TIBURON, Calif.—(BUSINESS WIRE)—April 12, 2007—Jon Peddie Research announces the release of the 2007 DigitalContent Creation Report. This year's report includes sections on 3Dmodeling and Animation, 2D Animation, Digital Video, Graphics andImaging, and Audio.

The digital content creation market has seen a healthy period ofgrowth. The total DCC market grew 16% from $2.6 billion to reach morethan $3 billion in 2006. The fastest growing segments in the futurewill be interactive development and video as the web offers newdistribution networks and new programming approaches such as AJAX toenable small compelling applications to be developed that extend thepower of individual web sites.

"We are seeing big shifts in the digital content creation market.For example there have been game changing moves by Adobe with theacquisition of Macromedia and Serious Magic, Autodesk's acquisition ofAlias and Colorfront and Google's acquisition of Sketchup and YouTube.The landscape is changing right in front of us all. It's all good, butcompanies are going to have to be nimble to adapt," says KathleenMaher, Senior Analyst at Jon Peddie Research and author of the DCCReport.

For the short term the outlook looks good for all segments indigital content creation. There are exciting prospects for consumerproducts and for a growing mainstream of professional products. Thereare some challenges ahead, most notably for the graphics and imagingmarket. The growth of digital cameras and the growing understandingamong consumers of the potential of digital photos and video hascontributed to overall growth but in the case of digital photography,free tools are becoming available for the limited amount of editingconsumers generally perform (adjust, crop, post/email). Video is amore complicated process and thus is not easily boiled down to a fewprocesses. In addition, new avenues of distribution such as mediaplayers, YouTube, MySpace, etc. are helping spur interest in consumervideo editing. In the future however, instant video editing tools havethe potential to confuse the market for traditional vendors.

The professional market overall is being defined by a move awayfrom proprietary systems toward mainstream, desktop based systems.Most companies selling professional DCC tools are trying to adjust tothis trend because there is an obvious positive side: As tools becomemore accessible in price and ease of use, there are more people whocan take advantage of them.

The 2007 version of the DCC report is available now for $5,000 forsingle electronic copies. Site licenses are available to allowcompanies to share the data on their intranets for $7,500. Asubscription to the DCC report includes access to a special section ofour website where regular additions to the report will be made as wellas profiles of the companies involved in this fascinating segment ofthe market.

Jon Peddie Research is a technically oriented multimedia andgraphics research and consulting firm. Based in Tiburon, California,JPR provides consulting, research, and other specialized services totechnology companies, including graphics development, multimedia forprofessional applications and consumer electronics, high-endcomputing, and Internet-access product development.

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