This is a Bosch GBH 540 DE Rotart hammer from 2008. Time and work have worn the seals and o rings inside, causing it to lose hammer action.

Looks like someone had already opened it and closed it up again incorrectly. As the change mechanism was not ingaged inside the tool. Meaning it was stuck in rotary mode.

Servicing any hammer is a stand repair after so much work. Every hammer will eventually need some sort of service to keep it hammering.
Bosch knows this and readily supplies a pre packed kit for the job.

Servicing a hammer can cost anywhere from 100 to 500 euro. Depending on the size and brand of the hammer.
But a good hammer can cost anywhere from 400 to 2000 euro.
So it will always be several times cheaper than buying a new machine.

The age and condition of the tool must be considered when deciding to service a machine or not.
When cleaning, check each part for signs of wear, especially critical expensive components like the armature, hammer pipe, tools holder crank, and torque limiter. Any excessive wear or damage on these parts can make the repair uneconomical.

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