> 0:41:48.680
<v Speaker 1>in the mounting tact time and reliability. The system became

0:41:48.719 --> 0:41:52.280
<v Speaker 1>the leader in the field of mounting machines end quote.

0:41:53.320 --> 0:41:56.120
<v Speaker 1>So I had to look into this further because I

0:41:56.160 --> 0:41:59.400
<v Speaker 1>had no clue what the heck this was talking about

0:42:00.120 --> 0:42:03.400
<v Speaker 1>mounting machines. I mean, that could that could mean so

0:42:03.480 --> 0:42:07.160
<v Speaker 1>many different things. But I'm sure most of you know

0:42:07.440 --> 0:42:09.879
<v Speaker 1>what they meant from the beginning. I'm the dumb one.

0:42:09.960 --> 0:42:12.799
<v Speaker 1>I get it. I totally own that. So what they're

0:42:12.840 --> 0:42:16.200
<v Speaker 1>talking about here are devices that you could program to

0:42:16.320 --> 0:42:20.279
<v Speaker 1>mount components onto circuit boards. So the idea here is

0:42:20.320 --> 0:42:22.920
<v Speaker 1>that you design a circuit board for you know, whatever

0:42:23.080 --> 0:42:26.960
<v Speaker 1>thing you're making, and you program a pen Assert automated

0:42:27.000 --> 0:42:30.960
<v Speaker 1>machine to go through the process of inserting components into

0:42:31.000 --> 0:42:35.200
<v Speaker 1>that circuit board in the proper arrangement and orientation. So

0:42:35.440 --> 0:42:38.200
<v Speaker 1>you feed a bunch of blank circuit boards into this

0:42:38.239 --> 0:42:40.680
<v Speaker 1>machine in a way it goes. And there have been

0:42:40.719 --> 0:42:43.919
<v Speaker 1>many devices in the pen Assert line, some with very

0:42:44.000 --> 0:42:47.160
<v Speaker 1>specific responsibilities. I watched a couple of videos of them

0:42:47.160 --> 0:42:50.680
<v Speaker 1>in action on YouTube, and some of them are pretty alarming.

0:42:50.719 --> 0:42:53.560
<v Speaker 1>They move really fast, and some of them look like

0:42:53.560 --> 0:42:55.560
<v Speaker 1>they could easily take a finger off if you weren't

0:42:55.600 --> 0:42:59.520
<v Speaker 1>being careful around them. In nineteen sixty eight, the Import

0:42:59.640 --> 0:43:04.719
<v Speaker 1>commit of the US Electronics Industries Association filed a complaint

0:43:04.760 --> 0:43:08.239
<v Speaker 1>with the US Treasury Department, and it laid out a

0:43:08.320 --> 0:43:12.600
<v Speaker 1>pretty nasty accusation. It said that there were a collection

0:43:12.640 --> 0:43:18.640
<v Speaker 1>of Japanese companies, Japanese electronics companies that were collectively under

0:43:18.680 --> 0:43:22.680
<v Speaker 1>pricing color televisions for the US market with the intent

0:43:22.800 --> 0:43:27.640
<v Speaker 1>to undermine the US market, specifically to undermine US manufacturers

0:43:27.640 --> 0:43:32.040
<v Speaker 1>of televisions. The Japanese companies were using a complicated process

0:43:32.120 --> 0:43:36.200
<v Speaker 1>that included things like rebates and incentives with retailers in

0:43:36.200 --> 0:43:41.440
<v Speaker 1>the US, essentially turning those retailers into co conspirators. And meanwhile,

0:43:41.760 --> 0:43:46.120
<v Speaker 1>those same manufacturing companies in Japan were selling television's at

0:43:46.200 --> 0:43:50.840
<v Speaker 1>premium prices in Japan, so they were selling the stuff

0:43:50.880 --> 0:43:53.440
<v Speaker 1>for very high prices in Japan and then using that

0:43:53.520 --> 0:43:57.440
<v Speaker 1>money to pay for this effort to under price stuff

0:43:57.440 --> 0:44:00.839
<v Speaker 1>in the US market. And the ensuing and investigation would

0:44:00.840 --> 0:44:03.480
<v Speaker 1>stretch on for years, but it did uncover evidence that

0:44:03.600 --> 0:44:09.160
<v Speaker 1>these allegations were true. Addressing the problem, however, most politically difficult,

0:44:09.200 --> 0:44:12.920
<v Speaker 1>as any move against Japan could mean that Japan and

0:44:12.960 --> 0:44:16.280
<v Speaker 1>maybe some other countries could impose tariffs and other trade

0:44:16.280 --> 0:44:21.440
<v Speaker 1>restrictions against the US. So no real action happened on

0:44:21.480 --> 0:44:24.680
<v Speaker 1>an official level in the United States, but American companies

0:44:24.680 --> 0:44:28.920
<v Speaker 1>that had been making televisions gradually exited the market. They

0:44:29.000 --> 0:44:33.080
<v Speaker 1>could not make a profit because Japanese companies were selling

0:44:33.120 --> 0:44:35.840
<v Speaker 1>TVs at a loss. They were selling them for less

0:44:35.840 --> 0:44:39.040
<v Speaker 1>money than it costs to make them. The story, by

0:44:39.040 --> 0:44:42.680
<v Speaker 1>the way, it gets super interesting, but it's also probably

0:44:42.760 --> 0:44:46.400
<v Speaker 1>better saved for maybe even a different podcast. However, it

0:44:46.400 --> 0:44:51.600
<v Speaker 1>does involve everything from shady trading practices to essentially buying

0:44:51.719 --> 0:44:55.640
<v Speaker 1>former politicians so that they would act as lobbyists and more,

0:44:56.280 --> 0:44:59.200
<v Speaker 1>and all of that stuff typically sticks out as some

0:44:59.239 --> 0:45:02.359
<v Speaker 1>of the really glee side of capitalism, so I think

0:45:02.360 --> 0:45:05.439
<v Speaker 1>that would probably fit on a different show better than mine.

0:45:06.000 --> 0:45:11.240
<v Speaker 1>In nineteen seventy, Matsushida sponsored an exhibit at the Expo

0:45:11.400 --> 0:45:16.279
<v Speaker 1>seventy event in Osaka, Japan. The exhibit had a traditional

0:45:16.400 --> 0:45:20.680
<v Speaker 1>Japanese building, a very traditional structure that inside had a

0:45:20.760 --> 0:45:24.120
<v Speaker 1>tea ceremony, which was an interesting nod to the history

0:45:24.200 --> 0:45:28.200
<v Speaker 1>and heritage and traditions of Japan, especially when it was

0:45:28.239 --> 0:45:31.600
<v Speaker 1>coming from a company that was associated with technology. The

0:45:31.640 --> 0:45:34.960
<v Speaker 1>company also created a time capsule, and a group of

0:45:35.000 --> 0:45:39.240
<v Speaker 1>committees selected more than two thousand objects to put into

0:45:39.400 --> 0:45:43.120
<v Speaker 1>that time capsule. Uh it was intended to be buried

0:45:43.120 --> 0:45:46.640
<v Speaker 1>and opened in five thousand years. It's only been fifty

0:45:46.719 --> 0:45:50.160
<v Speaker 1>years since they buried the capsule, so we've got a

0:45:50.200 --> 0:45:52.400
<v Speaker 1>ways to go before we can learn about the objects

0:45:52.400 --> 0:45:56.799
<v Speaker 1>that the committee's decided were quote especially representative of the

0:45:56.880 --> 0:46:01.120
<v Speaker 1>current culture as of nineteen seventy end. Quote that time

0:46:01.160 --> 0:46:06.040
<v Speaker 1>capsule is buried at Osaka Castle Park. So I really

0:46:06.120 --> 0:46:08.600
<v Speaker 1>would love to see it because I remember the seventies

0:46:09.239 --> 0:46:12.759
<v Speaker 1>and I can only imagine how embarrassing some of those

0:46:12.800 --> 0:46:15.640
<v Speaker 1>items will be. Not At the same time, the company

0:46:15.840 --> 0:46:19.719
<v Speaker 1>was dealing with some unhappy customers in Japan. You know,

0:46:19.719 --> 0:46:24.200
<v Speaker 1>there was this growing dissatisfaction among consumers in Japan. They

0:46:24.239 --> 0:46:28.160
<v Speaker 1>were seeing the gap between the list prices versus the

0:46:28.200 --> 0:46:33.239
<v Speaker 1>actual selling prices of electronics. The list price is the

0:46:33.280 --> 0:46:36.719
<v Speaker 1>price of manufacturer attributes to an item as the suggested

0:46:36.760 --> 0:46:41.080
<v Speaker 1>retail price, but retailers aren't necessarily under any obligation to

0:46:41.239 --> 0:46:45.680
<v Speaker 1>follow that, and a retailer can mark up prices in

0:46:45.719 --> 0:46:48.279
<v Speaker 1>an area where there is little competition. This can be

0:46:48.400 --> 0:46:51.399
<v Speaker 1>really profitable. You limit the number of customers you have

0:46:52.080 --> 0:46:55.040
<v Speaker 1>because you're selling stuff at a premium, but you make

0:46:55.160 --> 0:46:58.760
<v Speaker 1>more on a per sale basis. But customers were getting

0:46:58.760 --> 0:47:00.680
<v Speaker 1>tired of paying for these more cups, and they were

0:47:00.680 --> 0:47:03.440
<v Speaker 1>starting to see how expensive things were being sold for

0:47:03.640 --> 0:47:07.480
<v Speaker 1>versus how much it costs to make them. So at

0:47:07.480 --> 0:47:10.560
<v Speaker 1>one point people in Japan were proposing a boycott of

0:47:10.560 --> 0:47:15.120
<v Speaker 1>color television's, and Panasonic was an industry leader in color

0:47:15.200 --> 0:47:19.279
<v Speaker 1>TV in Japan, they would be adversely affected by this.

0:47:20.000 --> 0:47:21.920
<v Speaker 1>Uh In a way, things were coming home to roost.

0:47:21.960 --> 0:47:24.640
<v Speaker 1>The Japanese public was finally starting to object to those

0:47:24.719 --> 0:47:28.320
<v Speaker 1>high prices they've been paying for goods in Japan. Meanwhile,

0:47:28.360 --> 0:47:32.000
<v Speaker 1>the US markets were reacting to Japanese companies undercutting prices

0:47:32.040 --> 0:47:35.160
<v Speaker 1>in the market. Matt Sushida attempted to address this in

0:47:35.239 --> 0:47:39.040
<v Speaker 1>numerous ways, including setting up a customer service division kind

0:47:39.080 --> 0:47:42.160
<v Speaker 1>of in an effort to get ahead of issues. But

0:47:43.000 --> 0:47:45.000
<v Speaker 1>more or less they were able to kind of weather

0:47:45.120 --> 0:47:51.319
<v Speaker 1>these storms, even though the concerns were legit. In ninety one,

0:47:51.520 --> 0:47:55.439
<v Speaker 1>Matt Sushida would join the New York Stock Exchange while

0:47:55.480 --> 0:47:58.840
<v Speaker 1>investigations were ongoing and charges were being made. The company

0:47:58.840 --> 0:48:02.319
<v Speaker 1>continued to expand and in market more electronics, and two

0:48:02.400 --> 0:48:06.760
<v Speaker 1>years later, in nineteen seventy three, Konosuke Matsushida would retire

0:48:06.920 --> 0:48:10.680
<v Speaker 1>as chairman. He became more of an informal executive advisor.

0:48:11.040 --> 0:48:15.359
<v Speaker 1>The new chairman of the company was Arataro Takahashi, who

0:48:15.440 --> 0:48:19.279
<v Speaker 1>had worked at the company since nineteen thirty six. He

0:48:19.320 --> 0:48:22.920
<v Speaker 1>would only hold the position of chairman for four years, however,

0:48:23.200 --> 0:48:26.279
<v Speaker 1>so in our next episode we'll learn about his replacement,

0:48:27.080 --> 0:48:30.120
<v Speaker 1>and that wraps up part two of this series. So

0:48:30.160 --> 0:48:32.239
<v Speaker 1>in our next episode, we'll catch up with what's been

0:48:32.239 --> 0:48:35.600
<v Speaker 1>going on at the company, including when it officially changed

0:48:35.640 --> 0:48:38.160
<v Speaker 1>its name in two thousand eight to Pana Sonic, and

0:48:38.200 --> 0:48:40.719
<v Speaker 1>we'll learn about a couple of other scandals that the

0:48:40.760 --> 0:48:44.400
<v Speaker 1>company has weathered since the seventies, because there's some pretty

0:48:44.440 --> 0:48:47.799
<v Speaker 1>hefty ones. But that wraps up this episode. If you

0:48:47.800 --> 0:48:50.719
<v Speaker 1>guys have suggestions for future topics, I should tackle, whether

0:48:50.760 --> 0:48:54.480
<v Speaker 1>it's a company, a specific technology, a trend in tech,

0:48:55.239 --> 0:48:59.000
<v Speaker 1>person in tech, anything like that. Let me know. Send

0:48:59.000 --> 0:49:02.000
<v Speaker 1>me a message at Twitter. The handle is text stuff

0:49:02.280 --> 0:49:05.959
<v Speaker 1>hs W and I'll talk to you again really soon.

0:49:10.560 --> 0:49:13.600
<v Speaker 1>Text Stuff is an I heart Radio production. For more

0:49:13.680 --> 0:49:17.040
<v Speaker 1>podcasts from I heart Radio, visit the i heart Radio app,

0:49:17.200 --> 0:49:20.360
<v Speaker 1>Apple Podcasts, or wherever you listen to your favorite shows.