Why has Canon allowed themselves to be so far behind?
When you're the sales leader, there's no real incentive to improve your products...just to maintain the status quo, and keep churning out those clever Canon television and magazine advertisements.
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The Canon AE-1: so advanced, it's simple."THE TV slogan that made Canon a force to be reckoned with! Canon used TV advertising to become a HUGE market force in the mid- and late-1970's. Marketing is a big thing for them. They KNOW how to market products to huge, mass audiences. Nikon and Sony suck at marketing! Canon was a major early adopter of prime-time TV camwera commercials, and knows that advertising is a huge factor is sales. Nikon's ads have been laughable!
SONY spent hundreds and hundreds of millions of Yen to develop new sensor fabrication technology, in an effort to develop sensors for SALE to other camera makers, and for their own use... SONY bought Konica-Minolta's camera IP and patents and tried to gain a place in the Japanese camera industry after decades in consumer electronics...Sony needed an inside anglke, and they develpoped one with HUGE investment in sensor fabrication and design...Canon? Nope, too busy maintiaining sales position to decide to challenge the other players. Smart for Canon corporate and shareholders.
Canon has a nice photocopier division. Nikon is the last mostly image-making company left in Japan: the industry has been compacted/decimated/consolidated over the last few decades. Nikon is an old-line optical and camera company...and is small...Canon is HUGE....Sony is HUGE.
Canon's goal has been to maintain its #1 camera sales lead position, for years...Canon re-used the same crappy 18-MP sensor in five sequential Canon d-slrs over more than half a decade....Nikon and Sony could not coast on their laurels the same way....they HAVE to try harder...Canon did not want to invest hundred of millions of Yen to make better sensors: it makes MORE sense to spend the money on advertising, promotion, and R&D for lenses and other accessories, as long as the sales come in, it doesn't matter to Canon corporate nor to Canon shareholders if their sensors are state-of-the art and class-leading, or below that, as long as the sales stay high, that's the critical factor. AND the industry is not an expanding one, so...stay the course, keep the ads cranking, keep the prices competitive, and do not spend hundreds of millions of Yen if the #1 sales position stays at #1. Simple, right?
Sony OTOH...spent heavily on sensor R&D, on fabs, and now can SELL these key pieces to Nikon,Pentax, Fuji, Hasselblad, and to other, industrial users of sensors (CCTV, industrial imaging sensor rigs, etc) AND ALSO use them in its OWN bid to enter the high-end camera and video markets in an industry where MANY buyers are very tech-savvy. When you are brand-new to a business, you have to have an edge, and angle, a business plan. When you are small, you need an edge.