Latest news with #OriginsStrategy
NDTV
14-05-2025
- Business
- NDTV
Falling Prices Force De Beers To Shut Down Its Lab-Grown Diamonds Brand
South African-British corporation, De Beers Group, has announced its decision to shut down its lab-grown diamond (LGD) brand called Lightbox. For the unversed, LGDs are chemically produced diamonds that look identical to natural mined diamonds. As per Statista, the lab-grown diamond industry has been growing steadily over the past decade. However, the company released a statement on their official website that highlighted that Lightbox was established in 2018, and since then the prices for LGDs have fallen by 90 percent at wholesale. Considering the drop in the price and a decline in the market, the company has taken the decision to discontinue the brand. However, this is a strategic move by the leading diamond producer to shift their focus on natural diamonds instead. According to the brand's official statement on their website, the aim is to streamline the business and concentrate to high-return operations. The proposed shutdown of Lightbox marks a significant milestone in the implementation of De Beers Group's Origins Strategy, announced in May 2024. "The closure will enable De Beers Group to reallocate investment to initiatives focused on reinvigorating desire for natural diamonds through category marketing," reads the statement on the official De Beers Group website. De Beers assured a smooth transition process for stakeholders, including employees, suppliers, retail partners, and customers. The company has assured that support will be given to all existing Lightbox purchases, including warranties and after-sales services, throughout the closure period. While stepping away from LGDs in jewellery, De Beers is expanding its commitment to synthetic diamonds for industrial use through its subsidiary called Element Six. Leading the market in advanced synthetic diamond solutions for over 70 years, this was the division that used to supply lab-grown stones to Lightbox. De Beers believes this shift will support the company's growth and profitability in high-tech sectors. CEO Al Cook emphasised that the closure aligns with De Beers' efforts to optimise operations, reduce costs, and build a more focused and profitable business. Cook affirmed the ongoing commitment of De Beer's to natural diamonds and the growing potential for synthetic diamonds in industrial applications.
Miami Herald
11-05-2025
- Business
- Miami Herald
Major jewelry player pulls the plug on distressed brand
The luxury jewelry space has always been about tradition, scarcity, and sparkle. But in recent years, one major player tried to break that mold. It launched something new - something that challenged long-held beliefs about what makes a diamond valuable. Related: Birkin bag maker faces major problem At first, it looked like a bold move that could disrupt the entire industry. The pricing was transparent, the positioning was fresh, and the market seemed ready for change. Don't miss the move: Subscribe to TheStreet's free daily newsletter But now, less than a decade later, that experiment is coming to an end. De Beers is shutting down Lightbox, its moonshot jewelry brand that bet big on factory-made diamonds. What started as a fresh take on sparkle is ending with a hard pivot back to tradition. Launched in 2018, Lightbox was De Beers' attempt to draw a bold line between natural diamonds and their lab-made counterparts. The concept? Keep it simple: $800 per carat, no smoke, no mirrors. But the shine didn't last. Lab-grown prices tanked - plummeting up to 90% at wholesale - and the space got overrun with cheap stones from China and discount bins at U.S. supermarkets. Related: Top luxury fashion brands just made a quiet change "Lightbox has helped to highlight the fundamental differences in value between these two categories," said De Beers CEO Al Cook. "We expect both the cost and price of lab-grown diamonds to fall further in the jewellery sector." Translation? De Beers is out. And it's reportedly looking to offload what's left of Lightbox - inventory, assets, and all. The decision to wind down Lightbox is a key piece of De Beers' "Origins Strategy," a plan aimed at trimming the fat and leaning into what works: rare, high-margin natural diamonds. But synthetic diamonds aren't going away. They're just moving from jewelry counters to circuit boards. De Beers' Element Six division, which used to supply Lightbox, will now go all in on industrial and tech applications, such as semiconductors and quantum tech. The company plans to ramp up production at its sleek Oregon facility and team up with a global roster of innovators in high-growth sectors. With 70+ years of experience, Element Six wants to turn diamonds into something more powerful than a status symbol. In De Beers' view, the future of man-made diamonds isn't about sparkle. It's about speed, precision, and cutting-edge tech. And if you ask them, the real bling is now in the labs. With lab-grown stones losing their shine in the jewelry case, De Beers is betting their next big value play will be in high-tech labs - not on ring fingers. Related: Veteran fund manager unveils eye-popping S&P 500 forecast The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Business Mayor
09-05-2025
- Business
- Business Mayor
De Beers Group announces intention to close its lab-grown diamond jewellery brand
Diamond mining major De Beers Group today announced its intention to close its lab-grown diamond (LGD) jewellery brand, Lightbox, reinforcing De Beers Group's commitment to natural diamonds in the jewellery sector. As part of the closure process, De Beers Group is discussing the sale of certain assets, including inventory, with potential buyers. Lightbox, which was established in 2018, has highlighted that LGDs are a distinct product from natural diamonds, with different attributes and different value. The business was launched with transparent linear pricing of USD 800 per carat. Since then, LGD prices in the jewellery sector have fallen 90% at wholesale, tracking closer to a cost-plus model as they have diverged from natural diamond prices. Reflecting this sharp price decline, De Beers Group intends to discontinue the Lightbox business. The evolution of LGD values in the jewellery sector underpins De Beers Group's core belief in rare, high-value, natural diamond jewellery as a separate category from low-cost, mass-produced LGD jewellery. The proposed closure of the Lightbox business reflects a key executional milestone in De Beers Group's Origins Strategy, as set out in May 2024, to focus on high-return activities and streamline the business. The closure will enable De Beers Group to reallocate investment to initiatives focused on reinvigorating the desire for natural diamonds through category marketing. De Beers Group will work closely with employees, retail partners, suppliers, and other stakeholders to ensure a smooth process over the coming months. Customers will continue to receive support for existing purchases, including warranties and after-sales services, during the closure process. Element Six, De Beers Group's subsidiary that previously produced lab-grown stones for Lightbox, maintains its exclusive focus on industrial solutions using synthetic diamonds. Building on its world-leading status developed over more than seven decades, Element Six is well-positioned to seize the rapidly growing potential for synthetic diamond applications across a range of future-facing technologies and applications. By centralising CVD (chemical vapour deposition) synthetic diamond production at its state-of-the-art facility in Oregon, US, Element Six will work with its growing global network of partners to accelerate cutting-edge technologies for high-growth industries, such as semiconductors and quantum technologies. With a track record of growth and profitability, Element Six is favourably positioned to drive the future of synthetic diamond solutions in industrial and high-tech applications. Al Cook, Chief Executive Officer of De Beers Group, said: 'As we move towards becoming a standalone company, we continue to optimise our business, reduce costs and build a focused De Beers that is positioned for profitable growth. 'The persistently declining value of lab-grown diamonds in jewellery underscores the growing differentiation between these factory-made products and natural diamonds. Lightbox has helped to highlight the fundamental differences in value between these two categories. Global competition continues to intensify with more low-cost lab-grown diamond production from China. In the US, supermarkets are driving down lab-grown diamond jewellery prices. Overall, we expect both the cost and price of lab-grown diamonds to fall further in the jewellery sector.' 'The planned closure of Lightbox reflects our commitment to natural diamonds. We are also excited about the growing commercial potential for synthetic diamonds in the technology and industrial space,' he added.
Fashion United
09-05-2025
- Business
- Fashion United
De Beers to close lab-grown diamond brand, Lightbox
Diamond company De Beers Group has announced plans to shutter Lightbox, its lab-grown diamond (LGD) jewellery brand. The company confirmed the news in a press release, where it stated that it wished to instead reinforce its 'commitment to natural diamonds' and thus had entered into discussions with potential buyers for the sale of certain Lightbox assets. Lightbox had initially set out a linear pricing of 800 dollars per carat. However, since its launch in 2018, the price of LGD's has fallen 90 percent at wholesale, De Beers said, aligning them more closely with a cost-plus model. The company's CEO, Al Cook, further cited growing global competition in the LGD sector, particularly from China, where the process is low-cost. He added: 'In the US, supermarkets are driving down LGD jewellery prices. Overall, we expect both the cost and price of LGDs to fall further in the jewellery sector.' As such, the group intends to follow through with what at first was a plan set out as part of its Origins Strategy 'to focus on high-return activities and streamline the business', initially introduced in its executional milestones published May 2024. Now, it is looking to reallocate investments into projects 'focused on reinvigorating desire for natural diamonds through category marketing'. The move will make De Beers Group a standalone company, while its subsidiary, Element Six, will continue to oversee industrial solutions utilising synthetic diamonds. At its Oregon-based facility, the firm will work with select partners to accelerate technologies for high growth industries in this area, the group said, leveraging its 'track record of growth and profitability' to 'drive the future of synthetic diamond solutions' in certain applications. Cook commented that De Beers would 'continue to optimise our business, reduce costs and build a focused De Beers that is positioned for profitable growth'. He added: 'The planned closure of Lightbox reflects our commitment to natural diamonds. We are also excited at the growing commercial potential for synthetic diamonds in the technology and industrial space.' De Beers noted it would work with employees and retail partners to ensure a smooth transition of the process, while its customers will continue to receive support for existing purchases during this period.
Time of India
09-05-2025
- Business
- Time of India
De Beers Group announces intention to close its lab-grown diamond jewellery brand
HighlightsDe Beers Group has announced the closure of its lab-grown diamond jewellery brand, Lightbox, to reinforce its focus on natural diamonds in the jewellery sector. The prices of lab-grown diamonds have fallen 90% at wholesale since the establishment of Lightbox in 2018, leading to the decision to discontinue the brand as part of De Beers Group's strategic shift. Element Six, a subsidiary of De Beers Group, will continue to focus on industrial applications of synthetic diamonds, while the company reallocates investments to promote natural diamonds through marketing initiatives. Diamond mining major De Beers Group today announced its intention to close its lab-grown diamond (LGD) jewellery brand, Lightbox , reinforcing De Beers Group's commitment to natural diamonds in the jewellery sector. As part of the closure process, De Beers Group is discussing the sale of certain assets, including inventory, with potential buyers. Lightbox, which was established in 2018, has highlighted that LGDs are a distinct product from natural diamonds, with different attributes and different value. The business was launched with transparent linear pricing of USD 800 per carat. Since then, LGD prices in the jewellery sector have fallen 90% at wholesale, tracking closer to a cost-plus model as they have diverged from natural diamond prices. Reflecting this sharp price decline, De Beers Group intends to discontinue the Lightbox business. The evolution of LGD values in the jewellery sector underpins De Beers Group's core belief in rare, high-value, natural diamond jewellery as a separate category from low-cost, mass-produced LGD jewellery. The proposed closure of the Lightbox business reflects a key executional milestone in De Beers Group's Origins Strategy, as set out in May 2024, to focus on high-return activities and streamline the business. The closure will enable De Beers Group to reallocate investment to initiatives focused on reinvigorating the desire for natural diamonds through category marketing. De Beers Group will work closely with employees, retail partners, suppliers, and other stakeholders to ensure a smooth process over the coming months. Customers will continue to receive support for existing purchases, including warranties and after-sales services, during the closure process. Element Six, De Beers Group's subsidiary that previously produced lab-grown stones for Lightbox, maintains its exclusive focus on industrial solutions using synthetic diamonds . Building on its world-leading status developed over more than seven decades, Element Six is well-positioned to seize the rapidly growing potential for synthetic diamond applications across a range of future-facing technologies and applications. By centralising CVD (chemical vapour deposition) synthetic diamond production at its state-of-the-art facility in Oregon, US, Element Six will work with its growing global network of partners to accelerate cutting-edge technologies for high-growth industries, such as semiconductors and quantum technologies. With a track record of growth and profitability, Element Six is favourably positioned to drive the future of synthetic diamond solutions in industrial and high-tech applications. Al Cook, Chief Executive Officer of De Beers Group, said: 'As we move towards becoming a standalone company, we continue to optimise our business, reduce costs and build a focused De Beers that is positioned for profitable growth. 'The persistently declining value of lab-grown diamonds in jewellery underscores the growing differentiation between these factory-made products and natural diamonds. Lightbox has helped to highlight the fundamental differences in value between these two categories. Global competition continues to intensify with more low-cost lab-grown diamond production from China. In the US, supermarkets are driving down lab-grown diamond jewellery prices. Overall, we expect both the cost and price of lab-grown diamonds to fall further in the jewellery sector." 'The planned closure of Lightbox reflects our commitment to natural diamonds. We are also excited about the growing commercial potential for synthetic diamonds in the technology and industrial space," he added.
