Competitive Analysis of Web-Based Consumer Photo Services Forecasts Restructuring, New Entrants.

Business Editors & High Tech Writers

SAN MATEO, Calif.--(BUSINESS WIRE)--June 7, 2000

Future Image research report analyzes the 22 most important companies in the field; includes interviews with key executives at each firm discussing current strategies and future plans.

New ways of taking, viewing, printing and sharing pictures will soon completely change the way consumers worldwide enjoy photography - and rock the multi-billion dollar industry to its core. Now is the time to understand what changes are being wrought on the industry - and by whom.

Future Image, Inc., the leading research and analysis firm specializing in Internet and digital imaging, today announced the publication of its latest research report: "Web Photo Services 2000 - A Competitive Analysis." The 152-page report spotlights 22 companies leading the revolution, from giants such as Kodak, Intel and Sony to innovative start-ups like Zing, Shutterfly, Ofoto and Snapfish. It features:

-- Interviews with 28 key executives whose vision and energy is

driving the market forward; these include Kodak Chairman

George Fisher and CEO Dan Carp, Zing Networks CEO Mark

Platshon, and PhotoWorks President Gary Christophersen (see

below for a complete list).

-- Results from Future Image's primary customer survey regarding

the desirability of Web-based photo services. The survey

highlights the attitudes and perceptions of nearly 1,000

consumers who use both the Web and digital cameras.

-- In-depth profiles of 22 companies, reviewing standardized 

criteria including business model, management strength,

funding, alliances, and future prospects,

-- Standardized summary sheets for each company

"Our survey of leading-edge photography consumers found that far less than half of them now use a web photo sharing service, and fewer still have used a web photofinisher. However, the vast majority of them will use these services this year," says Future Image analyst Paul Worthington, principal author of the report. "We've had extensive access to the top executives at the companies leading the charge in Web-based consumer photo services, so we can present their plans and strategies in their own words. We've combined that with our own extensive analysis and criticism. This report is a unique resource to find out what the current market leaders have already done - and what they are working on."

Future Image's analysis segments the Web Photo Services field into four categories:

-- Web Photo Communities: B2C sites that bring consumers to the

Web by providing them a mechanism to share their pictures,

then monetize that audience in various ways. Companies

profiled here are: AOL (You've Got Pictures), Club Photo,

PhotoChannel, PhotoPoint, Yahoo!(Photos), and Zing.

-- Web Photofinishers: B2C firms that are using the Web to

reinvent the photo printing service business. Companies

profiled here are: EZPrints, Ofoto, Photo Access, PhotoWorks

(formerly Seattle FilmWorks), Shutterfly, and Snapfish.

-- Imaging Vendors: established companies looking to this new

medium to grow their business. Companies profiled here are:

Adobe (ActiveShare), ArcSoft (PhotoIsland), Fuji,

Kodak/PictureVision, and Sony (ImageStation).

-- Internet Imaging Enablers: Firms who have chosen a B2B2C 

business model - providing the technologies and services that

enable other sites to successfully compete for consumers

"eyeballs" and dollars. Companies profiled here are: FotoWire,

Hewlett-Packard (Cartogra), Intel (GaterRound), and PhotoLoft.

"It's apparent when you study the sector in-depth that it's in the process of substantial restructuring," says Alexis Gerard, President, Future Image Inc. "Recent changes in the pattern of venture funding are making it more difficult to build consumer brands on the Web. Simultaneously, we are seeing the emergence of an aggressive new group of companies aiming to image-enable any site on the Web that has a constituency. Understanding the strategies of these Internet Imaging Enablers is fundamental to business planning in this industry." A trends overview is provided for each of the four categories. In addition, the report includes an Industry Overview and a Conclusions & Outlook section. The report is delivered in binder form, in order to accommodate updates and additional company profiles.

Partial versions of the full report, each volume of which looks at one of the four categories, are also available. Ordering information for all versions of the report is on the Future Image website: www.futureimage.com.

"Web Photo Services 2000" includes interviews with the following executives:

-- AOL You've Got Pictures: Sheila Leverone, AOL Executive

Director and General Manager for Imaging and Greetings.

-- Adobe ActiveShare: Drew McManus, Group Product Manager,

Business and Imaging Solutions Group.

-- ArcSoft: Todd Rumaner, Executive Director.

-- Club Photo: Andrew Wei, CEO / Founder.

-- EZ Prints: Robert Miller, CEO and President.

-- Eastman Kodak: George MC Fisher, Chairman of the Board; Daniel

A. Carp, CEO; Willy Shih, President of Digital and Applied

Imaging/ PictureVision CEO.

-- FotoWire: Patrick Serex, CEO.

-- Fuji: Howard Locke, Business Development Manager for Internet

Products and Services; Carol Smith, Senior Manager for

Corporate Communications.

-- Hewlett Packard: Dan Gilbert, General Manager Internet Imaging

Division.

-- Intel: Lorie Wigle, General Manger of Internet Imaging

Services.

-- Ofoto: James Joaquin, President and CEO.

-- PhotoAccess: Gene Wang, CEO/ Founder.

-- PhotoChannel: Geoffrey G. Briant, Chairman, President, and

CEO.

-- PhotoLoft: Jack Marshall, President and CEO.

-- PhotoPoint: David Rowley, President CEO / Founder.

-- PhotoWorks: Gary Christophersen, President and CEO; Gary

Tashjian, Vice President Marketing.

-- Sony: Neal Manowitz, Senior Product Marketing Manager, Sony

Digital Imaging Marketing Division.

-- Shutterfly: Jayne Spiegelman, CEO; Daniel Baum, VP Lab

Systems; Eva Manolis, Vice President of Web Services; Julie

Herendeen, Vice President of Marketing.

-- Snapfish:Rajil Kapoor, President & CEO.

-- Yahoo! Photos: Mark Hull, Senior Producer.

-- Zing: Mark Platshon, President and CEO.