Is the person you mention making digital negatives for AZO working with inkjet negatives or is he having them printed with an imagesetter by a service bureau? If they are being made with an inkhet printer I would love to hear what you think of the image quality, both in terms of tonal quality and apparent sharpness
I have been making digital inkjet negatives for almost two years with Epson 2000P for printing in carbon, kallitype and palladium. With kallitype and carbon I see no difference in image quality between my in-camera negatives and the digital ones, since the texture of the art and drawing papers we use with these processes is the limiting factor in final print resolution. However, with carbon printing, when I put the final image on smooth surface papers. I believe there is some slight loss of final image quality with the digital negatives compared to in-camera ones.