Re: What's it worth?

Date : Sat, 19 Nov 2005 19:55:31 +0100
To : DS(at)Softimage.COM
From : Andi Loor <andiloor(at)algonet.se>
Subject : Re: What's it worth?
Todd,
Naturally you need the right tools for the job. If DSes aren't enough then you have to concider other tools either alongside DS or as a replacement. Part of this conundrum might be answered by what other tools you are considering. Will you have need for a workhorse aswell. Would an expansion of your business be suitable right now and could DS go on living in one of the rooms. Do you have the possebility to try it for a while or do you need to sell to be able to buy? Will you loose certain clients if you get rid of the DS. As someone else stated I think that a system that is kept in work will pay off far better than a system beeing sold. They are expensive too buy in the first place but as soon as it is bought you've lost maybe 30% of the initial cost. When a new version is out, then you have to add the cost for that. The new version cost can be small or large many times dependent on the hardware involved. It's been new hardware every second or third year and the difference to the newest version will be the cost to add to the initial 30%. Lagging behind in one of those large version changes will render the system price to mayben25-30% of it's inital cost. In this case it certainly is better to keep the system.
A group visiting Avid was proudly told about how they earn money by keeping the upgrade costs high. The initial cost can many times be kept lower than list price because it is only a fraction of what the system will bring in during it's time span. Again, selling is never a good option, making it work for you is allways better. If you can't make it work for you than you have to take the dive and sell it for what you can get.
Andi



Todd wrote:

Horses for courses...

I certainly didn't start this thread to come down on DS (although my
reputation may precede me). But the sentiment that Avid probably isn't in
the market to compete with the high-end tools, and that the fact that any
even exist in DS is simply a relic from Softimage (Andi's comment) is the
best summary of the situation I've heard yet. The decision isn't if I should
continue to keep the DS in service with my clients, the decision is when/if
to sell or to keep it in service and will the revenue vs. opportunity cost
(on the other activities in a second space) offset the potential sales cost.

Anyone bought one used lately? What are they going for?

-Todd
Union




-----Original Message-----
From: owner-ds(at)Softimage.COM [mailto:owner-ds(at)Softimage.COM] On Behalf Of
John Heiser
Sent: Friday, November 18, 2005 14:06
To: DS(at)Softimage.COM
Subject: RE: What's it worth?

Ah, but networks (NBC in particular - can you say M2?) are famous for
adopting technology simply because they get a great deal from the
manufacturer, then they hold onto it interminably either to prove they
were right or because they're too cheap to spend more money on something
else, even another great deal from a manufacturer. Wasn't ABC (or was it
CBS) still broadcasting from D2 in the last couple of years? Ugh.



That said, you, Tony, Rick and other folks have expressed well the point
with which I concur: in many, many situations, a DS purchased even today
will still be useful and even profitable for the buyer three or more years
from now.



Highly-competitive shops like Todd's obviously have market and image
considerations; even though it's the driver and not the box that makes the
reputation, it's still the cool-factor of having the "hot" box that can
bring clients to your window for a look-see.



"Horses for courses.." (where DID that come from, anyway?)



____________________________

John Heiser

Avid DS Editor

o2ideas

Birmingham, Alabama, USA

________________________________

From: owner-ds(at)Softimage.COM [mailto:owner-ds(at)Softimage.COM] On Behalf Of
Hollis, Mark (NBC Universal)
Sent: Friday, November 18, 2005 3:32 PM
To: 'DS(at)Softimage.COM'
Subject: RE: What's it worth?



In that NBC just bought over 17 DSs for which they produce Nightly News,
the Today Show, Saturday Night Live and Conan O'Brien materials, I don't
think Avid will have that much trouble continuing to make people out there
thinking that the DS is an Important Buy.




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-- Andi Loor www.andiloor.se

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