Open source software is often contending in a market that is dominated by large corporations. Be it Microsoft when it comes to operating systems and web browsers, or Google when it comes to search engines. The same situation is true in completely different markets as well. Innovation can be a a way to overturn such a market division, and recently, two companies have tried to break open the interchangeable lens digital camera market. I'm talking about Olympus and Panasonic who launched the Micro FourThirds system in 2008.

So what exactly is Micro Four Thirds? It's a new type of camera system that no longer has a mirror-assembly like traditional DSLR's. This allows the cameras and lenses to become much smaller, while retaining the better image quality of DSLR's. So in a way, the move by Olympus and Panasonic has changed the game. Where DSLR's were getting bulkier, they made a move for a smaller system, that would be more attractive to the general public.

To understand this move, it's important to realise that Canon and Nikon have for many years dominated the market for digital SLR's. Together, they hold around 80% of market share, while others (Olympus, Pentax, Sigma, Fujifilm, Sony, Samsung, Leica and Panasonic) fight for the rest. The stranglehold of Canon and Nikon prevented the other manufacturers of making a decent income in this segment. With Micro FourThirds Olympus and Panasonic were hoping to create a new playing field in which they could obtain a competitive advantage, allowing them to grab a larger share of the total interchangeable lens camera market.

Changing the game is a risky strategy: it creates winners and losers and could well backfire. Judging on sales so far Panasonic and Olympus have been quite successful in this respect. At the very least, they've attracted a lot of attention in the photography communities.

Whichever way you look at it, the others have to react. Samsung has launched it's own comparable system and now Sony has announced it's opening bid as well. The competition from these companies is very interesting, but they are still some of the smaller players in this field.

Nikon and Canon can afford to wait a bit, because when they make a move, everybody will be watching. Even now, there are people passing on the Micro Four Thirds cameras in the expectation that Canon and Nikon will make something (and there's no official announcement in that direction at all!). On top of that, they have their sales channels with photographic stores well in order to push whatever new camera they produce.

So what will happen in 3 years' time? Will the overall market still be decided in more or less the same way: Canon and Nikon control around 70-80% of the interchangeable lens camera market, while the others scramble for the rest? Or will there be a completely new market? It is, of course, hard to predict. Together, Olympus and Panasonic do now seem to have around 10-15% of the market, but that could drop as others follow their example. And in the meanwhile many people still buy the Canon and Nikon products. Many consumers are very conservative in that respect.

So what can we learn from this example? It shows that having a good and innovative product may not be enough to eventually break open a market. One needs to have the proper sales channels, marketing and promotion and the right reputation. Every innovator needs to learn how to be a good marketeer as well. Or at the very least team up with one.