DIGITAL PHOTOGRAPHY NEWS

CEA Research Finds Digital Cameras Remain Primary Picture Taking Device

Survey Underscores Need for Industry Involvement in Consumer Archiving Awareness

ARLINGTON, Va.-- (BUSINESS WIRE) -- Aug. 12, 2005 -- Even as they increase in popularity, camera phones are not likely to replace digital cameras and camcorders as consumers' primary picture taking device, according to a study recently released by the Consumer Electronics Association(R) (CEA), which found that some 91 percent of digital camera owners consider their digital camera to be their main photography device. CEA's "Digital Imaging Study: Sharing and Storing Pictures and Video," also revealed that consumers are unaware of the need to archive their digital photos and video - an issue of increasing importance as the penetration rate for digital cameras nears 50 percent with those camera owners snapping billions of pictures each year.

Steve Koenig, senior manager of industry analysis at CEA, said, "Consumers are fortunate that today's digital imaging product shelf is festooned with convergence photography devices in addition to the still camera - still cameras that capture full-motion video, digital camcorders that take still pictures, camera phones, PDAs and wireless phones with image/video capture capabilities; the list goes on. Many consumers own several photo-capture devices, but our research shows the digital camera remains consumers' primary picture taking device and we expect that to continue. Camera phones and other convergence devices will likely experience improved resolution capabilities, but the vast majority of consumers will turn to a digital still camera when their primary purpose is picture taking."

Consumers report they expect to share photos and video electronically from their digital camera or camcorder, through computers, e-mail and wireless phones. About two-thirds print their photos and half of them burn images onto a CD to share with others. A small but significant number of consumers share their digital photos by printing.

"Consumers tell us electronic sharing of digital imaging content is the way of the future," Koenig continued. "To make this happen, consumers really need more Internet bandwidth for e-mail, more processing power for computers, greater media storage capacity and more robust wireless phone data networks."

Koenig added that the survey's red flag is the lack of knowledge or practice of archiving digital imaging content. According to the more than 1,100 U.S. adults surveyed by CEA, consumers are unaware of the need to back-up digital photos and video. Only 48 percent said they back-up all or most of their images, while the same percentage of video is not backed up at all. Less than half of the consumers are even concerned about losing their imaging content.

"Many industry groups are addressing the need for consumer awareness and education about archiving digital images, including CEA through the Digital Imaging Special Interest Group (SIG)," Koenig concluded. "This survey demonstrates the industry must continue to beat the drum and encourage content archiving to help consumers avoid disaster."

"The Digital Imaging Study: Sharing and Storing Pictures and Video" was administered online to 1,156 U.S. adults in May and was designed and formulated by CEA Market Research, the most comprehensive source of sales data, forecasts, consumer research, international research and historical trends for the consumer electronics industry. The complete study is available free to CEA member companies. Non-members may purchase the study at www.CE.org/CeaStore.

About CEA:

The Consumer Electronics Association (CEA) is the preeminent trade association promoting growth in the consumer technology industry through technology policy, events, research, promotion and the fostering of business and strategic relationships. CEA represents more than 2,000 corporate members involved in the design, development, manufacturing, distribution and integration of audio, video, mobile electronics, wireless and landline communications, information technology, home networking, multimedia and accessory products, as well as related services that are sold through consumer channels. Combined, CEA's members account for more than $121 billion in annual sales. CEA's resources are available online at www.CE.org, the definitive source for information about the consumer electronics industry.

CEA also sponsors and manages the International CES - Defining Tomorrow's Technology. All profits from CES are reinvested into industry services, including technical training and education, industry promotion, engineering standards development, market research and legislative advocacy.

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