From Wall Street PR:
Avid Technology is a company specializing in video and audio production technology, specifically digital non-linear editing (NLE) systems, management and distribution services. While Emmy and Oscar winners and nominees almost invariably use the company’s systems, sales seem to be a problem that Avid can’t cut out of the picture.
Avid now envisions revenue of $125 million to $127 million, and a GAAP loss of $17 million to $19 million. Previous Street consensus was for revenue of $145.2 million and a profit of 14 cents a share. This announcement shocked investors in early trading hours, as this Q3 revenue range included $4 million of revenue from divested businesses, while ongoing businesses had revenue of $121 million to $123 million versus $143 million a year ago.
Basically, Avid, you screwed yourself by continuing to sell ProTools for too much. And, you waited way to long to allow ProTools to work on NON Avid hardware. Thus, you pretty much shut yourself out of the prosumer/consumer market. People can by Reason, Logic, Ableton, Sonar, Reaper, Digital Performer, and a host of other programs for a fraction of what you want for ProTools. And existing users……you want $499 for me to upgrade? Forgetaboutit!