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Alias Born 04/14/2013

Sunday, April 14, 2013 2:59:24 PM

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Its time to sell Adobe.

The plan to get everyone on the creative cloud is failing. Adobe is saying that subscribers are up they are only up at the promotion price. Even at that price many are leaving the cloud. At 50 or 60 a month most will leave. Those who will stay are die hard power users that need both the Video and Web tools. That is not a growing number it is fixed. Adobe has pitched this as if everyone is going to all of the sudden pay 50 a month. Only professional designers will pay. Second they want 20 or 30 a moth for students that is beyond what students are willing to pay. Adobe should give it too schools.. If you look at the PE of 31 and that Q1 is down to .13 from .39 year over year. Well it does not take a much to see that this is not a growth story. The cloud is created out of panic because Adobe Finds itself unable to lure new users into its high priced products. So it offers a lease model that is twice the price of owning. I say get out while you can the party is over!
Disclosure I am a film producer who uses Adobe products as well as Apple and others. I attend the trade shows, as a consumer and advisor.
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