Avid 2008 Annual Report Download - page 8

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3
y Commercial Businesses. This market segment comprises small post production shops, media publishers,
corporate and industrial users, government agencies, houses of worship and live sound managers. We offer
comprehensive, integrated and professional product solutions to commercial business, whether media creation
is their primary business or only an ancillary activity. We also provide a complementary array of professional
and consulting services that draw upon our deep domain expertise. We primarily sell into this market segment
through resellers.
y Post Production. This market segment consists of both enterprise-class and boutique, independent post
production facilities that offer services for the creation of audio, film and television content. For this market
segment, we offer a wide range of innovative products and solutions, including scalable media storage options
and collaborative workflows. Our extensive domain expertise also allows us to provide customers in this
market segment with a broad range of professional services. We sell into this market segment through our
direct sales force and resellers.
y Broadcast. This market segment comprises both large- and small-scale broadcasters and media conglomerates.
For customers in this market segment, we offer an array of broadcast production, control, automation and
graphics solutions. These solutions provide leading, open architecture technologies that enable efficient and
flexible end-to-end workflows. We sell into this market segment through our direct sales force, system
integrators and value-added resellers.
PRODUCTS AND SERVICES
We provide a broad range of software and hardware solutions, as well as services offerings, to address the diverse
needs, skills and sophistication levels found within our customer market segments. Our products and services are
described below in accordance with our reportable segments: Professional Video, Audio and Consumer Video.
Additional information about our reportable segments, including revenues from external customers, contribution margin
and total assets, as well as a geographic breakdown of our revenues and long-lived assets, can be found in Note O to our
Consolidated Financial Statements in Item 8.
Professional Video
Our Professional Video segment provides digital nonlinear hardware and software solutions designed to improve the
productivity of video and film editors and broadcasters by enabling them to edit video, film and sound; manage media
assets; and automate workflows in a faster, easier and more cost-effective manner. We sell our Professional Video
solutions through our direct sales force, system integrators and resellers, as well as via e-commerce.
Video-Editing Solutions
We offer a wide range of professional digital, nonlinear software and hardware video-editing solutions. Our Media
Composer product line is widely used to edit television programs, commercials and films, while our NewsCutter and
Instinct editors are designed for the fast-paced world of news production. Avid Symphony Nitris DX and Avid DS are
used during the “online” or “finishing” stage of post production, during which the final program is assembled in high
resolution with finished graphics, visual effects, color grading and audio tracks.
Our Professional Video editing solutions accounted for approximately 14%, 15% and 19% of our consolidated net
revenues for 2008, 2007 and 2006, respectively.
On-Air Solutions
Our newsroom on-air graphics, ingest, play-to-air and automation device control solutions are designed to assist
broadcasters as they bring programs from concept to air. These products accelerate the production process by enabling
broadcasters to automate the control of ingest devices, manage teams of broadcast journalists and editors, assemble
stories into news programs, develop and deliver real-time graphics for broadcast television, and automate the process of
playing television programming to air. Our on-air solutions include our Deko, iNews, Sundance Digital and AirSpeed
product lines.