Only Canon (and Nikon and Sony) Will Survive the Smartphone Revolution (according to Credit Suisse)

Reuters reports an analysis by Credit Suisse imaging analyst Yu Yoshida saying that only Canon, Nikon and Sony will survive the smartphone revolution. The brands that build heavily on mirrorless cameras (Olympus, Fujifilm, Panasonic), on the other hand, will face hard times since smartphones, i.e. devices able to shot high quality photos, are eating into their market. In other words: customers prefer the latest generation of high-end smartphones over mirrorless cameras, and connectivity appears to play a big role. Says Yu Yoshida: “Only those who have a strong brand and are competitive on price will last – and only Canon, Nikon and Sony fulfil that criteria“.

The analysis states that “Canon and Nikon dominate the SLR camera market, while Sony could survive any shakeout thanks to its strength in making sensors for a number of camera manufacturers as well as collaboration with its smartphone division“. Yu Yoshida: “If you look mid-to-long term, digital camera makers are slipping and the market is becoming an oligopoly“.

Some statistics:

• World-wide sales of compact cameras will fall for 40 percent this year (down to 59 million units)
• Panasonic camera sales dropped 40 percent from April to September 2013
• Mirrorless cameras have had a real break-through only in Japan, where they make up 36% of sales. On the other hand, MILC market share are 10.5% and 11.2% in the USA and Europe
• Mirrorless camera sales in the USA dropped 20% during the holiday shopping season

It’s known that mirrorless sales are good in Asia, not so exciting in Europe, and even less in the USA, where professional looking DSLRs are still king. I think it’s a pity that many people does not realize how amazing mirrorless cameras are.

[Chicago Tribune/Reuters via PetaPixel]