Adobe will tank due to cloud

Discussion in 'Stocks' started by Smokeybear, Apr 16, 2013.

  1. Adobe blew it on the pricing. The software giant has leveraged everything in to its Creative cloud. The pricing is beyond the needs of most people. At 50 per month home users and large companies pay the same amount for use. A large film and a starving student are only 40 per month apart. Adobe is pitching the cloud as having all 17 apps. While it could take a year or more to master just one app. As users see that they do not need 17 apps and that they are paying $600 or more per year they will cancel. Students can go open source. As well as home users. The small design firms and solo users may stick with owned copies and a few may chose the cloud. Most film Pros will not accept the cloud because it at the 30 day mark if the software crashes wjile in the middle of a film they are really screwed. Most high end pros test there system before starting a film and change nothing at all while woking on that project. many teams are not allowed to be online with projects for security reasons. People in areas with poor internet do not want to risk it,. The cloud is for far fewer users than Adobe is telling us the spike in insider trading is a good indication that they are aware that there stock is over priced.
     
  2. There are single app pricing $20 per month, and various pricing for students and corporations. So there goes your whole argument.
     
  3. I am not arguing this is how i see it. If students have to pay a monthlry fee for the cloud classes will change. Until it is free to schools. If wall street sees growth it can hang in there with the current PE and Debt. I belive that trial memberships on hard to master software will not lead to 1 or more million subscribers. if Adobe can keep 500k it may hover for a year or two. if jobs go south the stock should dive because this is a luxury. Do you really think there are 123 mill high end paid designers willing to part with 60 bucks a month. :eek:
     
  4. Are you short by chance?

    Not bad for a 1st post shorty.


     
  5. maxpi

    maxpi

    LOL... you can point us to some open source stuff that works?