Pretty much correct:
Here's a comment I made a while back about this same situation:
If I recall correctly it had more to do with some arbitrary and insane insistence on 'Consumer Imaging' being the business focus, which is why you got cheap consumer cameras (easy share), printer docs (with attempts to cash in on printer paper consumables), but little pro-sumer stuff, and the occasional/rare super high-end imagers/gear (like those used in telescopes, etc).
This is also why they sold off/spun off their profitable medical imaging groups, chemicals group, and they've tried to get rid of their profitable Document Imaging group (high-end, high-speed document scanners) several times. They've been constantly trying to push themselves into the most difficult and price-competitive market possible, cheapo consumer cameras. I think the ultimate goal was to maintain some kind of grasp of the photo printing business as their cash cow with consumable manufacturing/selling. To be fair, they still do a good job printing pictures, but people don't really want/need to do that anymore with rare exceptions. And people that still do prints do it in-house or have local labs that do the work.
Kodak's management has always been married to consumables and services as encapsulated by the mantra "You push the button, we do the rest." It's like some creepy love affair with George Eastman. Most of the outright wrong directions Kodak has taken can be traced back to trying to that philosophy. Being from the Rochester area made Kodak's fall a bit sad to watch, but it was still very predictable.
To those people saying Kodak wasn't a camera company; Kodak made the first and best professional digital cameras, as well as medium/large format digital camera backs and other digital sensors. It was management decisions not to aggressively pursue that tech in the consumer space with gear that didn't treat the consumer like a moron. Not to mention all the custom designed software/drivers using non-standard GUI interfaces which were expensive to build from scratch and horrendous to use. Every Kodak made product or service was focused on consumables and draining the customer of as much cash as possible and not about providing as much value as possible.
Incidentally Eastman Chemical (spun off several years ago) seems to be doing just fine.