My last post lays the groundwork for this one.
As you know SNIC just now bought ROXIO's DVD creation tools, in the process they got Roxios channel placement metrics, it nearly doubled the companies size.
Combined these two now are bundled with a large % of OEM computers with DVD burners AND the box solutions that came from Roxio, have shelf space in a large % of the retail channels that matter.
I have believed from the beginning of this transition that the key to DVD'r is the adoption by the middle market of Authoring tools to help meet this middle markets needs for revenue streams. Pick up any yellow pages and browse categories like Graphics Service Bureaus, Advertising & PrePress, Graphics Designers...etc....this is the professional middle market, they not only function as a layer in the economy, but they exist in large corporations as an in house layer of that company, private or public, arms of communication development. Every organization has these functional departments. They all utilize Adobe Photoshop SW. That business is well saturated.
These new solutions by SNIC change the metrics of where communications mediums are headed, because the medium itself can be tailored to company or organizations goals in unique and powerful ways. Applications drive change, by way of innovation. Innovation justifies layers of Cost within all organizations....without innovation departments become targets for cuts, with innovation they become sources of competitive advantage.
This piece of SW for $899.00 will begin to penetrate this mid level applications development market because it is the first product that advances the application from curiosity and experimental adoption to scalable use.
For each 10,000 adoptors; nearly 9 million in revenue hits the Sonic top line.
If one is cognizant of the ADBE photoshop adoption curves, you could easily posit that the same metrics will be at work in SONIC and in particular through this product line.
All the OEM exposure has been just awareness building to get the applications market ready for the transition. Once this professional mid market adopts the direction, it enlivens their careers and curiosity morphs into actual application scalability.
This is the way of the world.
Change is a relative constant, some will lead, others will follow, but advance they must. |
