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Avid to relist on NASDAQ
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[Oliver Peters] “What makes you believe that they aren’t making money on MC or PT as individual products or business units right now?”
I think we, not surprisingly, tend to focus on MC too much. PT really is the “industry standard” and probably makes them quite a bit of $$.
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~ My FCPX Babbling blog ~
~”It is a poor craftsman who blames his tools.”~
~”The function you just attempted is not yet implemented”~ -
[Charlie Austin] “I think we, not surprisingly, tend to focus on MC too much. PT really is the “industry standard” and probably makes them quite a bit of $$”
Avid breaks out performance by segment in their financial statements. Video leads audio $178M to $108M through the first three quarters of this year.
Walter Soyka
Designer & Mad Scientist at Keen Live [link]
Motion Graphics, Widescreen Events, Presentation Design, and Consulting
@keenlive | RenderBreak [blog] | Profile [LinkedIn] -
[Walter Soyka] “Avid breaks out performance by segment in their financial statements. Video leads audio $178M to $108M through the first three quarters of this year.”
Is that revenue or profit?
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[Andrew Kimery] “Is that revenue or profit?”
Revenue. They don’t disclose profit per segment.
Walter Soyka
Designer & Mad Scientist at Keen Live [link]
Motion Graphics, Widescreen Events, Presentation Design, and Consulting
@keenlive | RenderBreak [blog] | Profile [LinkedIn] -
[Oliver Peters] “What makes you believe that they aren’t making money on MC or PT as individual products or business units right now?
“Recent history shows us that Avid has not been making a profit and losing lots of available cash. Avid seems to be carrying debt, which is something it has not done in a long time. So I think we can say that as a company that had MC as it’s flagship product, it did not work in a commoditized environment.
With the unveiling of Avid Everywhere, the conversation has changed. As has been stated by Avid folks themselves, MC (and PT, I would guess) are integral parts of the Avid Everywhere product not the other way around. They are there to drive sales and value of Avid Everywhere. Avid Everywhere is the new flagship product and a smart move, aimed directly at the core customer for Avid (large install, multi-user, broadcast etc). I think the company realized it’s not worth competing actively for the one man shop or small shop. One-off software sales just aren’t going to do it. Avid will lose small guys like me and that will be cool for them, because the money for them is in the large install with the server and media management products at the center. That’s who they want. Sell the subscription and the support contracts after the initial hardware sale. Pure cash without a real product. You push MC along just enough to keep this core happy and the subscriptions being renewed. And you could say that this core is a conservative group who are not comfortable on the bleeding edge, so R&D is moderate. Beautiful.
I expect to see Avid profitable in Q4 of this year with the rush of subscriptions. Next year will be interesting.
Scott Witthaus
Senior Editor/Post Production Supervisor
1708 Inc./Editorial
Professor, VCU Brandcenter -
[Scott Witthaus] “You push MC along just enough to keep this core happy and the subscriptions being renewed. And you could say that this core is a conservative group who are not comfortable on the bleeding edge, so R&D is moderate. Beautiful.”
Avid tried doing the bare minimum and it cost them a lot of seats to FCP Classic in the mid 2000’s. Since the not-so-hot Adrenaline days Avid has been releasing bigger updates more often for MC and I don’t see that changing. Going back to the recent thread about Mark Sanger (https://forums.creativecow.net/thread/335/75405#75428), he stayed on the same version of Avid for the duration of Gravity and after 3 years he felt pretty behind-the-times because of all the changes made to MC.
Is Avid going to blow up the MC interface and fundamental workflow the way Apple did with X? No, but there’s still lots of room to grow w/o trying to re-invent the wheel. Avid can’t afford to coast again because they will lose seats in their core market to Adobe (especially if Adobe Anywhere becomes a viable competitor to ISIS and Avid Everywhere) and eventually to X.
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[Scott Witthaus] ” Avid Everywhere is the new flagship product “
It is not a “product” but rather a marketing and platform strategy. You cannot purchase anything called Avid Everywhere.
– Oliver
Oliver Peters Post Production Services, LLC
Orlando, FL
http://www.oliverpeters.com -
[Andrew Kimery] ” No, but there’s still lots of room to grow w/o trying to re-invent the wheel.”
You’re going to see the biggest change in a long time when the next version (end of this year?) is delivered, because it adds resolution independence. That will be a huge change for most of the Media Composer user base.
– Oliver
Oliver Peters Post Production Services, LLC
Orlando, FL
http://www.oliverpeters.com -
[Oliver Peters] “You’re going to see the biggest change in a long time when the next version (end of this year?) is delivered, because it adds resolution independence. That will be a huge change for most of the Media Composer user base.”
That and an overhaul of how MC handles FX are two of my biggest wants from Avid right now.
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[Oliver Peters] “It is not a “product” but rather a marketing and platform strategy. You cannot purchase anything called Avid Everywhere.
“Philip Hodgetts went to an Avid Everywhere press event over the summer and that was his big takeaway from it. It sounds like a product, but it is, as you say, an overall strategy for the company. He said he was pretty blown away by the vision and he hopes Avid can pull it off (and stay solvent doing so).
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