Reuters reports that camera phones are reaching a point where they could eat into the sales of digital cameras, but concludes that there isn't any evidence yet.
The article, datelined Seoul/Tokyo, says, "Analysts have been warning about the threat camera phones pose to the digital camera industry since the first one was launched in Japan in late 2000. But so far there has been little impact -- even Sharp Corp.'s introduction of the world's first megapixel phone in May 2003 didn't appear to affect demand."
Reuters quotes two analysts who conclude that higher resolution camera phones will impact digital cameras. Hisashi Moriyama, an analyst at JP Morgan, says, "The emergence of the 3.2-megapixel phone will have a direct negative impact on the digital camera market from three megapixels on down. Demand for the three-megapixel category should naturally begin to shift from digital cameras to camera-equipped phones."
Quality versus megapixels
The article points out that image quality is dependent upon more than just the number of pixels, as I and many others have noted, so that digital cameras have an edge over camera phones.
"Megapixels are anyway waning as the main factor influencing purchases as people become better informed about specifications like lens quality, zoom performance and data storage capacity and special features such as anti-shake protection," Reuters says.
Spokesmen for Fuji Photo Film and Casio don't appear concerned that camera phones will reduce sales of their digital cameras. Fuji's PR person notes that image quality is dependent upon various factors.
Casio's spokesman says, "Generally speaking, a mobile phone is meant to be carried with you all the time and its main purpose is not for taking pictures. It's more for if you want to take a picture as a quick memo of something or if you just happen to come across a 'shutter chance.'"
Yes, but...
I believe cameras phones already are eating into the low-end digital camera market and I think the quote from Casio is correct but doesn't tell the entire story. Just because the "main purpose" of a cellular phone isn't for taking photos doesn't mean people won't use camera phones rather than digital cameras.
For the point-and-shoot crowd, even a one megapixel camera phone could replace a low end digital camera. Once there are inexpensive three megapixel camera phones, the game is over for the low end digital cameras.
Camera phones certainly aren't going to destroy the digital camera marketplace because of the quality and features of digital cameras. But the dynamics are changing.
For many people, camera phones will be good enough -- especially once there are inexpensive/moderately priced handsets with optical zoome and sufficiently strong flash capabilities -- to use instead of digital cameras.
I think You are right. For point-and-shot people, a phone camera is just enough, also for moblogging. It's faster of course and it's also easyer. Bye
Posted by: Luca - Pandemia | Sunday, June 13, 2004 at 07:09 AM