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Jeremy Garchow
For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 3:04:14 pm

Focuses on the pro:

http://9to5mac.com/2012/07/02/avid-sells-off-its-consumer-m-audio-brand-and...

Jeremy


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 3:38:48 pm

You beat me to it. ;-)
Supposedly the consumer line was dragging them down. It'll be interesting to see if they follow with other moves.

I still think MC and Symphony will be consolidated but I suspect people will be happy with that in the long urn if it happens.

Odd maybe but I'm bothered that they're selling Avid for iPad to Corel. I thought that app was a good idea just as I though the Avid Free was some years back. The idea of getting people in on the bottom and getting them brand loyal is important much as Apple does with iMovie or did with Final Cut Express. Also I can't imagine Corel as company that's going to give this app proper care and feeding.


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Gary Huff
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:16:34 pm

[Craig Seeman] "I still think MC and Symphony will be consolidated but I suspect people will be happy with that in the long urn if it happens."

Seems long overdue to me.


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Lance Bachelder
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:24:42 pm

Talk about a fire sale - $17 million for two divisions? Avid paid over $150 million for M-Audio back in 2004...yikes!

Lance Bachelder
Writer, Editor, Director
Irvine, California



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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:28:52 pm

[Lance Bachelder] "Talk about a fire sale - $17 million for two divisions? Avid paid over $150 million for M-Audio back in 2004...yikes!"

Seems like it was a dump and run sale. In other words owning and maintaining the product line was costing them more than simply getting rid of it.

I use M-Audio BX5a monitors for my level of work (corporate, local cable spots, vnr, otherwise I'd be using Genelecs. I believe for a time some people got Avid systems from VARs with M-Audio speakers if I'm not mistaken. In any case I think this is a good move on Avid's part. Given the fire sale price, it was probably a real drag on the company.



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Andrew Kimery
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:27:40 pm

[Craig Seeman] "Odd maybe but I'm bothered that they're selling Avid for iPad to Corel. I thought that app was a good idea just as I though the Avid Free was some years back. The idea of getting people in on the bottom and getting them brand loyal is important much as Apple does with iMovie or did with Final Cut Express. Also I can't imagine Corel as company that's going to give this app proper care and feeding."
Since the iPad app only worked w/Avid Studio Products it makes sense. I bet Avid is working on a new iPad app that will a companion to MC/Symphony.




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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:30:39 pm

[Andrew Kimery] "I bet Avid is working on a new iPad app that will a companion to MC/Symphony."

That would be smart. They really need something to bring people into the product line, Also a good app could be ENG worthy . . . given I'm seeing a niche (small so far) for iPad ENG shooting, editing, delivery.



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Gary Huff
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:39:35 pm

[Craig Seeman] "given I'm seeing a niche (small so far) for iPad ENG shooting, editing, delivery."

I definitely think there's some kind of market for that. News stations are airing a lot of YouTube material, and the iPad can generate better quality than that.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:47:06 pm

Padcaster by Josh Apter of Manhattan Edit Workshop, introduced at NAB
http://www.tuaw.com/2012/04/20/padcaster-ipad-shooter-frame-debuts-at-nab/

1080p with interchangeable lenses. Use a good iPad edit app and then use LTE to upload quickly.
Amazingly fast turnaround which is mission critical given the competitive nature of online see it ASAP journalism.



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ted irving
Re: For Craig Seeman: Avid sells of consumer line
on Sep 12, 2012 at 7:46:17 pm

Yeah Andrew, that's what I"m waiting for. I bought a Canon Vixia HF R32 just for the sports highlights I shoot. It will send video to my iPad via wi-fi, cutting my editing time down by a lot. I"m just waiting for FCPX to be ported over to the iPad at some point. But I'm all in favor of an Avid pro app for the iPad as well. Competition is good.

Ted Irving
Freelance Content Creation
CBS MaxPreps/BBN3
http://www.tedtv.tv
tedirving@yahoo.com


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Gary Hazen
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:36:55 pm

[Craig Seeman] "I thought that app was a good idea just as I though the Avid Free was some years back."

Avid Free was terrible. Buggy, never worked right. Just a bad idea. You invite people to try out your product with a free version and they are left with the impression that you make bad products. It probably did more harm to the company than good.

Regarding the selling off of the consumer line I think this is a positive move on Avid's part. Their product line up is too cluttered, this is a step in the right direction.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:43:32 pm

[Gary Hazen] "Avid Free was terrible. Buggy, never worked right. Just a bad idea. "

It was a good idea, done badly. Rather than improve it they abandoned it. That was a bad idea.



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Tim Wilson
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 4:43:41 pm

Avid also bought Pinnacle for $425-ish million. A lot of that was in stock, and certainly much of the value was for broadcast graphics, servers, etc. -- but it's also not like $91 million in revenue for their computer graphics is anything to sneeze at.

Of course, we don't know the extent to which consumer stuff was actually turning a profit for them. Once they get rid of the sales, support, R&D, development and manufacturing costs for those products, the $17 million might just be positive-cashflow gravy on top of stopping the bleeding.

I think it drives home that they understand that they need focus more than anything else. Well, that and making more than they spend. This could be a potential step toward both.

There's no consolidating MC and Symphony. It's one or the other. It would be a matter of killing the Media Composer brand and calling it all Symphony, or killing the Symphony brand and making it all Media Composer. They're surely using the recent Symphony sale to re-evaluate this, but I suspect that they saw that Symphony still has upsell value for both hardware and software -- which is to say that both brands are still valuable in unique ways. CAR ANALOGIES SUCK, but I see that most mfrs still see some value to product line differentiation.....

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 5:02:26 pm

I don't see enough differentiation between MC and Symphony (obviously just my opinion).
Given the competitive marked (Adobe now and maybe FCPX in the future), I see MC falling behind whereas Symphony would be much better competitively given the feature set.



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Chris Harlan
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 5:37:50 pm

[Craig Seeman] " don't see enough differentiation between MC and Symphony (obviously just my opinion).
Given the competitive marked (Adobe now and maybe FCPX in the future), I see MC falling behind whereas Symphony would be much better competitively given the feature set.
"


If we are talking software only, the only difference is secondaries and a nice set of third party plugins. True, using their hardware adds a nice export conforming component, but I totally agree with you that the difference between the two is marginal. I think that to be competitive with Pr on a Software-only level, Symphony needs to be the new MC. I'm sure they know that too.


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Gary Huff
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 7:06:52 pm

[Chris Harlan] "
If we are talking software only, the only difference is secondaries and a nice set of third party plugins."


Yeah, for the longest time, I thought Symphony was a completely different product. Kind of a let down when I actually looked into it.


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Tim Wilson
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 7:13:28 pm

I'm just saying that they'll keep differentiation as long as the can make money from it, and as long as there's unique brand equity in the names Symphony and Media Composer.

The thing is, even if they give away MC for free inside boxes of Breeze, they can upsell to Symphony. To overstate (ie, to speak in my native tongue), it's almost like Media Composer is like Symphony Lite, or Symphony is MC Pro. No way Avid makes more money by killing one of those brands than by keeping them both alive. it might help YOU make more sense of things LOL but it won't help Avid.

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Jeremy Garchow
Re: For Craig Seeman: Avid sells off consumer line
on Jul 2, 2012 at 7:41:07 pm

[Tim Wilson] "No way Avid makes more money by killing one of those brands than by keeping them both alive. it might help YOU make more sense of things LOL but it won't help Avid."

But will it help their customers?

If I was a new Avid customer and had no experience with the company, should I expect to pay an extra 5 thousand dollars for secondaries and perhaps Boris?


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Tim Wilson
Re: For Craig Seeman: Avid sells off consumer line
on Jul 3, 2012 at 4:49:47 am

[Jeremy Garchow] "If I was a new Avid customer and had no experience with the company, should I expect to pay an extra 5 thousand dollars for secondaries and perhaps Boris?"

No. Don't. Why on earth would you? You're exactly who Media Composer was designed for, so ignore Symphony. MOST people should ignore Symphony. That's one of the things they're trying to tell you with the price. This isn't a product most people need or should even necessarily want.

Avid wants Media Composer to be the product that MOST people buy, which is why they price it the way they do. But as long as there are sales people and dealers, there will be options.

Seriously, the existence of Symphony isn't stopping you from buying a product, any product, from Avid. I'd be surprised if any such person exists. There are many, many better reasons to reject a company than that they give you two options instead of one. Being known as the company with two options is the least of Avid's issues, for them, their current customers or their potential ones.

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Jeremy Garchow
Re: For Craig Seeman: Avid sells off consumer line
on Jul 3, 2012 at 4:18:57 pm

[Tim Wilson] "No. Don't. Why on earth would you? You're exactly who Media Composer was designed for, so ignore Symphony. MOST people should ignore Symphony. That's one of the things they're trying to tell you with the price. This isn't a product most people need or should even necessarily want."

Hmm. Isn't that an odd way to try and sell a product? You don't need it?

If being personal, we shoot, edit, part time composite, and color correct, and to do that in an Avid enviotnment is an extra 5k?


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Tim Wilson
Re: For Craig Seeman: Avid sells off consumer line
on Jul 3, 2012 at 7:09:51 pm

[Jeremy Garchow] "Hmm. Isn't that an odd way to try and sell a product? You don't need it?"

The price IS the marketing. One product is meant for a lot of people, the other is meant for hardly anybody.

You'll differentiate yourself in 12 seconds, tops.

Not that you'll LIKE it, but you won't be confused. :-)


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Chris Harlan
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 5:45:36 am

[Tim Wilson] "'m just saying that they'll keep differentiation as long as the can make money from it, and as long as there's unique brand equity in the names Symphony and Media Composer. "

Symphony could become a "their hardware only" thing, and MC could add secondairies, up its price a tiny bit, and be software only with the option of adding hardware.


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Tim Wilson
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 5:45:23 pm

[Chris Harlan] "Symphony could become a "their hardware only" thing, and MC could add secondairies, up its price a tiny bit, and be software only with the option of adding hardware."

I like it!

Avid's hardware was obviously historically limited, and at the lower end, obviously kind of overpriced, but as you move up the line, it's actually really good. The performance of Symphony Nitris is off the hizook, so it makes a lot of sense to brand that way.

I'll note that I used to sit next to the DS product manager, a system that at the time ran for $145K with storage -- and all day, every day, he got calls from people asking him to RAISE the price. Another story, but an indication of the extent to which people respected the weight it could pull. That's what Symphony should be laser-focused on: heavy lifting.

Then yeah, newly-muscled MC software-only, with the ability to keep using 3rd party hardware (check the COW - Avid's performance with AJA is apparently better than FCP's ever was) or hook up to Avid hardware as desired.

Perfect. Differentiation with clarity.

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Jeremy Garchow
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 6:26:06 pm

[Tim Wilson] "Perfect. Differentiation with clarity."

The Avid Universal Mastering hardware looks completely kick bootie, and it takes Nitris to use that feature along with Symphony.

But Nitris also works with Media Composer.

You can also get twin AVC-Intra encoders, but again, Nitris and either Symphony or Media Composer.

They both do 3D.

Help me out, Avid. If I don't need standards conversion, but I need secondaries, it's $5k?

What I think Blackmagic would do, IF they bought Avid for whatever reason, is make that differentiation go away.

Here's everything in software, if you need all the hardware options and real time then you buy a Nitris, if you don't here's a Decklink card.


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Tim Wilson
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 6:37:06 pm

[Jeremy Garchow] "Help me out, Avid. If I don't need standards conversion, but I need secondaries, it's $5k?"

I get what you're saying, that at some point, differentiation will bite you on the ass.

I was looking at two cars - one at the top of the "lower" line (for slender hipsters), the other at the low end of the "higher line" (for old people, overweight people, or both.) Same price, give or take chump change. There were KILLER features on the "lower" car that I feel like I SHOULD have on the "higher" car...but enough features, comfort, etc. on the higher one, and I'm enough of a geezer that I went that way.

Which is to say that I am newly sensitive to this dynamic in even more venues.

The thing about Blackmagic buying Avid: any other year, the biggest story of NAB would have been what Blackmagic did to Teranex. It used to be a bargain for its intended audience at $90K, so what did BMD do? Made it smaller, quieter, added Thunderbolt, and dropped the price from NINETY thousand to THREE thousand.

So if BMD bought Avid, I would expect to see Nitris hardware at the price of a Decklink. LOL

They didn't quite go that far with DaVinci, but because I think a lot of people under-rate Avid hardware, you don't really hear about that as much as the idea of "a guy who knows what he's doing with rebuilding software brands." Which is also true.

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 6:40:22 pm

[Jeremy Garchow] "What I think Blackmagic would do, IF they bought Avid for whatever reason, is make that differentiation go away.

Here's everything in software, if you need all the hardware options and real time then you buy a Nitris, if you don't here's a Decklink card."


Just a wild thought coming from the seat of my pants. Think Resolve lite and Resolve.
BMD strips out a few features from MC to further differentiate it from Symphony and then MC Free is released, a competitor to Lightworks only BMD has an upgrade path with hardware sales attached. That could hook people into their ecosystem.



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Ian Liuzzi-Fedun
Re: For Craig Seeman: Avid sells of consumer line
on Jul 5, 2012 at 4:23:36 am

How the hell could the performance be better than FCP with Aja when it was perfect - never an issue



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Jeremy Garchow
Re: For Craig Seeman: Avid sells off consumer line
on Jul 2, 2012 at 5:08:31 pm

[Tim Wilson] "The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot."

I just fixed the subject line as I am clearly in the b) camp.

Avid sells OFF the line, not of.

Back to you, Tim....

Jeremy


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 2, 2012 at 8:15:16 pm

More on this

Avid Sells Consumer A/V for $17 Million and Cuts 365 Jobs
http://www.tvtechnology.com/article/avid-sells-consumer-a/v-and-cuts--jobs/...
...cut its workforce by about 20 percent,...

Cutting that staff has to be a big part of the incentive to sell. I do hope those folks find jobs quickly.

also

Kirk Arnold, Avid’s chief operating officer, who came on with Greenfield around five years ago, will be stepping down, effective today, Greenfield said.

The company’s “facility footprint” is also being reduced, but Greenfield declined to provide details.

and the consumer editing apps listed

Separately, the company’s consumer video editing line is being sold to Corel Corp., a consumer software company headquartered in Ottawa, Canada. The products involved in this transaction include Avid Studio, Pinnacle Studio, and the Avid Studio App for the Apple iPad, as well as other legacy video capture products.

and the dollars

The combine sale price of both divisions is $17 million. Avid paid $462 million for Pinnacle in 2005.

Cash on hand OK I guess but that 2012 Q1 loss looks bad.

Avid’s cash balance on March 31, 2012 was $49.7 million. The company reported a net loss of $23.5 million for 2011, and nearly $13 million for the first quarter of 2012.

Don't kid yourself, this is a company in DEEP trouble. It does look they're taking the first radical steps to rescue it though. There has to be a lot more though.


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Jeremy Garchow
Re: For Craig Seeman: Avid sells off consumer line
on Jul 2, 2012 at 9:12:42 pm

Ouch.


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Craig Seeman
Re: For Craig Seeman: Avid sells off consumer line
on Jul 2, 2012 at 10:03:18 pm

More details on the ouch here.

http://blog.devoncroft.com/2012/07/02/avid-divests-consumer-business-announ...

In addition to the termination of rank and file employees, two top Avid executives will also be leaving the company as part of this process. Company COO Kirk Arnold, and VP finance Jason Burke will also be leaving the company. The COO position will not be replaced, but the company said it will be appointing a new VP of finance.

So VP of Finance is going and will be replaced. COO position looks to be "downsized" out of existence. Hmm, no Chief Operating Officer.



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Lance Bachelder
Re: For Craig Seeman: Avid sells off consumer line
on Jul 2, 2012 at 11:21:10 pm

Maybe Apple will buy them and make them part of the Pro app division along with Shake, DVDSP and Color?

Lance Bachelder
Writer, Editor, Director
Irvine, California



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Viktor Kamenický
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 12:29:52 am

From the announcement the stocks are getting higher and higher.

"You never want to get to get a call from the editing room"
Art Adams


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Michael Gissing
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 1:17:59 am

Part of the decision is probably that Apple have, through pricing, attacked the prosumer market with FCPX so that AVID do not feel it is worth having video editing software aimed at the prosumer or hobby market.

This would be separate to the audio hardware which is probably to do with the ability of companies like Behringer to produce superior audio products cheaper.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 1:22:53 am

[Michael Gissing] "Part of the decision is probably that Apple have, through pricing, attacked the prosumer market with FCPX so that AVID do not feel it is worth having video editing software aimed at the prosumer or hobby market. "

Hmm, that would mean FCPX is pulling away prosumers from Windows to Mac. If that's what's happening Apple would certainly be pleased.

[Michael Gissing] "This would be separate to the audio hardware which is probably to do with the ability of companies like Behringer to produce superior audio products cheaper."

Somebody must disagree with that since M-Audio was sold, not discontinued.



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Jeremy Garchow
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 1:43:43 am

Just curious, but how does fcpx compete with mAudio and an Avid iPad app?


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Michael Gissing
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 1:57:17 am

Of course Jeremy FCPX doesn't compete with mAudio which is why I said that for audio it was competition from companies like Behringer.

But it does compete with any video editing software aimed at the prosumer. The price point and app store access makes that obvious. Even FCP legacy had crossover into that area which it apparent by the number of posts on the FCP Cow forum by prosumers. If you think FCPX is not more appealing to the prosumer then I would have to disagree. I am not saying Apple have made a prosumer aimed product with FCPX but surely the broader appeal to that sector of the market is self apparent.

Craig, if a smaller niche company can buy mAudio and make it work then that would explain the sale. AVID clearly have over the years stretched their product reach into many ancillary areas like audio and prosumer software which they are poorly placed to compete with. If you think Behringer and Apple have nothing to do with their decision then I would disagree.


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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 2:20:03 am

But I'm curious if you believe that Windows Pinnacle users, for example, are moving to Mac to use FCPX? I don't know one way or the other. if that's the case of course that would be good for Apple as it likely would mean more MBP and iMac sales. I guess if Avid saw a drop in Pinnacles sales when FCPX came out that would make sense but I haven't seen anything specific around that.



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Jeremy Garchow
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 2:38:51 am

[Michael Gissing] "But it does compete with any video editing software aimed at the prosumer."

But on an iPad? The more I use fcpx the more I realize that it won't run on a mobile device for quite a while, at least in its current state.

[Michael Gissing] "If you think FCPX is not more appealing to the prosumer then I would have to disagree. I am not saying Apple have made a prosumer aimed product with FCPX but surely the broader appeal to that sector of the market is self apparent."

It probably appeals more to a "prosumer" because of the convenience and price, surely. It's even on a TV commercial now.

I do think that Apple aims for the wide middle, look at FCS3 and below. Sure it could be used to make professional work thanks in part to ProRes and the codec's ease of use, and of course the XML language, but it wasn't only editors that owned fcp. It was a broad tool used to manipulate/playback video and not necessarily to edit. Fcp is present on almost every shoot I go on in some form or another and by many people who aren't editors, but rather are in the production side of the business. This contributed to its overwhelming popularity, and accounts for all of those "users". I'm not sure if Avid enjoys that kind of use.

The rest of the suite, (Color et al) tended to be more specialized, at least that's my experience and perspective.


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Eric Santiago
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 3:23:39 am

Jeremy exactly my thoughts:
[Jeremy Garchow] " It was a broad tool used to manipulate/playback video and not necessarily to edit. Fcp is present on almost every shoot I go on in some form or another and by many people who aren't editors, but rather are in the production side of the business. This contributed to its overwhelming popularity, and accounts for all of those "users". I'm not sure if Avid enjoys that kind of use."
In the past it was always FCS in the design field and Avid in studios that most designers arent allowed to walk into.
Well that was my take on it when I first got into this.
All the Avid folks were elitist up here in Canada back in the day thanks to the CBC :P


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Tim Wilson
Hey, and raise your hand...
on Jul 3, 2012 at 4:55:02 am

...if you work with a company that sold off their consumer stuff to focus on pros!

I'm too stupid to know if this is a good idea, if it'll work, if it's too little too late, or will be the final thing that makes them crash and burn...but absolutely nothing about getting rid of their consumer crap looks like a bad idea to me. Everything about it looks like a good idea.

Still waiting for that show of hands. Anybody working with a company that sold off their consumer stuff to focus on pros?

Tim Wilson
Vice President, Editor-in-Chief
Creative COW Magazine
Twitter: timdoubleyou

The typos here are most likely because I'm, a) typing this on my phone; and b) an idiot.


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Benjamin Mullins
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 3:14:42 pm

I'm not sure how much one piece of software would push a consumer/prosumer to switch hardware platforms. Purchasing a new computer is a substantial investment, especially moving from PC to MAC. I may well be wrong but for someone who is essentially indulging a hobby or interest I imagine they will just find the best software available for the platform they already use. Of course they may own both PC & MAC, for example a PC tower and MacBook Pro, and I'm sure there are people who've switched to FCPX from a PC-based NLE but probably not that many.

However you look at Avid's firesale though, that kind of financial loss can't be good for any company.

Ben.



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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 3, 2012 at 4:06:07 pm

[Benjamin Mullins] "'m not sure how much one piece of software would push a consumer/prosumer to switch hardware platforms. Purchasing a new computer is a substantial investment, especially moving from PC to MAC"

I agree. This is an "attrition" strategy. People are most susceptible to change when they need to replace computers and the reasons must be compelling. This is especially so if one has a significant investment in software that may require a lot of new purchases. That's probably one big reason why Mac market share grows slowly while iOS devices grow rapidly.

Actually that's why the iOS app store is so important to Apple. Hook people into iOS and an attractive app library of solutions which, once invested in, makes it a bit more difficult to chuck it all for Android.

It's also why the Mac OS app store is important to Apple. Make the software less expensive with a deep selection and people making Mac purchases will have a harder time moving to Windows.

These stores are the "cheap drug" that keeps people hooked into hardware.



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Benjamin Mullins
Re: For Craig Seeman: Avid sells of consumer line
on Jul 4, 2012 at 2:43:04 pm

Craig Seeman
"It's also why the Mac OS app store is important to Apple. Make the software less expensive with a deep selection and people making Mac purchases will have a harder time moving to Windows."

I wonder if this had an effect on the design of FCPX - if the design brief stated that it must be available via the app store, therefore it will need to be restricted to a certain file size (anything over a few gig would be a slow download for a lot of people), which then effects what it can/can't include in the software.



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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 4, 2012 at 3:16:09 pm

[Benjamin Mullins] "it will need to be restricted to a certain file size (anything over a few gig would be a slow download for a lot of people), which then effects what it can/can't include in the software."

Note that a lot of codec support and media come via software update after downloading FCPX and Motion from the App Store.

FCPX itself is 1.41GB
OSX Lion is 3.89GB
Civilization V is 4.19GB
If I recall there may be a few larger than that.
Basically the biggest files match that of a DVD data disc.



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Craig Seeman
Re: For Craig Seeman: Avid sells of consumer line
on Jul 4, 2012 at 3:45:00 pm

Boston Globe pretty much mirrors other reports but with one notable difference
http://articles.boston.com/2012-07-03/business/32507247_1_avid-technology-m...

The net loss for the first quarter was $15.6 million, compared to a net loss of $5.1 million in the first quarter of 2011.

That net loss is higher than the $13 million I saw in other articles. They also include Quarter over Quarter numbers . . . which shows Avid's loses TRIPLED . . . and this after the much vaunted crossgrade. If these numbers are accurate, it's worse than I thought.



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Greg Lee
Re: For Craig Seeman: Avid sells of consumer line
on Jul 5, 2012 at 12:22:31 am

I was just speaking to an Avid Sales Rep and he said "We're still waiting for the exodus of FCP7 users." He thought people were just holding pat with FCP7 for the time being.

Maybe they are. Or maybe they're just not switching to Avid...


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Michael Gissing
Re: For Craig Seeman: Avid sells of consumer line
on Jul 5, 2012 at 1:07:31 am

I think that is fair comment. In my local market editors are sticking to FCP7 like glue but they all know that they will have to change eventually and then they are split AVID/ CS6. FCPX doesn't seem to be on many editors radar as a principal NLE but I suspect it will be part of the mix.

I have a particualr interest in which of those will be the majority. My gut feeling is CS6 as even current AVID editors are saying they will have CS6 as well and convert project from AVID before delivering to me for grade, online & sound post.


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