Nikon Buys RED | Deep Dive Into How We Got Here & The Industry Impact

[@sidneybakergreen]

This has been an absolute wild ride with regard to the battle between Nikon & RED. When I tell you I was up all night on the phone talking with peers about the potential industry impact and a look at how we got here... man. That being said, it should go without saying that these are my own thoughts, based on research done, some sidebars had with others in the industry, and a simple look at the car fax. The one thing a lot of people can't seem to agree on is if Nikon will stop terrorizing the camera industry with the RAW patent or if it will continue the legacy. I keep coming down to the reply NIKON gave Red in the lawsuit. It would be very hard to argue that a patent should be upheld when your own lawyers, under the penalty of perjury, called the patent invalid. But time will tell.

[@MarkLewis-l3f]

Congratulations Sydney...I work in civil litigation, specifically in settlement negotiations. You 100% nailed the legal side of this. I've been wondering how long it would take somebody to notice the elephant in the room. You can't make a legal argument that the patent is illegitimate, then turn around & claim you own exclusive rights. It's the litigation equivalent of trying to sue somebody to enforce a contract that is illegal. If one drug dealer cheats another one by handing over some bags of flour mixed in with the cocain, they can't call the police for obvious reasons. I started shooting with Nikon 40 years ago & stuck with them. I have never doubted they would get back into the game with video even though I shot some videography work on Sony for a while back in the analogue era. Two years ago I decided to get back into video & started looking for a hybrid. When the Z9 & Z8 cam out that made my mind up. My plan was to take the video route to eventually doing cinematic work. My timing could not be better. Nikon just bought a grocery store for the price of a loaf of bread, a gallon of milk & a carton of eggs. In 10 years, they will catch Canon & be the dominant camera maker in the consumer/pro-sumer space.

[@sidneybakergreen]

Thank you for the love man! 100% appricate it.

[@FlingerFilms]

Nice analysis.. I expect nothing less than this great type of content from you. Will be interesting in the next 2 years. Easily a good time to pause on ANY camera purchases as the implications unfold. Thanks Sidney!!

[@GabrielScindian]

Bro you hit the nail on the head with this explainer. Think back when Blackmagic bought Davinci Resolve. It went from a Hollywood elite piece of software to being in the hands everyone. With Nikons manufacturing, network and consumer base Nikon Cinema Cameras with REDs tech at a price point where it will be loved by everyone... Exciting times

[@KibbitUpIt]

You're very insightful

[@sidneybakergreen]

Thank you for the love!

[@GG-zv9ku]

Im excited for Nikon. Glad they bought RED

[@sidneybakergreen]

Me too!

[@PavelGramatikov]

You channel deserves much more subscribers and viewers! I LOVE that you are not relying on sensationalism or attention-grabbing thumbnails. Just awesome content. I would also love to see a video about your take on AI and how it can impact small creators. PS: PLEASE urge your contacts at Nikon to implement video backup on the second card slot in the Z9!

[@sidneybakergreen]

Thank you so much!!

[@VagiPeti]

Wow man, you dug deep into this topic! Was very interesting to listen!

[@astromoosie]

Also happy to be back on the Nikon. I've used a D750 professionally for 7 years. Messed with the Sony A7IV and A7RV for a bit but eventually sold that and went with the Z8. I'm not changing systems again because it's just too expensive selling camera bodies and lenses at a loss... Nikon will be my main camera for the foreseeable future so this is really exciting news.

[@bishfrie]

You speak with knowledge, clarity and simplicity, stuff you said has made the most sense so far, great job. Subscribed

[@Butternose]

I was trying to wrap my head around the intrinsic value in the purchase, given the expirey of the patents wasn’t far off… prior to Nikon pulling their pants down for all to see!! Throwing open the doors to compressed RAW would be serious image boost and kudos for Nikon! Panavision looks like a clincher I’d totally missed. Great analysis, good video 👍

[@dillonbrown1454]

Wonderful insight.

[@vzshadow1]

Thanks for the interesting take on this issue.

[@GabrielScindian]

Atomos will have to change their offerings due to this as well

[@Trevellian]

Atomos is already in terrible shape. Financial scandals, personnel scandals. If RAW becomes a standard feature on mirrorless bodies, seems unlikely they'll survive.

[@JoseTheRover]

Great analysis as always. I was a Nikon user for years before Sony. I’m so happy they’re on the come up

[@mikeblack_pw]

Sidney, you’re awesome. Great video, thank you. (Z8/9 owner)

[@mycinetoolbox1979]

Blackmagic Raw is compressed, but it's sooo good.

[@alexcortez3007]

Absolutely crazy news! Nikon had been sidelined for the longest time in the video space even after the release of their Z cameras. This will change things significantly.

[@mikeblack_pw]

It actually strengthened because of the Z cameras. The Z8/9 took it to another level that is arguably better than anything not a cine-camera.

[@KibbitUpIt]

information about this acquisition needed to airtight as any leaks would be considered inside trading

[@GabrielScindian]

I would love to see the GFX100 II get a raw update

[@danielvilliers612]

Why would nikon give something free to their competitors, when they spend at least hundreds of millions buying red!!!

[@GabrielScindian]

@@danielvilliers612 ??? I have no idea. The point I made was that Nikon will set price points that will be advantageous to get their products in the had for a larger consumer base

[@AlexDoesYouTubes]

I thought it was possible Nikon would open up RAW video, after watching this, I am, dare I say, cautiously optimistic.

[@TylerDarlington]

Internal Pro Res Raw on my FX3 would help eliminate so much weight on my camera rig. Raw recording in drones, so many potential benefits if stuff changes. Also wonder if Apple will put Pro Res Raw in iPhones

[@sidneybakergreen]

Seeing as how RED filed a patent for Raw Recording in Cell Phones last year, It could be a possibility lol

[@livejames9374]

Your first point is precisely why Nikon may still keep internal raw for themselves. I’m sure they will weigh whether of not it’s more beneficial to license or keep it for sole use.

[@danielvilliers612]

​@livejames9374 exactly, why would nikon help market leaders like Sony. They spend millions for the lawsuit and now hundreds of millions, so that Sony can use it for free!!! Why should the potato company, to paraphrase the end of the video, help all those calling it the potato company. Now they can watch the potato the only one with night only c9mpress raw video, but my guess Redraw, one of the most used raw video codes and 8n Hollywood.

[@TylerDarlington]

@@danielvilliers612 like Sydney said, Nikon called the patent illegitimate, because it is essentially using jpeg 2000 encoding tech. So they didn’t help Sony, they helped themselves, and helped Sony in the process. But, I bet companies like Sony will still make customers pay to implement internal RAW capabilities. It will just be a lot cheaper than $800 like the Pro Res Raw implementation in the ronin 4D.

[@JaymesMedia]

Love this 🙏

[@dct124]

People should know these companies while in competition with one another also work with each other respectfully on some level. Sony makes Nikon sensor, Nikon makes the literal glass these companies use, and they share innovations with the market.

[@livejames9374]

I don’t think Nikon came out ahead after that lawsuit. After Nikon argued that the red patent was invalid it must not have looked like a favorable decision was coming. Hence the settlement and Nikon licensing the raw. I think communication continued with the companies after that and RED owners saw a good opportunity to sell ownership since they have been struggling with market share.

[@katt-tv]

I've been a RED user on feature films and TV for over 12 years now. I wish Panasonic all the luck and success with this brand.

[@JaredSpink]

Great video! Hey do you sell any N-Log luts?

[@sidneybakergreen]

I actually use a set of powergrades, for my personal work with the Z8 & 9, I created for ProRes Raw that transition really well to N-Log. You can get them in my Zcam Powergrade pack as they have they have a copy of the ProRes Raw Powergrades. You'll need to use DaVinci Resolve though. shop.sidneybakergreen.com/products/cinez-zcam-powergrades

[@andyguerrero6346]

Can you make an updated 2024 tutorial

[@TechnikFreund]

Hi Sidney, sorry to get off topic here but I saw you using haze/fog in another video and wanted to know what you use to achieve that with :)

[@sidneybakergreen]

It was a fog machine from a party store. It's really thick though lol

[@TechnikFreund]

@@sidneybakergreen Thanks for the answer - ima get a little one then :D

[@anthonyrock5039]

If Nikon comes out with a 6k+ raw with a global shutter camera that I can let run all day without overheating then I would definitely sell my Komodo. I loved my D810 and my old F3. I have separate cameras for cine to have a truly robust camera not a compromised mirrorless with conveluted menues and a mess of compression ratios and codecs.

[@ismaelosman9848]

When ARRI camera go out of business or merge by Sony or cannon?

[@sidneybakergreen]

Arri I think is good but I’d prefer Sony 😂

[@rodneyturnerphoto]

See you at NAB. There will probably a ton of discussions.

[@sidneybakergreen]

Be sure to IG message me when you get there! :) I get in on the 14th probably staying until Friday

[@rodneyturnerphoto]

@@sidneybakergreen will do.

[@alexandersmith6165]

So, reading between the lines - Nikon did the whole industry a huge favour, no more hassles with RAW licensing !? Let's hope so! Great Video and clarification, thanks Sidney.

[@sidneybakergreen]

It would definitely make them the goat, and is probably one of the best brand moves they could make. My thoughts are based off the fact that you'd be hard pressed to find a lawyer who would advise against trying to uphold the patent when the now parent company called it illegitimate.

[@Trevellian]

While an exciting development, would argue that Nikon's purchase of Red is bad for videographers. Sony and Canon aggressively 'market segment' their mirrorless cameras. They release cameras fully capable of shutter angle or adjustable anamorphic, but refuse to include those features in their cameras under $5,000 in order to protect the market for their much, much more expensive cinema cameras. It is no coincidence that Nikon cameras have video features curiously missing from similarly priced Sony and Canon cameras. Features like... internal RAW. Nikon has never had this conflict of interest as they've never had a cinema line. Until now. With the purchase of Red, Nikon will now be incentivized to copy Sony and Canon's behavior, relegating many video features to their much, much, much more expensive cinema cameras. This means that the only major camera brands not suffering this conflict of interest will be Panasonic, Olympus, and DJI / Hasselblad.

[@sidneybakergreen]

I see the concern, but I think Nikon understands a mirrorless body is a mirrorless body, and cinema cameras are cinema cameras. What makes a cinema camera a cine camera is going to be things like timecode, genlock, xlr, connectivity overall. There was never a need to protect their cinema line anyway. They just liked milking people for money, and their fans made excuses for it. RED didn't fear their cinema line with their consumer cameras. Furthermore, Nikons always had a smaller lineup than Canon and Sony.

[@Trevellian]

@@sidneybakergreen Hope you are correct.

[@tonylittleton8549]

It would be a dream to work with you one day!

[@sindrekdn]

As long as Nikon sint hypocritical and enforces the patent (which they have the right to do) and renews it when it expires I think the future of the camera industry can look really bright

[@michaelmalodrums9674]

So nikon buys Red that has an illegitimate patent then they tell all the companies here you go guys free compressed raw for everyone ? . Please explain this ? Thanks

[@sidneybakergreen]

I don't think Nikon bought them for the patent, I think they bought them for the connections into the cinema world, and for technology reasons. RAW was only held back from the consumer really. Hollywood would easily have the budget to record externally. ARRIRAW is external, X-OCN is external, CinemaRAW light is in every EOS Cinema Camera. That said, again from a legal perspective, it would be very hard for Nikon to sue another company after they stated in court that the patent wasn't valid to begin with. The defendant could simply point to Nikons own words. I would say they bought them because you now have an open door to do so. Proving the patent illegitimate would have destroyed REDs business model and another competitor probably would have bought them. Which would give your competitors and even bigger leg in the Cinema world and you're trying to break into it.

[@danielvilliers612]

​@@sidneybakergreenI also believe they did not buy red for the patent, but I don't see them opening it or even easily licensing it. I see them milking it fir at least the four more years left. Imagine All these Nikon cameras coming not only with nraw, but redraw and red color science workflow!!! Who will be the potato then??? All these cool dude with the fx3 creator edition, when RED/nikon will be on set of some blockbuster movies.

[@sidneybakergreen]

@@danielvilliers612 NRAW is just as flexible as R3D in most cases and I don't really feel a difference between R3D and NRAW. NRAW is newer technology anyways not archaic JPEG 2000 compression. And again to milk the patent it has to be enforceable. You can't skip over how their reply to the original lawsuit makes it dangerous for them to even attempt to sue someone

[@just_jay7078]

HAS ANYONE REALIZE THE 2024 OLYMPICS???? PERFECT TIMING.......NIKON FOR THE GOLD.

[@willvazquez3218]

Uh-oh, the red cult is going to come after you now. Ha ha. What’s crazy about this is how the Red cult is unraveling. So many guys had their whole identity wrapped up in the camera with the logo and the whole red world, and now they’re owned by Nikon, which is to use the words that one KZbinr said, an old guys camera. Well, I can’t wait for all the exciting products to come. I guess I have an old soul, because I love my Nikon z8

[@sidneybakergreen]

It's funny you say this because I said to myself, "Watch this video get posted in a RED Facebook Group, and then the cult storms the comments." I'm gonna pin your comment if it happens lol. But at this point, they can come at me all they want, they're Nikon users now lol. Having a cult mentality over company is so 2018. That being said, I think this is actually a good opportunity for the new products. And if anything it helps the RED name for those who refused to support the company because of their practices.

[@victorlim5077]

Great video. I agree with you. I hope Nikon continues with making innovative products rather than turn into a patent troll.

[@sidneybakergreen]

Totally agree

[@danielvilliers612]

You think nikon who has been struggling to get into the video world, will give for free a tech to market leaders like Sony and Canon. Nikon are no angel, they fought for years against the likes of ASML in their chip technologies. If people are angry at nikon, they should get angry to their own brands. Why did they not buy RED, which as we see today, was possible. Nikon had the courage to go against RED, today they are reaping the benefits, so why should they help those that sat on their bottom.

[@sidneybakergreen]

@@danielvilliers612 How can they? What judge is going to look at them trying to enforce a patent that they claimed was illegitimate to begin with in offical court documents and side with them? They're going to ask the question, did you lie then or are you lying now. And no company wants the legal ramifications thst come with that. I think the world can move on from being terrorized by RED. It's not even free tech every company has raw for some it's just external external. Like people can do internal compressed raw and they came up with it without the help of RED. Also, the patent isnt the purpose. Like did you watch the video? Who cares about a patent when it's really about connections. If you can't see that this is a connections move then idk what to tell you.

[@Bigcookfilms]

Hopefully Lumix will buy Arri or at least Blackmagic 😂😂😂

[@CLIFFLIX]

I'm giving you the dreaded "I have been told" here....Yes REDCode is based and an "already" patented JPEG2000. That is a patent problem that RED might have beaten in the past. No company has beaten RED when they challenged RED's "technology" portion of it's patent. Nikon had something VERY DIFFERENT. Patent law does NOT allow you to sell your product to market...and get a patent 12 months "after" it was ALREADY on the market. RED went way past that cut-off rule. This is critical. RED says they sold no camera's before they secured their patent. Nikon simply got PROOF that was NOT true. "I have been told" that Nikon had real, HARD evidence that RED "was" selling cameras BEFORE they had a valid patent. This goes against patent law and RED got caught. There was nothing RED could do. Nikon had them dead to rights....If this "NOW" goes to court???... the patent will be ruled null and void from day one..."so I have been told".

[@CatPixStudio]

Here is why Nikon won't licence internal compressed RAW in the near future to competitors and why they had a real shot with their lawsuit against RED and coming to an agreement in contrary to Apple, Sony and others: Nikon had a entirely different lawsuit approach as shown in the video below. The patent wasn't valid in the first place. And they surely have tangible evidence for it, which other competitors don't have. kzbin.info/www/bejne/lZC7Y2h8p5d-la8 BUT if Nikon had won the lawsuit instead of the joint dismissal and agreement with RED in 2023, RED would have lost their patent. Which wouldn't have been just a big loss for RED but a loss for Nikon too. Because not just Nikon would have benefitted from a "free" patent, even more so Nikon's competitors, who already have a good grasp in the video/cinema industry. So with their joint dismissal of the lawsuit and their agreement the important patent still stays intact. And now RED and Nikon can benefit from each other without other competitors benefitting from the patent.

[@sidneybakergreen]

You're argument isn't factoring in Nikon's reply to the lawsuit. Pursuing legal action against another company for incorporating RAW video technology into their cameras or seeking to have them license it could be seen as contradictory, especially since Nikon previously contested the validity of a the patent in court. Engaging in such actions could undermine Nikon's credibility and potentially expose it to legal risks, including allegations of inconsistency or bad faith. Engaging in actions that could be perceived as bad faith or inconsistency in a legal context can have various legal ramifications, including: Loss of Credibility: Courts and legal authorities may view parties engaging in bad faith or inconsistent behavior as less credible. This could impact the outcome of legal proceedings and undermine the party's arguments or defenses. Sanctions: Courts have the authority to impose sanctions on parties that engage in bad faith or inconsistent conduct during litigation. Sanctions could include fines, penalties, or other punitive measures designed to deter such behavior. Estoppel: If a party takes a certain position in a legal proceeding and then later takes a contradictory position, they may be estopped from asserting the contradictory position. This means they may be prevented from making certain arguments or claims based on the principle of fairness and consistency. Damages: Engaging in bad faith or inconsistent conduct could expose a party to liability for damages, particularly if the conduct results in harm to another party or violates contractual obligations. Loss of Legal Rights: In some cases, engaging in bad faith or inconsistent behavior could result in the loss of legal rights or remedies. For example, a party may waive certain contractual rights or defenses by acting inconsistently with those rights or defenses.

[@CatPixStudio]

Sure. OK. But now as they bought RED and RED's patents Nikon just have to do nothing concerning the patent. Don't you think holding the patent like RED did is key for Nikon's successful dive into the video market?

[@sidneybakergreen]

@@CatPixStudio No. The Alexa's default internal format is ProRes 4444. The key is going to be the sensors, tech, and design R&D they acquire from RED. Including connections like Panavision since RED makes the DLX2 for them, well now you have access to some big sets that only ARRI really has. Furthermore, I look at their partnership with IntoPIX. They want to improve codecs for every manufacture and end user. TIkoRAW has been around for quite a long time. I remember hearing about during 2020. You seriously hurt a partner too by upholding that patent. The key has always been the sensors first and foremost. Plus the patent expires in 2028, and you know people are going to gun for you if you try to renew it. On top of the fact that Nikon already called it illegitimate under the penalty of perjury. That alone is reason enough why Nikon probably can't even attempt to enforce it. EDIT: I forgot Money. Nikon has a lot more money than RED did they can probably take that tech a lot farther too.

[@RalphRaphaelPhotog]

​@@CatPixStudio nikon is not known in the cinema world, red is pretty much lost face in this ordeal, if nikon realse raw to everyone, they become the hero, if not, they will fade into obscurity

[@magic2253711]

Jarred Land has also mentioned there are notable camera manufacturers who already pay license for the patent, we don't know about. They have for years apparently according to Jarred. They just haven't implemented the technology into their ecosystem yet. This is souly based on what Jarred has said without providing anymore details or context. Which would throw a small wrench into the idea of the patent holding back the industry. 🤷🏻‍♂️

[@danielvilliers612]

I like you analysis, but not your conclusion. I don't see any way nikon helping others getting raw internal video format. Firstly they are the underdog in this market, now they have a tool that can help them cling back some market share, so my guess they will milk it. They did not spend hundreds of millions buying RED to give market leaders like Sony and Canon a free cake, when they could have bought RED. I also don't think we will see a Nikon cinema camera tomorrow, I think what we will soon see are RED cameras with Zmount and full Nikon quality autofocus. And red slowly phasing out RF lens. For the rest, I see Nikon treating red as a very independent and free subsidiary, giving them more resources and find ways to integrate both technologies like integrating xspeed 7 or future 8 while perhaps developing sensor chip for both companies. They won't disrupt the culture that made red, one of the only brand that succeeded in getting in Hollywood. The most obvious for us nikon users, would be the integration of redraw in certain nikon cameras and their color science workflow. So it will be seamless to work from a z8 to their 30 usd V raptor camera.

[@sidneybakergreen]

Go back and watch the conclusion again. It's not about helping other companies. Other companies already have raw external. It's about the statements Nikon made under the penalty of perjury. You can't claim the patent was invalid in official court documents, and then go around and try to sue a company. The defendant will use your lawyers words against you, and now your open to the legal ramifications of a bad faith argument including sanctions and possible defamation. Nikon acquiring RED was enough to not make them the underdog. Nikon acquiring RED gave them access to some pretty large sets in Hollywood.

[@CO8848_2]

Well Nikon is buying the patent when it is buying the company. Why pay twice? LOL.