Nikon Corporation has announced its entry into an agreement to acquire 100% of the outstanding membership interests of RED.com, LLC (RED), a leading manufacturer of digital cinema cameras. The acquisition, which is subject to the satisfaction of certain closing conditions, will see RED become a wholly-owned subsidiary of Nikon.
Founded in 2005 by Jim Jannard, who also founded Oakley, RED has been at the forefront of digital cinema camera technology, introducing industry-defining products such as the RED One 4K and the cutting-edge V-Raptor X. The company's cameras have been used to film numerous major productions, including Marvel films like Guardians of the Galaxy Vol. 3 and Captain Marvel, nature documentaries like Planet Earth II, and TV shows like Squid Game, Mindhunter, Peaky Blinders, and The Queen's Gambit.
The acquisition marks a significant milestone for Nikon, as the company seeks to expand into the fast-growing professional digital cinema camera market. By combining Nikon's expertise in product development, reliability, image processing, and optical technology with RED's knowledge in cinema cameras, including unique image compression technology and color science, the two companies aim to develop distinctive products that will push the boundaries of what is possible in film and video production.
"This agreement was reached as a result of the mutual desires of Nikon and RED to meet the customers' needs and offer exceptional user experiences that exceed expectations, merging the strengths of both companies," Nikon stated in its press release.
RED president Jarred Land announced the news on Instagram with an image followed by "Heh heh heh..." In a press release posted to his Facebook page, Land elaborated on the significance of the acquisition, stating, "This acquisition marks a significant milestone for Nikon, melding its rich heritage in professional and consumer imaging with RED's innovative prowess. Together, Nikon and RED are poised to redefine the professional digital cinema camera market, promising an exciting future of product development that will continue to push the boundaries of what is possible in film and video production."
The acquisition comes less than a year after RED's lawsuit against Nikon for infringing on its video compression patents was dismissed. In 2022, RED sued Nikon for allegedly copying its data compression tech in a firmware update for Nikon's Z9 camera. Nikon responded by challenging the legitimacy of RED's patents, and the case was dismissed last April.
Despite the legal battle, the two companies have now come together, recognizing the potential for innovation and growth in the digital cinema camera market. With RED's 220 employees and its headquarters in Foothill Ranch, California, Nikon gains access to a wealth of expertise and resources that will help the company establish a strong presence in the professional video market.
The acquisition has generated excitement and speculation within the industry, as professionals and enthusiasts alike ponder the potential outcomes of this unexpected partnership. Some have expressed concerns about the future of RED's unique identity and approach to camera design, while others see the acquisition as an opportunity for both companies to leverage their strengths and create groundbreaking products.
As the story continues to evolve, the photography and videography communities will be closely watching to see how Nikon and RED navigate this new chapter in their respective histories. With the combined resources and expertise of both companies, the future of digital cinema cameras looks brighter than ever, and the industry eagerly awaits the innovative products that will emerge from this surprising collaboration.
