Kodak engineer named Steven Sasson invented the first digital camera in 1975 while working at Kodak. The camera was a primitive device by today's standards, capturing black-and-white images at a resolution of 0.01 megapixels and storing them on a cassette tape.
However, Kodak was heavily invested in the film business at the time, which was its primary source of revenue. Company leaders feared that digital technology would disrupt their profitable film sales. As a result, Kodak did not pursue the development of digital cameras aggressively and instead focused on protecting its film business.
This strategic hesitation allowed other companies like Sony, Canon, and Nikon to dominate the digital camera market when it eventually took off. Kodak later tried to catch up but struggled, eventually filing for bankruptcy in 2012. This story is often cited as a classic example of the "innovator's dilemma"—when companies are unwilling to embrace new technology that might disrupt their core business. Corporate culture resistant to change and the silencing of innovators ultimately led the company to bankruptcy. Resistance to change often starts at the management level, making it a latent problem that can undermine an entire organization's ability to adapt and survive.
Image Source: Cargocollective.com
