Re: So if Avid goes under, then what?

[Chris Harlan] ". I'm curious how you are able to blame this specifically on the crossgrade. Is there some factoid floating around out there that demonstrates that the revenue from sales of non-discounted MC units was seriously diminished by flutter from the crossgrade? If so, I'd like to see it."

I've seen several reports. I thought I had posted them around the time analysts were commenting on the reports.

[Chris Harlan] "My sense is that the crossgrade was largely attractive to a good number of people who, without the opportunity of a crossgrade, probably would not have considered Avid at all. "

But there wasn't much of a financial payoff to it. Again Avid doesn't make much money on NLEs and at a heavy discount "doesn't make much" is even less. I wonder how many who bought MC 5.5 paid to upgrade to 6 or have upgraded to Symphony at their standard upgrade price? How many went the Bunim/Murray route and included big hardware purchases?

We can speculate but the hard fact is last year they lost about $20 million for 4 quarters and they lost $13 million in Q1 2012 so they decline Q over Q would probably be fairly steep. That's a downward, not upward trend and this is after the crossgrade.