Corporate Autopsy: Business Collapses Explained

Kodak: They Invented Digital Photography, Then Died From It

February 5, 2026 1888-2012 Rochester, New York George Eastman, Steve Sasson, Antonio Perez

What You'll Discover

  • How Steve Sasson invented digital photography at Kodak in 1975
  • Why Kodak executives deliberately buried their own invention
  • The $5.1 billion Sterling Drug disaster that distracted management
  • When digital camera sales surpassed film -- the exact crossover point
  • How smartphones delivered the final blow after 131 years

They controlled 90% of film sales and 85% of camera sales. A Kodak engineer built the world’s first digital camera. His bosses deliberately suppressed it to protect film profits.

The Detail That Changes Everything

Steve Sasson built the first digital camera at Kodak in 1975 and his bosses told him to keep it quiet

Historical Context

This story spans 1888-2012 and is centered in Rochester, New York. Understanding the broader historical context is essential to grasping why events unfolded as they did.

Key Figures

The central figures in this story include George Eastman, Steve Sasson, and Antonio Perez. Each played a distinct role in the events documented in this episode.

What This Documentary Covers

  • How Steve Sasson invented digital photography at Kodak in 1975
  • Why Kodak executives deliberately buried their own invention
  • The $5.1 billion Sterling Drug disaster that distracted management
  • When digital camera sales surpassed film – the exact crossover point
  • How smartphones delivered the final blow after 131 years

Themes Explored

This episode examines interconnected themes including digital disruption, innovation failure, incumbent blindness, photography, corporate inertia. These themes recur across multiple episodes in our documentary collection, revealing patterns that connect seemingly unrelated stories.

Watch the Full Documentary

This companion article provides context and background for the full documentary. For the complete story with narration, original music, and archival imagery, watch the episode above or on YouTube.

Arthur's Verdict

Kodak did not miss the digital revolution -- they invented it, then buried it to protect film profits.

Frequently Asked Questions

Kodak: They Invented Digital Photography, Then Died From It. Steve Sasson built the first digital camera at Kodak in 1975 and his bosses told him to keep it quiet
Kodak invented digital photography in 1975 -- then buried it. Here's the full story.
Key figures include George Eastman, Steve Sasson, Antonio Perez. Watch the full documentary for the complete story.
How Steve Sasson invented digital photography at Kodak in 1975
Why Kodak executives deliberately buried their own invention

Sources & Further Reading

As an Amazon Associate, Arthur Lee's Adventures earns from qualifying purchases at no extra cost to you.

Arthur's Pick

Free with Audible trial. The classic on why great companies fail at disruption.

The book that explains exactly why Kodak's failure was almost inevitable.

Five stages of corporate decline. You'll see the Kodak pattern in every chapter.

How Pixar embraced the digital revolution that Kodak couldn't.

Join the Discussion

Kodak's executives killed their own digital camera to protect film profits. But if they had embraced digital in 1975, they would have cannibalized their own cash cow. Was there actually any path where Kodak survives?

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