InBox: Do you think that publishers want to manage their own work without outside intervention? If so, why? And how will tomorrow's market satisfy these ever-changing needs?
Seebass: Almost everyone in the industry wants to take a bigger and bigger piece of the whole picture. Printers are moving in to brand management. Advertising agencies are moving into prepress. Magazines are moving everything in-house. The reason is it's a slow-growth market, and by adding services and doing more parts of the finished piece, you can grow in slow-growth market. It's a continuing evolution, like printers taking prepress and bindery in-house. If you can make money on it, why not do it yourself rather than contract it out? You can capitalize it, do it yourself and offer a more complete service, which makes you more competitive, more flexible on price, and much more in control of the entire job. And doing your connectivity and your file transfer is the same thing: If you're completely in control of it, and you've already paid the fixed cost, you can price it appropriately to get new customers. One customer may pay nothing, another customer may pay a fee. But you're very flexible. If you're paying someone else for that service, you've lost that flexibility. You have a fixed cost for every transaction and you have to pass that on.
InBox: And how will Xinet evolve with the market?
Seebass: The way we've seen our products evolve is to also provide services across a wider range of markets. While we used to see our products mostly being used by commercial printers and service bureaus, now we see a lot more use in advertising agencies and publications. Publications want to bring their own work in-house without paying someone else. By doing the bulk of the work in-house and sending it straight to a printer without involving anyone else, they lower their costs and widen their editorial windows.