Thursday, March 7, 2013
Audio Visual Industry Shake Down and the "Influential" Customer.
All the following are related.. Avid is one of the main players in the broadcast equipment industry. But, has struggled to achieve profitability in recent years and has gone through multiple rounds of layoffs. Third quarter of 2012 it posted a loss of $17.4m after its revenue dropped 23%, and things aren't improving.
Expect Fairlight and other competitors to be in even worse condition.
In the Visual Effects Field Rhythm & Hues and Digital Domain Studios have filled for bankruptcy or closed down. The big studios of the visual effects field.
The Recording Studio business has been gutted. The record business has hugely falling revenues.
We have seen huge changes in what it takes to record music, produce effects or make a video in the last 30 years. We have been involved with Audio and Visual product R&D for 30+ years. We also make our own music and art and do things very differently now days. It seems many others haven't changed or don't want to.
I think the above companies haven't noticed what is really happening, and thinking they can continue on with the same approach as the last 10, 20 or 30 years is just not appropriate... but this happens when you spend your time talking to "influential" customers sitting in front legacy approaches saying "this is the way it has to be"....
I was involved with an audio product that got killed because it had USB on it, as one such "influential" customer said Apple doesn't and will not use USB.......
how so wrong they were!
But the story is so much bigger than just one audio product with a USB feature. Much much bigger......
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