As an Avid reseller for over 14 years,  EAR feels a healthy production industry needs diversity of opinions and creative tools. The following letter reflects one of our industry's giants baring it's sole. Not an easy thing for most companies to publicly do. We applaud Avid's effort to improve itself!

A letter from Avid CEO, Gary Greenfield -

Over the last six months I have had the pleasure of visiting and talking with hundreds of customers and business partners around the world. I have learned a great deal in that short time, and heard one very clear theme: Avid needs to do a better job of listening to our customers and developing solutions that truly meet their needs.

As you know, Avid has a very diverse customer base; from the millions of consumers using our audio and video products to the world's largest and most complex media enterprises. But all of these customers are united through a common desire -- to use their creative talents to accomplish their objectives and turn their dreams to reality. Regardless of where you may fall on Avid's customer continuum, each and every employee at Avid is committed to delivering on our mission to provide customers with the solutions that inspire passion, unleash creativity and realize dreams in a digital world.

To do this, however, we need to make some changes to the way we do business. Avid is very fortunate to have a strong legacy and history of innovation, with some of the industry's most talented and committed employees, and an extremely passionate customer base. At the same time, we recognize that we have a unique opportunity to better leverage the strengths of our combined company, allowing us to deliver greater benefits to you -- and all of the diverse customers we serve.

A New Corporate Strategy

We have established a new corporate strategy designed to meet the continuously evolving needs of the marketplace and enable our customers to achieve success. Part of this strategy means realigning ourselves in a way that will further integrate a range of video and audio point products into more collaborative media production solutions. It also means gaining a deeper understanding of the workflow challenges customers face everyday and helping to address them with a mix of both Avid solutions -- and systems from third-party vendors.

The heart of our strategy and the focus for the immediate future come as a direct result of the many conversations I have had with customers:

• Build competitive tools with differentiated performance, at the right price;
  
  
• Translate customer feedback into flexible, reliable, high-quality solutions;
  
  
• Become more "open," offering greater interoperability between Avid systems and third-party products;
  
  
• Refresh our product lines more frequently; and
  
  
• Better leverage the innovation from all areas within the company to advance the market competitiveness of our offerings.

Aligning Our Structure to the Strategy

A critical component to executing our strategy is to make sure that we have the right leadership team in place. As a result, we have made several changes to the senior management team. One of the most obvious changes to the structure is that the leadership team will no longer center around separate, independent business units. Instead, we are creating a much more integrated customer-centric structure that will facilitate our goal of operating as a single company. Here's a snapshot of the new leadership team:

• We are combining all of our sales, marketing and service across the company into one common organization: Customer Operations - led by Kirk Arnold. Customer Operations will act as a single, integrated unit representing the majority of the customer facing teams - such as sales, marketing, product marketing and service - for all of the top-level markets we serve, including Video, Audio, and Education.
  
  
• We are re-aligning our business units to have their full attention and focus on product development. These units will include a Video Business Unit - led by Paul Lypaczewski and an Audio Business Unit - led by Tex Schenkkan. Paul joins Avid with more than 25 years of deep industry experience, having held leadership positions at ATI and Autodesk Media and Entertainment, and Tex is assuming this leadership role having been the COO of the Audio group for the past two and a half years. Both the Video BU, which now includes all of our professional and consumer video lines and the Audio group which includes Digidesign, M-Audio and Sibelius, will be integrated teams comprised of both engineering and product management.
  
  
• On the service and support side, we've created a new Customer Success organization, led by Beth Martinko. Customer Success is an integrated team chartered with our technical service and support efforts for all of our offerings - from professional to consumer, and video to audio.
  
  
• We also have a new Chief Technology Officer - Dave Lebolt. Dave, who moves over from GM of the Audio Group, has very strong technical knowledge of our entire company's audio and video product portfolio. As we move forward, Dave will play a pivotal role in ensuring that we continue our history of innovation in the digital media space. He'll ensure that we set the right priorities, align our resources to deliver new and emerging product solutions, and deliver an exceptional user experience that enhances the way our customers work in the future.
  
  
• We have created an Administrative Operations organization - led by Ken Sexton. Ken has been overseeing our Finance, HR, IT and Legal functions since he joined the company earlier this year. Ken's group will now include Operations (e.g., manufacturing, quality assurance, strategic supply chain, etc.) for all of our lines - from professional to consumer, and video to audio.
  
  
• Our Corporate Development organization will continue to examine Avid's growth strategy with respect to addressing industry trends through acquisition, third-party partnerships and other strategic business development opportunities.

This team, which is already in place, combines proven business experience with deep industry expertise. Although there are likely to be some additional changes in the weeks and months ahead as we do some additional integration and realignment work, it's important for you to know that your current sales and support contacts have not changed. As we move forward with any changes that might impact your day-to-day contacts within the company, we will share that information with you as soon as it is available.

In Closing...

We believe it is important that our customers and business partners have a clear picture of where Avid is headed in the future. We appreciate your business and look forward to helping you achieve great success in the world of digital media.

Sincerely,

Gary Greenfield
Chief Executive Officer
Avid Technology