Digital Camera's Interesting Times
Digital camera manufacturers are in trouble. Of course. Because marketing has been pinned solely on the resolution count -- the almighty megapixel -- and that single feature's marketable equity is doomed. There is an upper limit to the useful resolution necessary in photography, and I think we've found it. More resolution than absolutely necessary is simply a waste of storage space. And so the market is saturated with 5-8MP cameras that are all competing for attention of consumers that are satisfied with the 4MP cams slung around their necks. (As an interesting aside, used film SLRs still command a respectable price. The same can't really be said for any digital camera.)
This has to be the most rapid life-cycle of any product to date. The early adopters were getting on board back in the mid-90s at the earliest, and the technology was still considered 'cutting edge' in the late 90s, where prices of rudimentary cameras and memory storage media were outrageous. Then in about 2000 the floodgates opened. Compeition got fierce, features improved and prices dropped. Rapidly. Now many companies are starting to feel the cost of expensive R&D schedules, as their consumer bases start to dwindle. Nikon is perhaps the one exception, as they have used intelligent marketing and their renowned expertise in photography in this new era. In the meantime, HP is bailing out of the Asian camera market altogether, and a lot of the other do-it-all electronics giants are seeing sharply reduced profits. Even strong second-string players, like Pentax, are feeling the crunch.
I think the problem is that while digital has been touted as "better than film", in most respects it really isn't. And instead, ironically, using film as its benchmark has limited what digital can be. I expect very soon we'll see an improvement in sensitivity to allow digital cameras to shoot in light dimmer than the eye can see, and image stabilization will become ubiquitous, as it is in camcorders. Of course multi-function units will cause minor clamours ("my PDA can receive e-mail, play MP3s, run movies, make phone calls, do my homework, find me a girlfriend, and take half-decent pics too! Woohoo!"). As to whether they have the ability to turn this market scenario around, I'm sceptical. The mainstream market's full, leaving only the niches.
My advice to both manufacturers and consumers is to slow down. For the consumers, take a hard look at what you need, and set what you want to spend. Carefully factor in accessories, batteries and memory, and don't be distracted by big numbers and bigger promises. And if you're satisfied with what you have, stay that way. For the manufacturers, your customers are getting wise. It's time to get down to the business of high quality, and useful features over flashy fads and glitzy gimmicks. The rewards may not be as glamourous, but they are certainly more trustworthy.
This has to be the most rapid life-cycle of any product to date. The early adopters were getting on board back in the mid-90s at the earliest, and the technology was still considered 'cutting edge' in the late 90s, where prices of rudimentary cameras and memory storage media were outrageous. Then in about 2000 the floodgates opened. Compeition got fierce, features improved and prices dropped. Rapidly. Now many companies are starting to feel the cost of expensive R&D schedules, as their consumer bases start to dwindle. Nikon is perhaps the one exception, as they have used intelligent marketing and their renowned expertise in photography in this new era. In the meantime, HP is bailing out of the Asian camera market altogether, and a lot of the other do-it-all electronics giants are seeing sharply reduced profits. Even strong second-string players, like Pentax, are feeling the crunch.
I think the problem is that while digital has been touted as "better than film", in most respects it really isn't. And instead, ironically, using film as its benchmark has limited what digital can be. I expect very soon we'll see an improvement in sensitivity to allow digital cameras to shoot in light dimmer than the eye can see, and image stabilization will become ubiquitous, as it is in camcorders. Of course multi-function units will cause minor clamours ("my PDA can receive e-mail, play MP3s, run movies, make phone calls, do my homework, find me a girlfriend, and take half-decent pics too! Woohoo!"). As to whether they have the ability to turn this market scenario around, I'm sceptical. The mainstream market's full, leaving only the niches.
My advice to both manufacturers and consumers is to slow down. For the consumers, take a hard look at what you need, and set what you want to spend. Carefully factor in accessories, batteries and memory, and don't be distracted by big numbers and bigger promises. And if you're satisfied with what you have, stay that way. For the manufacturers, your customers are getting wise. It's time to get down to the business of high quality, and useful features over flashy fads and glitzy gimmicks. The rewards may not be as glamourous, but they are certainly more trustworthy.
Labels: opinion
