The P&S camera market is dead.

It's a bit disingenuous since smartphones essentially created their own market.  If the industry was hoping to somehow "graduate" phone users to completely different, expensive devices that take only marginally better photos and that are harder to interface with the likes of email, Facebook and other web applications ... they were smoking something.  I think the core market for better-than-phone quality point & shoots is still there (vacationers, young families, grandparents, etc), it's just not growing the same way the smartphone market is growing.

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Mike