May Fantasy Merger of The Month: Red Camera

Each month, we take a look at a fantasy merger for Apple. Sometimes they're silly, sometimes they make perfect sense. This month, a lot of other people have decided to help Apple spend part of their $29 billion cash pile, suggesting Twitter (Apple's too smart for that) or Electronic Arts (why take on the risk?) as possible merger targets.

Well, for our May fantasy merger, we're looking at a small (relatively cheap) company that could bring some interesting rewards. RED. If you're not familiar, RED is in the business of creating insanely great professional motion picture camera solutions, at a fraction of the cost of solutions from large companies like Canon and Sony.

What's in it for Apple? What RED seems to lack is an interest, or capability to massively scale production. Apple could take the heart of the RED system, the Mysterium chip, and place in all kinds of fascinating new consumer devices. There might even be a place for HD video from the iPhone, in time. Additionally, Apple already works with RED to ensure a seamless workflow of RED's digital file format within Final Cut Pro.

The nonlinear editing space, and video equipment in general has been stale the last few years, with most of the focus on implementing video in digital still cameras. Apple could re-ignite innovation in the sector, and re-commit themselves to creative video and film professionals in the process. It would be a bargain, and might represent the sanest fantasy merger we've proposed yet.