Leica M8 - Customer Service Mis-steps

After fits and starts, calls for a digital Leica, and then missteps, Leica finally announced their M8, back in September of 2006. Following problems with the camera with color offsets because of a bad infrared filter, Leica finally responded with a "fix it yourself" mentality and put out two firmware updates back in March of 2007, as well as it's UV/IR filters. Way to go for a $5k camera, touted by many as jewelry.

(Continued after the Jump)

It seems that, (Leica rolls out M8 hardware upgrade program -- for a price) as with Apple's iPod scratch issue, so too does the Leica have one with their LCD screen. Further, all you beta-testers of the M8, you can get an "electronically-controlled metal-blade slotted shutter that offers less noise and vibration." Doesn't an issue that needs that level of attention cause your beautiful Summicron-M glass to become about as sharp as a Nikon/Canon lens?

The Leica forums (Rangefinder Forum, and the L Camera forum) are, rightly so, chock-full of complaints about this, and Leica should be listening.

Further, I know of several Leica professionals (yes, that would be people who actually use the Leica for paying work, not as an accessory to their Aesculapian staff) who are selling their M8's (for a loss, no doubt), and have stated their intent to wait until Leica produces a professional camera that's ready for prime time.

Dear Leica -- when you come this late to the party, you need to step up to the plate and hit it out of the park. So far, you're at risk of being sent back to the minor leagues.

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Ho Humm. One More Q in Loser-ville for Getty

I found myself taking full advantage of my high speed data lines in my new Macbook Pro enroute an assignment in Philadelphia last night and was peddle-to-the-metal (well, atleast, cruise control set to 65) and listening to the Getty Images (GYI) earnings call on the laptop via their webcast. Sadly, right when I thought they'd get to the good stuff- you know, where we stop hearing all the back-slapping and huff-puffing and the real green-eye-shaders got to ask their pointed questions, when, all of a sudden - my screen shuddered, dimmed, and died. I caught just the first question, asked by J.P. Morgan about the upcoming sale, and JDK demurs "The very first question is one that I am not at liberty to answer. I would stress that at no point has Getty Images talked about a sale. We have talked about strategic alternatives." Right. Let me know when the rest of the Brooklyn Bridge is for sale!

So, I calmly waited for a few down moments later last night to read what my colleague Daryl Lang over at PDN had digested, and low-and-behold, somehow, Daryl had live-blogged the call! No new announcements, of course, as if we expected a major announcement when they're readying themselves for a sale strategic alternatives.

(Continued after the Jump)

In a slightly unusual twist, JDK keeps talking up all things "sequential", as if that's going to cover up their failings.

A bit of a reminder, from the good folks in the UK - Money Terms, regarding "Sequential growth":

The advantage of looking at sequential comparisons is that it can help in spotting recent changes in trends. The disadvantages are is that it is easy to mistake mere fluctuations for trends, and that the need to adjust for seasonal variations.

In other words - the recent changes in trends is that we now have more RF and a silly $49 "revolutionary" new product, and the fluctuations will continue downwards.

Seems that others saw the writing on the wall...
RTT News reports "...Getty Images Inc. (GYI) reported a decline in its fourth quarter profit on higher tax expenses...." what's that you say? You have to pay taxes? Yes Jonathan, you're not in England anymore.

Conde Nast Portfolio's AP story lead with "Getty Images Inc. said Thursday its fourth-quarter earnings declined almost 8 percent as rising operating expenses and income tax costs overshadowed a jump in revenue."

Those operating expenses to store all those $1 images sure do mount up, don't they?

Reuters reported "...Shares of Getty are down almost 50 percent over the last year due to disappointing earnings results and a slowdown at its core rights-managed pictures business..." which is what happens with you're converting RM clients to RF and iStockphoto clients - you diminish the higher dollar sales, and moreover, teach people how to devalue photography in general.

The blood-letting was less severe than it could have been had it not been for the weak dollar, according to a Seattle Times article - "Sales rose 7.1 percent to $218.1 million, beating the $210.2 million average of 11 analysts' estimates compiled by Bloomberg News after a weaker dollar increased the value of the revenue Getty got from international customers."

Even my good friend and long-time colleague David Burnett is poking fun at Getty! Goetze cites Burnett's blog, where he JOKINGLY says "Another Big Purchase? Why Not!" that Contact will purchase GYI, but Burnett goes on to make many thoughtful points about what is wrong with Getty's mentality.

With the mystery out of the way, how low will it go today, Friday? One can only hope low enough that someone gets the balls to tell the emperor he's got no clothes, and to move on to wrecking the next industry he stumbles upon.

Andy Goetze, over at StockPhotoTalk has a great breakdown of all that is GYI, and cites Klein - "The year ended well", but "we are not declaring victory", no, it's just one more day in loser-ville.

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NOTE/REMINDER: I never have, do not now, nor ever plan to hold GYI.

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State of the Union - From the Photographer's Perspective

Last night was a historic event for two reasons: 1) It was President Bush's last State of the Union, 2) the announcement of an endorsement by Sen. Ted Kennedy (D-MA) of Sen. Barack Obama (D-IL) all but trumped the President's speech.

Here is a look at how the photographers covered the event (including me), as well as some insights into the work environment and challenges we all face.

After the jump is a transcript of the entire entry, including a correction on Tim Sloan's name - Sorry Tim!

(Full post after the Jump)

TRANSCRIPT:
We’re here at the Capitol in Washington DC covering the presidents historic last State of the Union address before a new administration comes in. lets go inside and see what’s going on with the different photographers covering the different angles of the State of the Union address. So when covering the state of the union there are various positions that a photographer will be assigned.

One of the primary positions is the head on position; in addition there is a left position and a right position on either side of the chamber. There are also corner positions and a rear position known as the reversal position. Now in addition one of the very unique positions that’s been added in oh the last 5 or 10 years is the floor pool position. Today’s pool position was covered by Tim Sloan from AFP. Tim was responsible for covering for all of the photographers with just one camera on the floor along with the President's photographer.

Covering the state of the union is not easy, its crowded and you really have to be on your game. You have to be able to make pictures in a really challenging environment. Lets now talk to a few folks shooting and editing today’s assignment, the presidents last state of the union address.

So David(www.DavidBurnett.com, or Contact Press Images) before we talk about your coverage of the state of the union tonight, tell me about the camera you have here.

This is a mentor reflex, which is a 4x5 reflex camera. Which means like a canon or Nikon its got a mirror inside of it, in this case a really big mirror. And the lens you focus here, I normally take the top off and look down into it and focus on the ground glass. The nice thing about it is that once you’ve got a frame that you like you can just shoot it. And it gives you a chance to shoot a little more mobile then with some large format cameras and the 4x5 negative definitely gives you a different look then what you get with digital.

Great, so how long have you used this camera? Is this the first state of the union that you’ve used it on? or have you done others with this?

This camera I’ve only had less then a year and I’ve only shot one job with it last march, I did a portrait, it was beautiful and I thought I would try and be gentle with it and take it out into the field, if you can really call this going out into the field. And its really interesting because you know, there are a lot of different ways to attack this thing, I mean I have been shooting a lot with speed graphics and they’re great for what they do but they’re a little slow, when you’re focusing on the ground glass they’re a little slow to load and be able to fire quickly and this one you can pretty much just see it then shoot it.

So were you mobile tonight or did you have a fixed position?

No I was in a fixed position tonight up at 4A3 I think, up in gallery 3, and that’s really how they do it I think, sprinkle us in amongst the real people. And you know it was good, this is about my 12th or 14th state of the union, I’m not sure exactly how many, but I did do one for Lyndon Johnson, I probably did one with Nixon but I don’t remember it, pretty sure I did Ford, and then everybody since then I’ve done at least one.

So in addition to that I see you’ve got a canon over your shoulder, were you shooting digitally to kind of augment that or just to get a different look and feel?

Well there are some things that you actually just want to try and get a shot, and that’s where the digital comes in really handy. You can actually have some insurance that you’ll get a picture. This is great when it works but the percentage of success is pretty low. So I shot 10 frames tonight, if I have 1 or 2 that are interesting, I’d consider that a big deal.

Great, so were you looking for an overall with that or were you wide or a tight thing for you? Yeah, it is a 210mm lens, which on a 4x5 is about the equivalent of a 60mm maybe a 65mm so you’re shooting an overall. But what I was trying to do was use slow shutter speeds, trying to get something with the motion of the congress when they would either applaud or stand up or sit down, to get a little movement in the picture. And you know, it’s a crapshoot; I won’t have any idea if any of this is any good until I look at the film tomorrow.

Well thanks very much David, I appreciate your time. Be careful with that camera.

Well you know this is why we have the non-digital age, to remember that sometimes its good to sweat. Amen David, thanks, I appreciate it.

So Liz (www.lizlynch.com), tell me what position you’re in tonight.

I’m in the corner position of the gallery on the senate side all the way in the back.

So Liz, what are you hoping to get tonight from your position?

Well we’re doing a photo spread, we do one every year on the state of the union, and I’m hoping to get a variety of shots, the president walking in, the various candidates that are there and everything else that’s going on.

And how long have you been covering the state of the union?

Probably for about 10 years.

And you’re goal tonight is to be making pictures that tell what story?

Well the story that s going on in the hall tonight, whatever that is, I mean it’s a presidential election year, so a lot of it I imagine will be the guests that are there, its always fun to see the democrats sitting and the republicans standing, and all that good stuff. So that’s pretty much the story I’ll be looking to tell.

Thanks very much Liz, I appreciate it.

So we’re talking to Jim Lo Scalzo about his coverage of the State of the Union. You’ve recently come out with a book called “Evidence of My Existence”, can you tell me a little bit about how the book is doing and how it feels now being a published author.

Oh you know, the books doing great, selling well, I’m glad to get it out there and have people read my story.

I mean I think it’s a remarkable story, I bought it and I’ve had a chance to read it. And it’s moving along with the Youtube video that you put out kind of preempting that. I’m going to encourage people to go check that out. We’ve put it on the blog already, I’m going to go ahead and do that some more for you. So tell me what position were you in tonight covering the state of the union?

I was front to the right, it was nice, it was kind of center and you could frame everything pretty well.

It doesn’t really matter whether you are a canon or Nikon shooter, were you primarily looking for wides or tights or what was your objective?

This is the first time I’ve left all the gimmicks at home for state of the union no squishy; you know the lens baby, no shift/tilt, no medium format. I just went with the long lens and primarily focused not on Bush but on Hilary, Barack, and Senator Kennedy.

Yeah, I noticed senator Kennedy and Barack were seated together which was a little out of protocol because Barack had come forward from his seat, he’s normally positioned a few further back from a seniority standpoint. But obviously the announcement with Senator Kennedy and Barack today is probably the reason why. So tell me what were you looking for?

What was the picture you were trying to get? If you had an image in your head, like a picture of some amazing, did you have anything in your head about it?

Oh sure there’s always a cerebral slideshow that I never achieve so I’m generally disappointed, I was trying to get any kind of interaction between Senator Clinton, Senator Kennedy, and Senator Obama and there really wasn’t very much. As well as President Bush and speaker Pelosi because there is a lot going on this week with the tax credit that they are trying to accomplish.

So how many state of the unions have you covered Jim? Is this your first or your fifth? Oh that’s a good question. I know its not your first so let me rephrase that.

Its defiantly not my first, I think its probably my 4th with President Bush, which is why I left all the gimmicks at home because I’ve tried them previously on him, and I figured we’d work for something different this year.
Well great, thanks very much for your time Jim, I appreciate it.

So we’re here with H. Darr Beiser from USA today, Darr, tell me what position are you in tonight?

I will be in the House Press Gallery overlooking the House Chamber, over the President's shoulder actually facing the Senators and Congressmen.

So you have what we would refer to in common parts as a reversal.

That’s right a reverse angle.

And how long have you been doing this?

I’ve done the reverse angle a couple times, maybe 3, I’ve done the front on a couple times, but probably 5 times over the 25 years I’ve been in Washington.

So what are you hoping to get tonight? What is the optimal picture for you?

The big thing about my position is the president entering the chamber and greeting all of the senators and congressmen and that’s probably the most important thing for me.

So that s your goal tonight is getting that kind of arrival/entrance shot.

Yeah and in this instance maybe even a departure is important too because its his last state of the union, Thanks very much Dar, I appreciate your time.

So we’re here with Dennis Brack. Dennis is a Black Star photographer also, I pale in comparison to Dennis but I want to get a few words of wisdom about what he was looking for tonight and how many state of the unions you’ve covered. So tell me, how many have you covered and what were you looking for?

Well, I’ve covered about 40 of them; tonight it just depends on the client. If I was working for time I’d be looking for something different, but tonight I was working for Bloomberg so I had to get a picture that meant something out to the wires. I got it out, I was in the back position because I wanted to get the reaction, I wanted to be on the floor all the time when the senators were there before the president came in, in hopes that Hillary and Obama would get together and they did to a certain extent. There will be a lot of talk in the papers tomorrow, did Obama turn away from Hilary, and that was probably the picture of the night that you’ll see in the papers. Of course the overall pictures of the President giving the speech, shaking hands with the speaker, the first lady, the other senators reacting or not reacting. So I got all those and transmitted it and I hope worked out. Thanks very much Dennis, I appreciate your time.

So we’re here with Matt Cavanaugh editing his EPA pictures. Matt, tell me what you were looking for in your edit tonight.
Well the first picture out is just a picture of Bush at the podium with Pelosi and Cheney behind him, then you get a couple out real quick and you look at them for, tonight the moment everyone was looking for was an interaction between Senator Clinton, Senator Kennedy, and Senator Obama because Senator Kennedy endorsed Senator Obama earlier today and that’s kind of a much bigger story in a way then the state of the union and it Bush’s final state of the union and its not that no one cares but its less of a story then the current presidential election. So we were looking for a picture of Kennedy and Obama and we did get a few which was of the 3 of them.

Great, so Matt, how many state of the unions have you worked? I’ve seen you side-by-side shooting state of the unions in the past, is this your first, second, third editing? Or what’s kind of your mix as far as shooting and editing are concerned?

It’s the first time I’ve edited and I’ve shot 3 of them up until now, last year I was in the center position and I kind of volunteered to edit this year because last year I got to do the primo spot so this year I was back here behind the scenes and its fun, you get to watch it on the monitor and listen, you’re kind of looking for different moments and hoping that they’re on that card you get back from the other photographers.

Thanks very much Matt, I appreciate your time.

So that about wraps it up, hopefully you’ve had a chance to garner some insights into the challenges that photographers face in covering the state of the union.

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No Confidence Vote for the PDN/NGS Contest

I can't imagine that PDN, and the NGS would allow a contest that includes a blatant rights grab, but our friends over at PhotoAttorney brought to our attention this egregious contest requirement for PDN's The Great Outdoors Rights Grab Photo Contest:

Entries may be published by Sponsors and/or their designees, licensees or affiliates (the "Authorized Parties") in magazines, on websites, or in any other medium, at Authorized Parties' discretion. By participating, all entrants grant a license in the Entries to the Authorized Parties, and acknowledge that any Authorized Party may use the entries and a name credit in any media now or hereafter known, without restriction, including commercially using the entries to the fullest extent possible worldwide in perpetuity. Authorized Parties will not be required to pay any additional consideration or seek any additional approval in connection with such use.

Come on folks, what gives? PDN is such a supporter of photographers rights, and well, NGS, while certainly not interested in compensating photographers for re-use (a la Fred Ward v. NGS) aleast celebrates photography in their publications, so, I ask again - WHAT GIVES?

(Continued after the Jump)

I can only imagine that that both of them hired some contest competition company to manage/run their contest, and no one bothered (except Carolyn!) to read the small print.

Let's let PDN have a moment to re-do their rules to be more friendly. Certainly Microsoft did when called on the carpet (5/9/0 7 Microsoft's Oversight Correction), and others have returned to a position of respect for photographers rights.

So, let's see it PDN/NGS - fix the rules, and tell us how this happened in the first place. We have placed our trust in you in the past, please make this right.

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ASMP's Strictly Business 2 - Video Report

Here in LA, it's a packed house - standing room only (until more chairs were brought in!) for ASMP's Strictly Business 2 seminar. Here's a short piece interviewing several photographers about their thoughts on SB2's Los Angeles stop:

(Continued, after the Jump)

Those interviewed were:
Jeffery Salter -- http://www.JefferySalter.com from Miami, FL
Oscar Williams -- http://www.Oscar Williams.com, from San Antonio, TX
Daniel Sofer -- http://www.hermosawavephotography.com from Hermosa Beach, CA
Jamie Rector -- http://www.JamieRector.com, from Mira Loma, CA
Alicia Eschwege -- http://www.AliVega.com, from San Diego, CA

All were attendees, and share their thoughts and experiences about the seminar.

Future dates are:
-- Atlanta: February 22-24
-- Philadephia: March 7-9
-- Chicago: April 11-13

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What We Use Video Series

One of the things that happens often, is friends and colleagues ask what equipment we use, how we pack it, travel with it, and so forth. Further, with interns coming and going (40+, to date), it was a frequent occurrence that I was training and explaining to them what we use, and how we use it. So, during what was our slow period around the holidays, we ramped up and produced a series of videos. All together, they total 1 hour, 49 minutes, and took a month to produce, from production meetings to finishing editing - much more than I had expected to commit, but none-the-less it was a worthwhile endeavor. I've been collecting video for some time, from shoots and setup images, and so I've combined related video from those to an explaination of each case. I was inspired by Chase Jarvis' similar series, and am pleased with my results.

Below is the introduction, and I have transcribed every segment, and, on AssignmentConstruct, there are links to every piece of equipment we could find on either Adorama, Amazon, or, B&H, in case you're looking for that tool yourself.

Below the video is a link to each of the segments on AssignmentConstruct. Let me know what you think!

Introduction of The What We Use Video Series

Individual Segments:
Softbox & Light Modifier Kit  |||  Lighting Stands Case  |||  Primary Hensel Vela Lighting Kit  |||  Rololights Continuous Source Lighting  |||  Rololights Lighting Stands Kit  |||  Canon EOS 1Ds Mark III Kit  |||  Nikon D3 Kit  |||  Jacobsen Sound Blimp Kit  |||  California Sunbounce Lighting Reflector  |||  Gels & Gelly Rolls  |||  Lowel DP Hotlight Kit  |||  Lowel Omni & Tota Hotlight Kit  |||  Macbook Pro Laptop Kit  |||  Hensel Porty Bi-Tube Kit  |||  Hensel Porty Kit  |||  Hensel Porty Ringlight Kit  |||  Hensel Tria 1500 Kit  |||  Hensel Tria 3000 Kit  |||  Hensel Vela Add-On Kit  |||  Cord Kit  |||  Kenyon Gyro Kit  |||  Reviewing Kit  |||  Photo Equipment Carts  |||  Photo Equipment Cases  |||  Computers & Monitors - Travel Kit  |||  Fog Machine  |||  Hasselblad Kit  |||  White Lightning Lighting Kit  |||  Video Kit  |||  Audio Entertainment Kit  |||  Audio Sound Kit  |||  Sandbags  |||  Stands

(Comments, if any, after the Jump)

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JDK - Getty Images' CEO and KKR's Track Record - History Repeats Itself?

Crazy how the New York Times can report one thing, and Jonathan Klein, CEO of Getty Images (NYSE: GYI) can be saying something else.

Canon Professional Services (CPS) did an interview - Vision, passion and Bruce Springsteen - with Mr. Klein, and here are a few insights from that interview, apparently done in 2004.

Q: ....we often read that you have a vision for the company - what is that vision?
A: Fron the outset, we had a very unusual approach in that we wanted to build a business over the very long term. There were never any plans to buy and sell or to get out of the business when a certain profit had been made...I was very lucky to find the imagery business as it has become a passion of mine and I could not imaging working in a different area or industry.

What I'd love to know is if this passion came during his time as an investment banker when he was playing around with a prosumer camera and, after a few friends said "hey, you should be a photographer..." (as so many friends of bankers, doctors, and lawyers with their weekend toys - D3/1Ds Mark III etc - say during idle dinner party conversation) and JDK decided he would just roll up the industry?

(Continued after the Jump)

Further, where's that commitment, long term? Seems a move to NYC, coupled with the NYT article suggest that maybe there's love lost, the honeymoon's over, and that ugly, no makeup face of an agency with slashed prices and a plummeting valuation he's waking up to every morning just has gotten the better of him, and maybe, just maybe, he wants to return to being a weekend photographer and uploading to iStockphoto ("...the images have just entered my DNA...") under an assumed name just so he can see his photos in print?

Q: ...what do you see the benefits of being part of the Getty stable?
A: Getty Images will only be successful in the long run with mutually productive and positive relationships with photographers..."

See that, fellow photographers - you're just one of JDK's "ponies" in his stable, according to Canon. And as to Klein's sentiments? Well, with the grousing about the lack of updated gear worldwide, positive is not a word I would ascribe to GYI's relationship with photographers - theirs or any other. This leads me to the conclusion that, in part, he's right - "Getty Images will only be successful in the long run with mutually productive and positive relationships with photographers", ipso facto, Getty Images is not successful, and is being sold to a private equity fund, and the NYT suggests it may be KKR, known to collect all the cash in a business and sell off the assets, to wit:

KKR would often ensure that the target company's management retained an equity interest to create a personal financial incentive for them to approve of the takeover and work diligently towards the success of the investment.

So perhaps JDK, et al, will get that equity, and be a diligent worker for whichever private equity group comes in.

The NYT, generally reporting on organizations like KKR, report, in Wall St. Way: Smart People Seeking Dumb Money:

On Wall Street, buyout professionals are seen as the smart money. But their new shareholders are starting to look like the dumb money. The gilded realm of private equity — in which moguls use private money to buy stockholder-owned companies — has turned into dross for everyday investors this year...Kohlberg Kravis Roberts & Company, which invented the modern buyout industry, is now struggling to get its own I.P.O. off the ground.

From a lecture given at the Wharton School of Business - A Lecture You Don’t Often Hear: How Smart People Lose Money:

... when Kohlberg Kravis Roberts & Co. partner Perry Golkin delivered the Institute of Law and Economics’ annual "Law and Entrepreneurship Lecture" in Philadelphia recently, he only described KKR investments that lost money...Although Golkin didn’t name the companies involved, the facts he presented fit KKR’s purchase of the Regal Theater Chain, in which KKR is said to have lost its entire $500 million-plus investment, and its Alea Group Holdings venture which lately has cost KKR additional capital rather than producing profits. Indeed, last August the New York Times reported that today KKR is "just one of dozens of buyout firms," and not even one of the most successful."

Interestingly enough, Golkin cites Warren Buffet, which I quoted (Getty, The Stock Market, and Warren Buffett) recently:

We have the information that should enable us to make a good decision...That, at least, is the theory. However, Golkin noted, as Warren Buffet once said, "a good management team will always lose the battle with a bad business."

The piece goes on to cite Golkin:

According to Golkin, the theater companies explained this by saying: "We overbuilt after we bought. Regal built in AMC’s territory and AMC built in Sony’s territory. We cannibalized each other. It was too easy to build...But all that, he added, "misses the most important point. What the investment firms had failed to recognize was simply that movie theaters are not a good business. A theater is a commodity.

Sound familiar? Getty Images overbought. JDK famously said "If someone’s going to cannibalize your business, better it be one of your other businesses” as we reported on (Getty's Self-Immolation, 9/12/07). Here too, what an investment firm like KKR, or any firm for that matter, fails to realize is that a stock photo agency, just like the movie theater industry, is a whimsical industry, with ups and downs that don't suit bankers' expectation of easy money and a clear path to profit.

But wait, we're a little off track - back to CPS' interview with JDK:

Q: What impact, if any, has digital photography had on your business?
A: ...the development of digital cameras created a seismic change...

First, why the "if any" qualifier? Who asked these questions - someone who still shoots only film? And as to "seismic change", yes, and your validation/acquisition of the cannibalizing business that is iStockphoto, coupled with $49 images, and so forth are not just GYI-created aftershocks, but their own earthquakes in and of themselves.

Good lock Goldman Sachs, you've got an uphill battle here, with more potholes than an earth mover can fill. And, when you reach the top, it's only downhill from there, and I don't mean that in a good way.

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There's a sucker born every minute - Getty Images For Sale!

Often, companies that are worthwhile are fought over, or public announcements of plans to purchase by one company are made by another. It's not that often that someone says "hey, I think I'll sell my company, even though there aren't any buyers that have spoken up..."

Such is the case with Getty Images (NYSE: GYI), who, is now supposedly up for sale, according to the New York Times - Getty Images Up for Sale, Could Fetch $1.5 Billion.

A few interesting insights:

"A sale is not assured, because the tightening of the high-yield debt markets has cut off private equity firms from the lifeblood of their business, making it harder to finance deals."

Which means that when someone offers up $1B, which would be a 2/3 valuation, in the end, that'll mean that the valuation is more along the lines of 2/3 of Friday's stock close, or about $14 a share, assuming the $1.5B valuation was calculated on that closing price. Nice price. Still too much for server rack after server rack of photos,$49 photos,$1 photos, ahem... penny-photos.

“Getty Images continues to be a company in transition, adjusting from being the leading player in an oligopolistic market to being one of many players in a highly competitive market,” Barbara Coffey, a research analyst with Kaufman Brothers, wrote in a research note earlier this month.

I guess "a company in transition" is the latest buzz-phrase for failing companies and business models. The stock already tanked below $22, when Coffey had as her target price $24. Bad call there, and why don't you just call a spade a spade and say, in the words of Gordon Gecko, "this is just another dog with fleas..."

"Still, some analysts worry that other, cheaper rivals could continue undercutting the company’s prices."

No, really? C'mon! Say it ain't so!

I suppose that this will give JDK his easy exit, either with a sale, or the reason he exited being that it didn't sell. Further, this will give Getty/Klein/et al reason to demure and otherwise be tight-lipped during their Q4 call at the end of this month. I suspect we'll hear a lot of "well, in light of our planned sale...", or some other diversionary tactic to distract everyone from the reality that it will be a worse Q4 than even their lowered expectations predicted.

Getty's failed to live up to the maxim - "buy low, sell high". Unless you have some sub-$20/share options, that is, and even then, your time is short to get out before you go underwater.
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Note: I have not ever, do not now, and have no plans to hold GYI.

(Comments, if any, after the Jump)

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Message to Magnum - Pass The Dutchie, You've Had Too Much

As I was waiting for video files to render for an upcoming project, I took a few processor cycles to browse my site logs to see where traffic for the blog was coming from yesterday, and there was an uptick coming from Paul Melcher's blog, so I sauntered over to see what he'd written. Paging down aways, I did a double-take as I read what must have been sheer lunacy. A quick search and click to Daryl Lang's story on PDN - Magnum Photos Teams With OnRequest For Commercial Work (1/17/07) validated my concerns, but did not sit well with me.

Now, it is rumored that more than one Magnum photographer has on occasion been known to partake in the weed that dare not speak its name. As most drug counselors will ask you when you come in for rehab, "does your using create problems in your life in regards to work, family or friends?" It seems to me some members of this stately cooperative have been partaking enough to impair their work judgment and should reevaluate their recreational activities for the longevity of their organization. Their common sense seems to now be off the deep end, with the legendary Magnum Photos making a deal with bad business model purveyor (remember CustomStock?) David Norris.

(Continued after the Jump)

Note to Norris - nice coup, but when this falls apart, as it no doubt will, this should send you packing to some other industry, ripe for the brand of business model you propose. I suspect this will stave off the investors awhile longer before the are clamoring for better quarterly reports with "damn the photographers, profit at any price!"

Note to Magnum - really, lay off whatever has deluded you. Melcher sent you in the right direction. Here's a single link so you can read the rest of what I've written about Norris and OnRequest.

Who's responsible for this debacle at Magnum? I know it can't be Sue Brisk, if for no other reason than she's the editorial director (i.e. not responsible for commercial projects), and I found her to be a reasonable person when I had a few interactions with her during her time when she was at Sipa in NYC. Maybe it was Diane Raimondo, Magnum's Advertising/Corporate Director, who (apparently) spent time working at the United Nations Population Fund, and just might have gotten some of the UN's silly mojo about how businesses should be run? Whomever it was, Managing Director Mark Lubell had to sign off on such a sweeping deal, and he was reported in PDN to have said "OnRequest is really a support system for production," and "They have a first-class production team."

Really? Do you really think that? Did you look under the hood? "first class" is not the phrase I would use, not by a longshot.

Lubell then seems to go further down the rabbit hole, when their press release that went out over Businesswire quoted Lubell:

“We are very excited to be working with a partner that has such a deep passion for quality and respect for artists.”

What alternate universe do you live in where OnRequest has had a track record of respect for artists? What "passion for quality?" Did you not read the ASMP's Analysis of OnRequest Images 'Custom Stock' (October 2004), or their Analyzing the OnRequest assignment contract (December 2005)? Reading those would be simple due diligence, and the insights there, and from PDN (setting aside my blog, if you'd like) would preclude you from suggesting semi-superlatives like "deep passion" when referring to OnRequest.

Back in August of 2006, Mark was quoted as saying ""I think it's fair to say that Magnum was still functioning on a dying business model...". Mark, didn't you look at Norris' own statements about his failed model for CustomStock that were reported here? Are you as suceptible to the dot-com mentality now as you were back around 2001? OnRequest is not Web 2.0, they are, at best, Web 2.NO!

IF you want a first class production team, there's plenty in the NYC area that could support your talented photographers. Outsourcing your commercial production to a company headquartered in Seattle can't be sound thinking.

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ASMP Strictly Business 2 - Los Angeles, in 1 Week!

In case you missed the announcement back in September, the Los Angeles Strictly Business 2 traveling seminar weekend is just one week away!

It takes place next weekend (Jan 26th-27th), and is a must-attend event. (The activities on the Friday are private consults, and an opening reception.)

Planes, trains, or automobiles - it doesn't matter how you get there, because this is worth traveling for! It is going to be a remarkable weekend that will either get you started right, or bolster your existing business skills.

Here's what I wrote back in September:

(Continued after the Jump)

After over a decade's hiatus, the Strictly Business seminar program has made its return, titled Strictly Business 2. I can look back 10+ years, to when the original series visited my area, when I didn't really have the $200 or so it cost to attend back then. I also didn't have the $150 for an hour with legendary consultant Elyse Weissberg, but I spent it, because I knew, I just knew, it would make a difference. Yet I see that experience - and it was an experience, all weekend long - as one of the cornerstone's of my success that I enjoy now. It was the foundation for the rest of my career, and it got my off on the right path, without a doubt.

As such, I consider it a privilege to have been asked to be one of the presenters, along with Blake Discher, and Leslie Burns-Dell'Acqua. Discher and I, along with current ASMP President Judy Hermann, and immediate past Presidents Clem Spaulding and Susan Carr, all chart a degree of our success to the original program, and others have testimonials worth reading.

It's got a lot of meat for the seasoned pro, however, the beginner will benefit greatly as well. In a way, it's like the Simpsons is funny - youngsters laugh at one level of humor, while adults laugh raucously at the deeper jokes in the program. So too will the seasoned pro take away a great deal of strictly business insights into the weekend.

So, where are we heading to, and where should you be making your travel plans to, if it's not in one of your hometowns?

• LOS ANGELES: JANUARY 25–27
• ATLANTA: FEBRUARY 22–24
• PHILADELPHIA: MARCH 7–9
• CHICAGO: APRIL 11–13

So, make those travel plans now. Space is limited, and last time it definately sold out fast.

Here's details from the website:

Take control of your career. Attend the American Society of Media Photographers' weekend conference series Strictly Business 2. Learn to negotiate your prices and contracts. Get answers to your marketing questions. Prepare yourself to build a successful and sustainable business. Don't miss this rare opportunity to gain first-hand experience from the experts.

ASMP’s Strictly Business 2 is a weekend conference that will teach you real-world business skills and help you thrive in our highly competitive industry. SB2 brings you consultations, lectures, video presentations, a keynote address, workshops, hands-on negotiating training, and social gatherings to share and learn from your peers. This weekend will change the way you look at your business — join us.

Who should attend? Are you struggling to put the business pieces together? Are you overwhelmed with the pace of change in the industry? Is your career meeting your creative and financial goals? Attend SB2 and get a road map of answers. Strictly Business 2 is for those starting out in the business and those needing a boost. Have you been working in retail photography and dabbling in commercial? SB2 is for you, too. Are you a student or emerging professional? Treat yourself to an intensive weekend packed with the information you need to build a career as a photographer.

The original Strictly Business series was a transforming event in the careers of many of ASMP's most prominent members. Read their testimonials. Today, Strictly Business 2 can transform your career too.

Traveling to SB2? The extra benefit of SB2 is the community it creates. By staying at the conference hotel, you receive even more opportunities to interact with fellow photographers, the educators and our sponsors. The locations offer ease of travel for those flying or driving. Use the conference hotel and take advantage of incredible ASMP secured rates. And don't forget that two meals a day and two social hours are included in your conference fee!

Click here to register.

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