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That Sky Falling Again (3/28/98)
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Bad news for graphics giant Adobe, who reported their first quarter financial results and revealed a fairly massive 43% drop in profits. And though it's still a profit instead of a loss, some people are taking the news to be a foreshadowing of things to come, as well as an indication that the Mac continues to struggle as a platform. Among the reasons given for the decline was a "dip in Mac revenue," according to a MacWEEK article.
Okay, so income from Mac sales dropped 36%, while Windows revenues were up 18%. Personally, we at AtAT don't see what all the fuss is about. To us, it reflects that more Windows boxes are being used for graphics work, while the graphics Macs out there already have all the Adobe software they need installed and running. That doesn't necessarily translate into a decline in Mac use in the industry. Heck, Adobe's CEO John Warnock himself admits that the drop in Mac revenue was to be expected, since Adobe made no major product releases this past quarter, so there was nothing for the installed base of users to buy. (That makes us wonder about how long Adobe can continue by releasing upgrade after upgrade, and how long customers will keep paying for those upgrades, but that's a whole 'nother story.) Things should pick up again as Adobe releases Premiere 5.0, Photoshop 5.0, and whatever this thing is that they're working on to replace Pagemaker.
Off the topic, but we were just wondering; is it just us, or does anyone else out there think of "the little car that's made out of clay" every time you hear the company name "Adobe?"
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And Now For A Word From Our Sponsors |
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 | | The above scene was taken from the 3/28/98 episode: March 28, 1998: Microsoft may soon find itself waging a two-front war against the U.S. government. Meanwhile, Adobe reveals a substantial profit drop, blamed primarily on reduced Mac sales, and Rhapsody and Apple are alive and well and ready to change the world again...
Other scenes from that episode: 575: Two-Front War (3/28/98) As many of you may have already read elsewhere, The Justice Department's not the only faction of the federal government that's breathing down Microsoft's back. In addition to the ongoing Redmond Justice drama, it appears that the software giant's also going to have to continue to contend with Orrin Hatch and his Senate Judiciary Committee, who, after its original hearing on competition in the software industry earlier this month, appears unsatisfied that all is as it should be... 577: The New Old Apple (3/28/98) Everyone who still lends any credence to the rumors that "Rhapsody is dead" should definitely take a look at these notes from a recent Bay Area NeXT Group meeting. Apple reps apparently managed to turn what was supposed to be a demonstration of Java integration into Rhapsody into a feel-good love-in that left everyone confident and upbeat about the future of both Apple and Rhapsody...
Or view the entire episode as originally broadcast... | |  |
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