Good piece of work.
While I agree with the conclusion that digital will hacve little impact on demand for silver, I do think the analysis need a little (understatement) refinement to better represent the argument:
Take the sumary conclusions:
1. yes, Co-existence and not replacement but please use a better example the nail gun and hammer (eg expert intensive user vs occasional user). Digital is easy to use, gives immediate satisfaction (eg one can se pictures) etc, etc
6. Costs: Ask yourself, if you get your developed pictures (say family shots) back, how many do you really love and want to time and time again? Our experience is very few. My experience is that one can save a lot of money by just having their favourite digital pictures printed (home or via on-line service).
7. Nonsense: cost of digital photography will collapse.
Digital is easy to use and one should expect explosive growth as technology improves (don't forget only best digital camera's just match APX quality!) and PC/internet usage growths (broadband penatration is only starting and one should expect home PC usage to grow explosively - assumption). Did you hear that LG Philips and Samsung will be investing a combined $20+ bn in LCD technology. In addition to posters/pictures, soon people will have their photo's on the wall!!
Actually, I am already enjoying my digital pictuires better as they serve as screen saver on my trading station (with 4 flat panels).
Now, will that all have an impact on demand for silver. Of course not!
I enjoyed reading your site. Hope he keeps up the the good work.
