Proprietary products dot the technological scene that we live in. It is those products that can only work in a specific device. countless people use the products and never think why this disc only works with this media player, or why this program works with only this brand of computer? This article will delve into the advantages many companies have with the use of proprietary products..

Proprietary is defined as a product, object or idea exclusively owned by someone. It is usually covered by a patent, which makes it exclusive and cannot be used by outside parties without discussion or permissions for its use. A better description is it is privately owned and cannot be duplicated.

The main advantage companies get by using proprietary formats is quality control. Many companies are able to control their products if they are the ones responsible for making it. This is extremely important if a company has associated itself with good quality. Releasing control of their products means a company that does not pride itself on quality could end up making an inferior product. Case in point is the Memory Stick Duo produced by Sony. Sony chooses which companies are allowed to create these cards, and they more than likely have strict control practices. Sony also has become associated with quality, so their goods will be held to the highest of standards, especially if they are the ones controlling it.

One important advantage for companies who create proprietary products for exclusive use in their accompanying device is the large revenue base it creates. Olympus as the leader in digital cameras is the perfect example of a company who benefits tremendously from the revenue generated by proprietary products. They have a hand in almost every section of the popular digital camera market. This is a very big advantage to keep profits within the company by having their devices work with only their products. Benefits of proprietary products are also seen in the revenue aspect of business. If a company owns the exclusive right to something, then they have the advantage of receiving all the sales for that specific product. Camera manufacturers such as Fuji have struck gold with the creation of their xD Picture Card. With thousands of digital cameras sold daily and added way to earn more revenue is allowing those same cameras to only work with the xD picture card. This guarantees a solid stream of income for those same camera manufacturers.

The advantages of proprietary products are two fold for manufacturers. The benefits of revenue and quality control are something that the use of proprietary products offer. With control over quality, manufactures that they are getting the best product possible. With the control and development of products that use proprietary goods it opens up an unrestricted revenue base. One that can change the financial fortunes of companies.