The designer of the world’s most iconic firearm has freely transferred the right to use brand name Kalashnikov to a new weapons factory. It is thought to be worth $10bn.
Izhmash, the factory producing the famous gun, is merging with
another industrial plant in the town of Izhevsk – Izhmech - into
a major armory under the brand Kalashnikov.
The managing director of Izhmash says, designer Mikhail
Kalashnikov agreed to transfer the rights in February this year,
and that the documents for registration of the rights for brand
have been submitted to the Federal Service for Intellectual
property Rospatent.
The factory initially planned to buy the rights to use the name
Kalashnikov for up to 3 million roubles ($100,000), media
reports. However, the head of the factory Konstantin
Busygin said, Kalashnikov has not even raised the money issue.
“Mikhail Timofeevich is a patriot, a true patriot. Not a
single word was said about a payment,” Busygin says.
He also said, the "Kalashnikov" brand will not be used just for
military products. "Anything from household chemicals to hats,
suits, shoes, handbags – anything you wish," Busygin adds.
Before the transfer of rights to use the brand, "Izhmash" had
only the right to use the word "Kalashnikov" in conjunction with
the graphical picture of the gun and its symbol on the military
products.
Izhmash is Russia's largest producer of military automatic and
sniper weapons, as well as a wide range of civil products
shotguns, sporting rifles, machine tools and tools. The firm
exports to 27 countries, including the US, UK, Germany, Norway,
Italy, Canada, Kazakhstan and Thailand.
However, production under the brand name "Kalashnikov" has never
been regulated in terms of copyright. Illegal copies of the gun
and souvenirs are produced around the world. The opportunity from
the potential sales of "Kalashnikov" brand products can be
compared with a brand such as Apple, Lifenews.ru reports.
"The real value of the brand is in the neighbourhood of $10
billion, and it could grow up to $150bn”, Lifenews.ru quotes
Alexander Eremenko, managing partner BrandLab.
"I'm happy to support the decision to establish a concern
"Kalashnikov". It’s an honor for me! After all, my name does not
belong to me anymore, it has already become the property of the
whole country, all Russians," Kalashnikov said in a
statement to the Izhmash press secretary.
In October 2011, Mikhail Kalashnikov won a lawsuit against the
Swiss company Vinista and French distributor Hexis Energy for
illegal use of his name for commercial purposes as they planned
to produce an energy drink called Kalashnikov.
Legacy
Izhmash has been manufacturing Kalasynikov guns since the world
famous assault rifle first went into mass production in
1949. Izhmekh is better known for its production of Makrov
and Yarygin pistols. Izhmash, a 205-year-old factory and remains
an icon.
Production output sharply decreased after the conclusion of
World War II, and post Soviet Union.
A mechanic tank commander, Kalashnikov was in charge of an
anti-Nazi brigade near the town of Bryansk, south of Moscow, in
1941.
Here he first experienced the deadly effects of the German
automatic assault weapon the ‘Sturmgewehr 44’, and began
developing his own design. In 1947 the design was perfected and
the AK-47 was born.
The Kalashnikov has undoubtedly changed Soviet and post-Soviet
warfare, at home and worldwide.
In 1956 the AK saw its first successful campaign, when Khrushchev
dispatched soldiers in Budapest, Hungary, and Russians only
suffered 7,000 casualties, compared to 50,000 Hungarians.
Kalashnikov created the greatest killing machine in human history
-- a colossal influence in the weapons industry-- and is now
passing on his legacy.
Kalashnikov, 93, was discharged from the hospital just before the New Year holiday after a week-long preventative treatment stint. According to the Izhmash press secretary, Kalashnikov feels energized.