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KTM Parts Ways From Its Long-Time Designer Amid New Owner's Cost Cutting

KTM's styling has long been...divisive. The angularity, sharp breaks, and alien-like headlights have proven that aggressive may not always be the way to go regarding creating motorcycles that beg folks to fork over their hard-earned money for. And that design language, that out-there pomp and circumstance, was one crafted by Kiska, the design studio that was tangentially under KTM's prior Pierer leadership

That, however, is no more.

According to recent reporting throughout the Austrian region, as Bajaj—KTM's new owners—looks to reshape KTM's future, along with rein in the company's out-of-control spending, external ties, and ownership dealings, the group has cut ties with Kiska, allowing the design house to be free of KTM's control once more.

How that'll affect KTM's motorcycles going forward has yet to be seen, but Kiska says its partnership with KTM will continue for the near future.

According to reports out of Austria by 1000PS, Bajaj wants to set up its own design studio for KTM, so that it's not paying some outside contractors to do the work that really should be in-house. Interestingly, the new in-house designers won't be based out of the factory in Mattigofen, but rather near where Kiska is in Salzburg. 

As mentioned above, however, Kiska's partnership with KTM remains present, with the brand's CEO Julian Herget stating, "There is a multi-year agreement that ensures KTM access to resources and secures our revenue." That helps Kiska stay solvent in the near term, but through this separation, Kiska has new owners, after KTM sold off its 20% stake in the company, though that in itself is down from a prior 50% ownership stake a decade ago. 

But Hegret told the outlet that this divestiture is actually good for the company, as its reliance on KTM, and KTM's subsequent insolvency, was horrible for Kiska as a whole. "The significant reliance on KTM was unhealthy for Kiska," said the CEO, relaying that the company took a revenue hit to the tune of $4.1 million just from KTM not being able to pay its bills. 

Hegret added, "We will never make ourselves dependent on a single client again."

Yet, this could be good for both brands. As I mentioned in the introduction, KTM's design language over the last decade has been divisive. Many critiqued Kiska's influences and flourishes across the KTM lineup, and the design language was often a focus of many when talking about KTM's sales slump. Whether it was true or not is anyone's guess, as that's not exactly a variable you can quantify. But with KTM free of Kiska, and Kiska free of KTM, the two could have far better outcomes if they each get it right.

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