Archive for June, 2011

Premiere Market Share

If you find yourself in a competitive situation with Fianl Cut Pro, these facts and figures will be of use.

Adobe Premiere Pro beat Final Cut Pro to 64-bit on the Mac platform by more than a year, introducing the breakthrough Mercury Engine and much more.  Here’s how the market has reacted… Summary of the numbers we are sharing with the public:

  • Adobe’s Professional Video Business grew 22% year-over-year (compared to Apple’s stated 15 percent growth in Pro Video) – the video industry on the whole grew on average of 7% year over year.
  • 30% growth of actual unit volume. (seats of software)
  • 44% revenue growth on the Mac Platform in the past year.
  • 45% growth on Mac unit volume

Premiere Pro

  • Growth Premiere Pro of over 1.5 million seats to 2.3 million in 2010 (compared to Apple’s stated ”just over 2 million”)
  • This does not include legacy seats and is not based on upgrades.
  • Its completely new software seats of Premiere Pro.

It’s worth watching Jim Guerard’s video about the vision for pro video here:

 http://tv.adobe.com/watch/industry-trends/adobes-vision-for-professional-video/

Adobe Reports Strong Financial Results

SAN JOSE, Calif. — June 21, 2011 — Adobe Systems Incorporated (Nasdaq:ADBE) today reported financial results for its second quarter fiscal year 2011 ended June 3, 2011.

Second Quarter Financial Highlights
• Revenue grew 9 percent year-over-year to $1.023 billion.  The Company’s targeted revenue range was $970 million to $1.020 billion.

• GAAP diluted earnings per share grew 61 percent year-over-year to $0.45.  Non-GAAP diluted earnings per share grew 25 percent year-over-year to $0.55.

• GAAP operating income grew 22 percent year-over-year to $276.7 million.  GAAP operating margin was 27.0 percent, compared to 24.1 percent in Q2 fiscal 2010.  Non-GAAP operating income grew 13 percent year-over-year to $376.4 million.  Non-GAAP operating margin was 36.8 percent, compared to 35.5 percent in Q2 fiscal 2010.

• GAAP net income grew 54 percent year-over-year to $229.4 million.  Non-GAAP net income grew 20 percent to $279.9 million.

• Deferred revenue grew to $482.0 million, compared to $443.4 million as of the end of Q1 fiscal 2011.

• Cash flow from operations was $389.3 million.

• Adobe repurchased 13.7 million shares of stock during the quarter.

A reconciliation between GAAP and non-GAAP results is provided at the end of this press release.

Executive Quotes
“Our strong Q2 performance demonstrates our strategy of enabling users to make, manage and measure great digital experiences is resonating with our customers,” said Shantanu Narayen, president and CEO of Adobe.

“Given our execution in Q2 against our large growth opportunities, we are reaffirming our 10 percent revenue growth objective in fiscal year 2011,” said Mark Garrett, executive vice president and CFO of Adobe.

Second Quarter Fiscal 2011 Product Highlights
• In Content Authoring, Creative Suite 5.5 shipped during Q2, maintaining the strong revenue run-rate that Creative Suite 5 had established in the previous four quarters.

• In Digital Marketing Optimization, Omniture achieved record revenue, along with year-over-year bookings growth in excess of 20 percent.

• In Customer Experience Management, Enterprise segment revenue grew 34 percent year-over-year.

• Acrobat achieved 17 percent year-over-year growth.

Financial Outlook
For the third quarter of fiscal 2011, Adobe is targeting revenue of $1 billion to $1.050 billion.

The Company’s operating margin is targeted to be 24.5 percent to 27.5 percent on a GAAP basis, and 34 percent to 36 percent on a non-GAAP basis.  In addition, the Company is targeting its share count to be between 501 million and 503 million shares, and it is targeting non-operating expense between $17 million and $21 million.  Adobe’s GAAP and non-GAAP tax rates are expected to be approximately 22 percent.

These targets lead to a third quarter diluted earnings per share target range of $0.35 to $0.42 on a GAAP basis, and an earnings per share target range of $0.50 to $0.56 on a non-GAAP basis.

Adobe also reaffirmed it is targeting approximately 10 percent revenue growth in fiscal year 2011, and expects its full year operating margin to be approximately 27.5 percent on a GAAP basis, and approximately 37 percent on a non-GAAP basis.

Free Schools and Technology Colleges

Government policy continues to develop. Today’s article in the Telegraph talks about the rush towards Free Schools with a huge rise in applications. Support for Free School applications are managed by Partnership for Schools (formerly responsible for BSF), but whether they have the capacity to cope with so many applications is another question. The full article and associated commentary can be found via the following link:

http://www.telegraph.co.uk/education/educationnews/8585134/Hundreds-of-groups-bidding-to-run-free-schools-says-Gove.html

Hundreds of groups bidding to run ‘free schools’, says Gove

More than 100 schools run by parents, teachers and charities will open in little over a year in a boost to the Coalition’s Big Society programme, ministers will say today.

Some 281 applications have been made in the last three months to establish a new wave of “free schools” – Government-funded institutions run independent of local council control.

New figures show almost six-in-10 bids to open new-style schools have been made by local community groups. Around a fifth come from independent schools seeking to open satellite campuses for parents unable to pay for a private education, it is revealed.

In most cases, applicants are attempting to establish new schools because of a shortage of places in the local area or to “address historic academic failure”, the Government said.

Michael Gove, the Education Secretary, will use a speech today to insist that his free school policy is on-track to meet initial targets.

This comes despite repeated claims from critics that the Government’s Big Society programme – reforms designed to devolve power to communities – has flopped.

Last month, Labour said the reforms were “descending into farce” after Lord Wei, the peer placed in charge of the policy, announced plans to stand down.

It has been attacked for being too “woolly” and being established as a front for public spending cuts.

But addressing a conference in central London today, Mr Gove will point to “extremely promising” recent free school applications as evidence that the reforms are working.

“Our critics said it was impossible to open a school in little more than a year. Several will open this September,” he said ahead of the speech.

“The rationing of good schools must end. Our reforms are about creating a generation of world-class schools, free from meddling and prescription, that provide more children with the type of education previously reserved for the rich.”

Under the policy, any non-profit making group can apply to open their own school free of local council interference. They are given almost complete independence to hire staff, set teachers’ pay, alter the academic year and write the curriculum.

Some 323 applications were made to open schools last year but some 90 per cent were rejected because of weak business cases. Just 40 were improved, with about 14 opening this September.

The application process was toughened up this year, requiring backers to provide in-depth financial plans before being considered.

According to figures, 281 applications have been made under the new regime since March and it is estimated that around 100 of these will open in September 2012.

Of those applications, most are for mainstream schools, although small numbers of bidders are seeking to open institutions for pupils with special needs or those expelled from ordinary primaries and secondaries.

Some 56 per cent of applications are from local groups, figures show, while 18 per cent are from independent schools.

Meanwhile, the Government has also said that 37 applications have been made top open new-style technical schools that pupils will attend to learn a trade.

Children will transfer to University Technical Colleges from the age of 14 to take practical courses, supplemented with mainstream GCSEs in English and maths.

Announcement: Mobile Applications for Android, Blackberry, iPhone and iPAD

Adobe Enables Developers to Build Mobile Apps for Android Devices, BlackBerry PlayBook, iPhone and iPad

Flash Builder 4.5 and Flex 4.5 Update Available Today

June 20, 2011 12:04 AM Eastern Daylight Time 

SAN JOSE, Calif.–(EON: Enhanced Online News)–Adobe Systems Incorporated (Nasdaq:ADBE) today delivered an update to Adobe® Flash® Builder® 4.5 and Flex 4.5 software to enable developers to build applications for iPhone, iPad and BlackBerry PlayBook. Support for Android devices was released in April 2011. Developers now have a single platform for building highly expressive mobile applications that can be distributed via the Android Market, Apple App Store and BlackBerry App World. Offered standalone or as part of Creative Suite® 5.5 Web Premium and Master Collection, Flash Builder 4.5 enables the creation of applications that work seamlessly across leading mobile device platforms.

“They are amazed by how easy it is to create great mobile apps for Android devices, BlackBerry PlayBook, iPhone and iPad. Companies can now effectively reach their customers no matter what type of device they have.”

“The reaction from developers to the new mobile capabilities in Flash Builder 4.5 and the Flex 4.5 framework has been absolutely fantastic,” said Ed Rowe, vice president of developer tooling, Adobe. “They are amazed by how easy it is to create great mobile apps for Android devices, BlackBerry PlayBook, iPhone and iPad. Companies can now effectively reach their customers no matter what type of device they have.”

Today’s release accompanies the announcement of the Adobe Digital Enterprise Platform (see separate release). With consumers increasingly engaging with more content on smartphones and tablets, large enterprises are required to add mobile applications as a core part of their marketing strategy. Simultaneously, IT organizations are looking to build business process, CRM and other employee productivity applications to support the broad range of devices and platforms in use today. Using Flash Builder and Flex, enterprises can now use one tool, one framework and one codebase to create high performance applications that run on desktops as well as on smartphones and tablets.

Flex 4.5 also includes significant productivity enhancements that allow developers to rapidly build applications for the desktop, Web and top mobile platforms. Using best practice code templates, code completion and code generation features in Flash Builder 4.5, developers can accelerate the creation of Flex and ActionScript® applications and deploy them using Adobe AIR® software, Adobe’s runtime for standalone applications. This allows developers an opportunity to reach more than 80 million Android devices, BlackBerry PlayBooks, iPads and iPhones in the marketplace today. By the end of the year more than 200 million mobile devices are expected to support AIR applications.

Mobile Apps in Action

Many applications built with Flash Builder and Flex have already been published to the Android Market, Apple App Store, and BlackBerry App World. Following are a sample of those created for Android, BlackBerry Tablet OS and iOS using Flash Builder 4.5 and Flex 4.5, leveraging existing code and logic to quickly deploy to leading mobile platforms.

  • Conqu is an easy to use yet powerful task management tool designed to help conquer an email inbox and get things done.
  • Mr. Mixit is a spin-based matching game where users must frantically mix record labels against the clock.
  • Muni Tracker tracks San Francisco Muni locations and arrival time predictions on a map updating live every ten seconds. Favorite transit stops and lines can also be bookmarked for easy access later.
  • Netflix Queue Manager lets users browse, search and manage their Netflix Queue on the go. New features include viewing queues, updating queues, and adding/removing/viewing movies.
  • PolitiFact Mobile App helps you “find the truth in politics,” with features including the Truth Index, Truth-O-Meter and Flip-O-Meter. PolitiFact.com is the fact-checking website of the St. Petersburg Times and received a Pulitzer Prize in 2009.
  • Pyramix is an easy to learn, highly addictive word game that combines the strategy of Cryptoquote with the simplicity of Boggle.

Developer Reaction to Flash Builder 4.5 and the Flex 4.5 Framework

Nahuel Foronda, owner and president, AsFusion

  • “We saved a significant amount of development time using Flash Builder 4.5. We used 100 percent of Conqu’s initial codebase and logic to quickly deploy to several mobile platforms, including Android, BlackBerry PlayBook, iPhone, iPad and the Barnes & Noble Nook Color.”

Sean Carey, president, HD Interactive

  • “Flash Builder 4.5 allowed us to develop our Mr. Mixit and Pyramix apps and use the same code base to quickly and easily deploy them to multiple platforms. To create an app natively for one platform would have taken at least three times the amount of time—and then we would have had to start from scratch all over again for a native app on the next platform. It’s unbelievable the amount of time we save using Flash Builder 4.5 to build and deploy our apps.”

Bill Adair, editor, Politifact.com

  • “PolitiFact’s fact-checking journalism is ideal for a mobile app because it’s backed by solid reporting and presented in a concise, creative way. You don’t have to be a policy wonk to understand the Truth-O-Meter. The app allows us to present our journalism in lively new ways.”

Jonathan Campos, founder, UnitedMindset

  • “The new mobile application development capabilities in Adobe Flash Builder 4.5 allowed me to create Netflix Queue Manager quickly, and debug the application across a variety of configurations. I can now create, develop, and test mobile and multi-screen apps in one place, ultimately bringing our apps to market faster on multiple devices.”

Helpful Links

Pricing and Availability

To download or trial Flash Builder 4.5, please go to www.adobe.com/products/flash-builder.html. Street price is US$249 for Flash Builder 4.5 Standard, US$699 for Flash Builder 4.5 Premium. Flash Builder 4.5 Premium is also available as part of the Adobe Creative Suite 5.5 Web Premium and Master Collection. Upgrade pricing for Flash Builder 4.5 is $49 and volume licensing is available. Flex 4.5 is available as a free open source framework. Also, Flash Builder 4.5 for PHP today supports mobile application development for Android, BlackBerry Tablet OS and iOS.

Announcement: Digital Enterprise Platform

New Solutions Empower Marketing and IT to Transform Multi-Channel Customer Experiences

June 20, 2011 12:04 AM Eastern Daylight Time 

SAN JOSE, Calif.–(EON: Enhanced Online News)–Adobe Systems Incorporated (Nasdaq:ADBE) today announced its new Adobe Digital Enterprise Platform for Customer Experience Management (CEM). The platform enables enterprises to build immersive, multi-channel digital interactions for today’s social and mobile customers. A significant milestone in the delivery of its CEM vision, the new offering by Adobe gives enterprises the ability to bring together marketing and IT to deliver engaging, authentic solutions that increase brand loyalty and bolster competitive differentiation.

Additionally, Adobe is delivering a new set of Customer Experience Solutions, built on the Adobe Digital Enterprise Platform, to help marketers and line of business executives drive personalized, targeted connections and campaigns both online and offline. For IT organizations, the platform helps to optimize customer interactions across all lines of business. With this comprehensive offering for both marketing and IT, enterprises can now drive transformation of customer experiences for acquisition, retention, and brand advocacy.

Powering Customer Experiences with a Unified Platform

Adobe’s new offering is a modular, open, standards-based platform for delivering engaging digital solutions across social, Web, mobile, and print channels. It provides enterprises a unified foundation to make, manage and deliver multi-channel digital experiences leveraging HTML5, Adobe® AIR®, Flash® Player, and Adobe Reader®. Additionally, it includes integration with the Adobe Online Marketing Suite to optimize digital marketing campaigns and personalized digital experiences across all marketing, sales and service delivery channels.

Also released today, mobile application development gets a boost through integration with Adobe Flash Builder® and Flex. Integrated with the Adobe Digital Enterprise Platform, Flash Builder 4.5 and Flex 4.5 now include new support for building mobile applications for Android devices, BlackBerry PlayBook, iPhone and iPad (see separate press release). With smartphones and tablets proliferating in the enterprise, IT organizations are looking for a way to more efficiently build, deliver and support applications across a broad range of devices and platforms. Using Flash Builder and Flex, enterprises can now use one tool, one framework and one codebase to create high-performance applications that run on the Web, desktops and top mobile platforms.

Driving Customer Engagement Throughout the Customer Lifecycle

Built on the Adobe Digital Enterprise Platform, Adobe’s new Customer Experience Solutions power new customer-centric experiences out-of-the-box:

  • Integrated Content Review – Speeds time-to-market for new marketing campaigns and customer experiences. Improves workflow and processes required to create, review, store and rapidly adapt digital content through different target segments across the entire customer journey.
  • Web Experience Management – Attracts new customers by providing business and marketing professionals with a solution for creating, managing and publishing rich content across Web, social, mobile and email.
  • Customer Communications – Improves customer loyalty by centralizing and managing the creation, assembly and multi-channel delivery of secure, personalized, interactive correspondence and statements. The solution allows enterprises to generate new revenue sources, reduce costs, improve customer loyalty and meet compliance regulations.
  • Social Brand Engagement – Enables enterprises to engage with new and existing customers to create community, driving brand loyalty and commitment on enterprise-owned digital properties in addition to public social media sites.
  • Selection and Enrollment – Reduces online abandonment and time-to-market with effective product enrollment experiences and empowers business users to quickly set up and launch online enrollment experiences.
  • Unified Workspace – Empowers customer-facing agents to provide superior service by getting fast access to critical information, enabling them to resolve inquiries and cases with accuracy and efficiency.

The Digital Enterprise Platform and Customer Experience Solutions will be highlighted at the first Adobe Digital Enterprise Summit, taking place October 3-4 at the JW Marriott Los Angeles L.A. LIVE in Los Angeles. The Digital Enterprise Summit will feature industry thought leaders, Adobe experts and solution partners demonstrating the future of optimizing customer experiences across all digital channels. To learn more, visit the Adobe Digital Enterprise Summit page.

Quotes

Rob Tarkoff, senior vice president and general manager, Digital Enterprise Solutions, Adobe

  • “The ability to deliver superior customer experiences has become the imperative in achieving competitive advantage. The Adobe Digital Enterprise Platform provides a complete foundation for enterprises to truly engage with customers at every point of interaction, through solutions that are easier to use, more effective and productive, and more apt to delight the customer and promote brand loyalty.”

Kevin Zollinger, director of business integration, Nu Skin

  • “With the Adobe Web Experience Management solution, Nu Skin can optimize the customer experience across channels, including mobile and social media. Our business managers can create more relevant, timely online conversations with customers, while our IT team can stay focused on strategic activities. Additionally, the new capabilities in the Adobe Digital Enterprise Platform will help organizations such as ours take insights captured about customer behaviors on websites and use them to update content accordingly. This will help give customers access to the exact information they want, when and how they want it.”

Karl J. Uphoff, chief information officer, Global Consumer Lines, Chartis

  • “When Chartis’ Private Client Group looked for new ways to expand and improve our relationship with customers, we collaborated with Adobe to produce an intuitive document-centric interface that utilizes Adobe’s Customer Experience Management solution capabilities. The result is a policy document electronic delivery platform, which advances our direct marketing efforts and enables customer self-service.”

Melissa Webster, program vice president, Content & Digital Media Technologies, IDC

  • “Today’s leading organizations know that to stay at the forefront of the digital enterprise transformation, they must establish meaningful and lasting connections with their customers. This is especially challenging given the multiple channels through which customers now interact with businesses. What’s needed is a platform that provides businesses with a range of solutions designed to help them engage with their customers when, where and how the customers want, and lets them deliver an experience that keeps the customer coming back.”

Chris Davey, senior vice president, managing director and global head, Customer Engagement Platforms and Innovation, SapientNitro

  • “Customer Experience Management empowers CMOs to transform brand marketing to enable stronger, more meaningful customer engagement across new digital, interactive channels. Together, SapientNitro and Adobe help our customers deliver personalized experiences across all touch-points that attract, engage, and convert targeted audiences. Using the Adobe Digital Enterprise Platform, SapientNitro is building solutions that dramatically improve how businesses manage customer experiences across multiple platforms in a unified context that drives tangible business results.”

Helpful Links

Availability

The Adobe Digital Enterprise Platform, Integrated Content Review solution, Web Experience Management solution and Customer Communications solution will be available August 2011. The Social Brand Engagement solution, Selection and Enrollment solution and Unified Workspace solution are available immediately in beta and will be generally available in fall 2011.

Licensing Downgrade Rights

This is one of the most frequently asked questions I get. Can I downgrade to a previous version and how do I do it? Here’s all you need to know.

Adobe Volume Licensing customers who wish to use a prior version of an Adobe software product may purchase software for the prior version via Electronic Software Delivery (ESD) from the Licensing Web Site (LWS) (http://licensing.adobe.com).

Prior Version Software and Backwards Licensing

Backwards Licensing

Backwards Licensing is an Adobe Volume Licensing policy that allows TLP & CLP Customers to purchase a current version license of an Adobe Software product but use a prior version, typically due to standardization of workflows or system limitations. Although Adobe allows for the use of a prior version through the purchase of a current license, obtaining the software media is not a component of the Backwards Licensing policy.

Prior Version ESD (PV-ESD)

For customers who wish to obtain software for a prior version due to backwards licensing or otherwise, Adobe will offer software for electronic download for one version back of all titles and languages that were originally made available via Electronic Software Delivery (ESD). Prior version ESD SKUs are available on the Adobe TLP and CLP price lists after a new version has been released. The price list will always contain the prior version ESD SKUs (if that product version was originally offered via ESD).

Orders for prior version software should be placed via Adobe Authorized Resellers, Distributors and Adobe License Centers (ALCs). Customers must purchase an equivalent number of current version licenses in order to receive Prior Version ESD.

Serial Numbers

Customers requiring a serial number for their prior version software should be instructed to contact Customer Service. In most instances, Serial numbers will be provided to customers and they will be reflected in LWS within 2-3 business days.

FAQs

Q. How do I place an order for a prior version? Adobe Systems Incorporated Prior Version Electronic Software Download Channel Version 3.0 Page 3 of 3

A. If the customer needs the software only, refer to the most current TLP or CLP price list and locate the appropriate ESD sku. The order should then be placed like any other typical order. If the customer also needs a current version license, place an order for the current version license in the applicable licensing program (TLP or CLP).

Q. Where do I find the prior version ESD SKUs to order?

A. On the regular Adobe TLP or CLP price lists. Prior Version ESD SKUs are just regular ESD SKUs for the prior version.

Q. Will the customer receive an LWS order confirmation that includes the Prior Version ESD order?

A. Yes, the customer will receive an order confirmation e-mail for their Prior Version ESD SKU just like they normally would for any other order.

Q. How many versions back can I order Prior Version ESD SKUs?

A. Prior Version ESD SKUs will be available for only one version back at any given point in time. For example, when Acrobat X Pro releases, Acrobat 9 Pro ESD will be available as the Prior Version and Acrobat 8 ESD skus will be removed from the price lists.

Q. If I have a problem with a PV ESD order, who should I contact?

A. PV-ESD orders will be placed just like any other order. Contact your Order Management representative for basic problems related to the order.

Q. My customer needs a serial number for the prior version software, who do they need to contact?

A. Customer Service.

Q. Will Prior Version ESD purchases be eligible for any Licensing Upgrade Entitlements?

A. No, Prior Version ESD orders will not be eligible for any Licensing Upgrade Entitlements because they are essentially media skus and not licenses.