Monday, Apr 23, 2012
Dubai Adobe Systems Inc. is making its first big foray into subscription-based software, testing a business model that’s designed to attract new users and stabilise revenue growth after years of uneven results.
The company today will unveil the latest edition of Creative Suite, its flagship set of design applications, including Photoshop, Dreamweaver and Illustrator, at 11am UAE time. One version of the software, Creative Cloud, will be delivered on the internet for $50 (Dh183.60) a month, or $600 for a one-year contract.
By moving to subscriptions, Adobe is trying to make sales growth more predictable, avoiding the revenue shortfalls and stock declines that occur between updates to Creative Suite. The shift also carries risks. It will take Adobe more than four years to collect from cloud customers as much as it generates from a single sale of the desktop version of the top-end Master Collection, which costs $2,600.
By Naushad K. Cherrayil?Staff Reporter
Gulf News 2012. All rights reserved.
