It's clear that many people still use Flip Cams and will be disappointed at their choice of technology being rendered obsolete. Thus, it's difficult to say whether or not Cisco made the right decision without looking at the numbers. However, it's likely that a company of their size didn't see a favorable opportunity cost between the effort it would take to keep the Flip Cam up-to-date and the revenue generated. It's difficult to keep up with the Joneses when you live next to Steve Jobs.
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