Essay 1: Changes in the computer market…

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Over the next few weeks I am writing a few essays on the things I see as potential changes in the computing market over the next 12-18 months. This is the first of those…

The next big market change in computing. Today, telestrator programs cost between 2 and 5 thousand dollars. Why? I suspect because like most software markets they are very specialized and don’t sell many copies today.

But tomorrow? I wonder. The reality of home computing is fairly amazing right now. Things that once cost thousands of dollars no longer cost thousands of dollars. SSD drives cost a fraction of what they cost just five years ago. Internet access costs a small fraction of what it used to cost for 10 and more times the bandwidth.

Software to edit and republish live television is something many people will start pushing for in the home market. As camera’s get better and more ubiquitous the software that people use to build and edit home videos will get cheaper. It has been an artificial market for many years in the areas of prosumer (professional grade consumer products) in the video market. I suspect over the next 6 to 8 months that will begin to change.

I suspect that because today they are artificial prices. Higher than they need to be by rights. Sure there are a number of free and low cost products that get you close to what a telestrator can do today. Camtasia allows you to focus on a specific section of the video and allows you to add additional drawings. Its reasonably priced (compared to the other competitors in that market) but doesn’t have all the features of functions of a full telestrator.

As that market of potential users grows I suspect you will find the overall price of the solutions will drop (you don’t have to recover R&D costs with every sale – you spread them over 1000 sales which reduces the overall footprint and cost of R&D). So, which of the professional grade programs are going to take a swing at the consumer market? Sometimes being first is all you need.

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Scott Andersen

IASA Fellow!