Thursday, May 16, 2013

Adobe Goes All-In on Subscription Pricing Model

Adobe-creativecloud_logoCmac By Christina Warren2013-05-06 17:52:35 UTC

Adobe's flagship product, Creative Suite, has new name and a host of new and updated features now that it's evolved into Adobe Creative Cloud. But the biggest change in the software is how Adobe will be selling it: It's going to be subscription only.

That means that users won't be able to buy Photoshop CC or other apps individually from Adobe for a flat rate (known in the industry as perpetual licensing). Instead, users can pay a monthly subscription to access all of Adobe's products.

Adobe introduced its Creative Cloud subscription service last year with Creative Suite 6. Users could pay $29.99 to access one Adobe product each month or $49.99 to access the entire Creative Suite (the equivalent of the CS6 Master Collection). The program has been a success, with more than 500,000 premium members signing up for Creative Cloud in the first nine months of availability, in addition to the 2 million free Creative Cloud members.

While the Creative Cloud offering was originally introduced for individual users, in December, Creative Cloud for Teams became available and the interest has been positive.

For that reason — as well as the changing nature of its business and an overall market shift into software as a service (SaaS) models, Adobe is going all-in with its latest version of its software. This means that no future versions of the core products available in Adobe CC will be available through a perpetual license.

Adobe will continue to sell current versions of Adobe CS6 but those products will not get any future feature updates. The products will get security patches and bug fixes, but no feature updates. Additionally, Adobe has committed to making sure that CS6 is compatible with the next major version of OS X and Windows.

Shifting completely to a subscription model — especially after building its business on perpetual licensing — is a big shift for Adobe. Still, the company maintains that this shift is necessary for the future.

"Our single highest priority has to be about blending tools and services and in order to do that, we have to make [Creative Cloud] our full focus," Adobe told me in a briefing last week.

Services are a key component of Creative Cloud. In the last few years, Adobe has acquired a number of startups — including TypeKit, PhoneGap and Behance — as a way of adding more collaboration and web service tools directly to its products.

The company has also built cloud storage offerings into Creative Cloud and the latest version includes a Dropbox-like system of adding and accessing projects shared with team members.

With the traditional perpetual model, product updates had to happen on a certain cycle. If the Photoshop team wanted to push out a new feature or update, it had to stay on the same cadence as the updates for other apps in the suite. The product life cycle was roughly 18 months, which meant that it would take at least that long for new features to make their way to the final product.

That's fine for some applications but it meant that Adobe couldn't be on the cutting-edge with its support for the latest web standards and technologies. To fill in the gaps, Adobe introduced its Edge tools and services as as a way of giving users access to tools developed on a more agile basis.

What Adobe found with its Edge apps was that customers really liked getting new features in their apps more quickly. Adobe could roll out the updates to users automatically and add support for new standards and features outside of the confines of a standard product cycle.

With Adobe CS6, the company started a dual-track for its development, focusing on a core set of features at launch for the product and then adding subscriber-only features for Creative Cloud members. Some of those features — including support for high-resolution displays such as the MacBook Pro with Retina — were rolled out to all users, but the team was basically on a dual-path.

That's not sustainable and so, moving forward, Adobe CC products will continue to see enhancements and updates throughout the year. Major releases will likely still have some general cadence but the product teams will no longer need to wait to release new features for an app.

Adobe recognizes that there are a lot of customers who bought the CS6 suites with a perpetual license, believing that they would have a clear upgrade path.

For those customers, Adobe says it will offer deep discounts for the first year for those customers that want to transition to Adobe CC. Right now, Adobe sells individual Creative Cloud subscriptions for $49.99. Users upgrading from CS3 or higher can get a discounted rate for their first year of $29.99 a month. CS6 users that want to upgrade will get an even deeper discount for the first year.

Moreover, Adobe has created an alternative for certain groups of customers that cannot migrate to a public cloud service for a variety of reasons. These customers, which include educational institutions, governments and large enterprises that can't access outside clouds, can buy a version of Adobe CC that doesn't contain the "cloud" aspect.

Adobe isn't the only company making the transition from perpetual license to subscription-based services.

The SaaS model may have originated with web-based software apps from the likes of Salesforce and Google but, increasingly, more and more perpetual software vendors are evaluating a model shift.

Microsoft is pushing its Office 365 subscription features on businesses and home users. Rather than paying for the software each generation, users pay by month or by year.

In the creative industry, even areas like typography are moving to subscription models. Last week, Monotype announced that fonts.com is offering a more comprehensive subscription option for its customers. Rather than selling typefaces and font families individually, customers can pay a monthly or yearly fee to get access to a whole swath of Monotype fonts for use not just on the web but in all projects.

While shifting to a subscription software model may be a change for consumers, most businesses operate on similar subscription models with other aspects of software. Moreover, it's possible that as consumers become used to paying a monthly fee for Netflix, Spotify and Hulu Plus, the idea of also paying a monthly fee for software won't seem so odd.

Although Adobe CC runs like a regular app, the app needs to talk to a server every time it is used. This means that its harder (though not impossible) for users to access without paying.

I asked Adobe if cutting down on piracy had any sway in the decision to switch to subscription and the answer surprised me.

"While reduced piracy might be a nice side effect, it was not a driver into our decision to move to a subscription model," Adobe told me.

In fact, in areas — such as Poland — where piracy is historically extremely high, Adobe has found that the percentage of Creative Cloud subscribers is significantly higher than average. Why? Because offering a monthly plan makes it easier for individuals to buy products that they may have not been able to afford with an up-front perpetual license.

Adobe believes that, just as customers had to transition from buying individual products into buying the Creative Suite bundles, they will also transition to the new subscriber model.

"We want to do this because we want to do more," Adobe reiterated. This model helps us give more to our customers and add new tools and features more quickly.

It's a bold move — and one that will likely receive lots of criticism. Still, I think it's a move that makes sense. For creative professionals that rely on Adobe tools, $600 a year for the latest updates isn't out of line with what a Creative Suite Master Collection bundle would cost every 18 or 24 months.

Ultimately, as long as the company continues to deliver tools that customers love, it will continue to keep its customers. The hurdle for Adobe isn't about pricing strategy — but remaining the defacto toolset for designers and creative professionals.

Let us know what you think about Adobe's decision in the comments.

Image courtesy of Adobe

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Beer Drones To Deliver Brew to Concertgoers

Vignesh By Vignesh Ramachandran2013-05-05 19:00:34 UTC

Thirsty music festivalgoers in South Africa this summer may be able to get beer instantly delivered to them — via drones.

During August's OppiKoppi Music Festival, attendees can order beers from their phones to be delivered the event's District 9 campsite. The beer-equipped drones will swoop down and deliver beer via parachute to the appropriate customer, as explained in the video above. The organizers say the beer drones are now hand-guided, but in the future they'll fly on a GPS grid.

But this 21st-century service might not fly without its share of turbulence: Targeting the right customer amongst the crowds at OppiKoppi will be an interesting challenge to overcome. And festival attendees might not have the greatest sense of motor control for catching their drink order, after having one too many.

This is not the first time someone has thought of a clever concept like this: Last year, a San Francisco-based research lab developed a burrito-dropping drone.

If this beer-drone experiment works, I can only imagine future possibilities for drone delivery. It could bring new meaning to pizza delivery and make Amazon.com's one-day shipping seems archaically slow. Maybe Ultra-Express Mail Drones are the answer to the cash-strapped United States Postal Service's troubles? Earlier this year, Reddit users hypothesized about similar delivery services through drone technology.

But note that in the United States, commercial drones are not yet legal. The Federal Aviation Administration (FAA) plans to regulate them by 2015.

What do you predict drones could be used for in the future? Share your thoughts in the comments.

Mashable composite thumbnail graphic: Drone image via iStockphoto, andreart; beer image via iStockphoto, francisblack.

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Chris Hadfield Misquotes Yoda, But Has Enough Geek Cred To Get Away With It

YodaGlen Tickle for Geekosystem 2013-05-05 19:47:35 UTC

Yesterday was Star Wars Day, and everyone tried to ride the wave of "May The Fourth Be With You," but some did it better than others. Surprisingly, geeky space heartthrob Chris Hadfield misquoted Master Yoda's most famous line in a tweet. We're willing to forgive Hadfield, considering all the great things he's done, but also because he sent that tweet from freaking space.

In The Empire Strikes Back Luke learns an important lesson about the nature of effort and accomplishment. When Luke says he'll try to life his X-Wing out of the swamp Yoda tells him, "Do. Or do not. There is no try." It's the line everyone goes to when they're doing their drunk Yoda impressions at parties.

It's a line practically every geek knows, but in a tweet yesterday Hadfield got it wrong.

There's no faster way to rile up geeks on the Internet than by getting a Star Wars detail wrong — right, President Obama? Considering the picture shows Hadfield Force-lifting the Earth, and that he's done nothing but amazing things in space, we're willing to give him the benefit of the doubt that he was just paraphrasing and not attempting a direct quote.

Even if he did just get it wrong, how can we stay mad at Chris Hadfield? Just look at those dreamy Canadian eyes. He may have gotten the Yoda quote wrong, but hey — at least he tried!

Image via Getty Images Entertainment, Frederick M. Brown

This article originally published at Geekosystem here

Topics: Chris Hadfield, Social Media, star wars day, Twitter, U.S. Geekosystem is a Mashable publishing partner that aims to unite all the tribes of geekdom under one common banner. This article is reprinted with the publisher's permission.

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Demi Lovato Is Premiering Songs Based on Intensity of Tweets

Demi-lovato-twitter-challengeBahjournalist-5e1f0b4ff8 By Brian Anthony Hernandez2013-05-06 19:31:20 UTC

Every song from Demi Lovato's fourth studio album, Demi, will premiere online way sooner than fans anticipated — but only if those fans, a.k.a. "Lovatics," tweet like crazy.

Lovato's camp launched LovaticsSpeedUpTime.com on Monday, challenging fans to tweet the song name (in hashtag form) that appears on the site. For example, "#WithoutTheLove" is track three on the album. Fans swarmed Twitter to promote the hashtag and subsequently unlock the YouTube video for "Without The Love."

Update: Every song has been unlocked and every corresponding hashtag for each song became a worldwide trending topic on Twitter. Demi becomes available to buy May 14, so these Twitter-propelled premieres give fans a well-advanced listen to her new music.

A Disney Music Group rep told Mashable that digital agency Eyes and Ears built the challenge's clock design landing page (see below) for Lovato's website. Eyes and Ears also created the Twitter challenge Lovato did in March for her "Heart Attack" lyric video.

Note: Track one is "Heart Attack," which already premiered earlier this year.

Startup Walkthru Pop Emerging Suggestednoaccount Suggested Nowplaying Tabs Bonjovi Bonjovi-playback Bonjovi-playbackmuted Artist Lockscreen Settings Spotify-login Hero-shot Artist-web Spotify-problems

Image courtesy of Hollywood Records

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Hands-On With This Week's Top Apps

Emily-7d5b1d3e6b By Emily Price2013-05-06 01:48:51 UTC

This was a big week for apps, and particularly app updates.

Vine added an update that allows users to shoot video using their forward-facing camera, while Twitter updated its Android and iOS apps to include support for Trends.

What's more, popular beer app Untappd finally made its way to Windows Phone, and Google Now debuted on the iPhone.

Curious about how these new apps look? Check out the video, above, for a hands-on look at some of our favorites from the past week.

Have you tried any of this week's picks? Tell us about your own top apps in the comments.

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Image by Mashable

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10 Life Lessons From Star Wars

Annie_s%20head By Annie Colbert2013-05-04 04:04:33 UTC

Happy Star Wars Day! May the fourth be with you.

The epic big-screen battle between good and evil set in a galaxy far, far away influenced generations of young Jedi wannabes. Yoda and Obi-Wan Kenobi instilled values of discipline and loyalty, while Darth Vader served as a cautionary tale to anyone tempted by the dark side of life.

To celebrate May 4th and honor all the wisdom bestowed by Luke, Leia and that feisty furball Chewbacca, we gathered 10 life lessons from Star Wars. Learn from it, you will.

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Homepage image: Mashable composite. Images courtesy of Flickr, JD Hancock and Nick Ares

Topics: Film, infographics, Pics, Star Wars, Watercooler if(window.pageChanged) window.omni({"channel":"watercooler","content_type":"article","top_channel":"watercooler","content_source_type":"Internal","content_source_name":"Internal","author_name":"Annie Colbert","age":"0","pub_day":4,"pub_month":5,"pub_year":2013,"pub_date":"05/04/2013","isPostView":true,"post_lead_type":"No Lead Image"}); metaData = {"link":[["canonical","http://mashable.com/2013/05/04/star-wars-life-lessons/"],["image_src","http://rack.0.mshcdn.com/media/ZgkyMDEzLzA1LzA0L2NiL1N0YXJXYXJzTGlmLjNjMjZlLmpwZwpwCXRodW1iCTcyMHg3MjAjCmUJanBn/d82f8bbf/0bb/Star-Wars-Life-Lessons.jpg"]],"meta_property":[["og:url","http://mashable.com/2013/05/04/star-wars-life-lessons/"],["og:title","10 Life Lessons From Star Wars"],["og:type","article"],["og:site_name","Mashable"],["og:image","http://rack.0.mshcdn.com/media/ZgkyMDEzLzA1LzA0L2NiL1N0YXJXYXJzTGlmLjNjMjZlLmpwZwpwCXRodW1iCTcyMHg3MjAjCmUJanBn/d82f8bbf/0bb/Star-Wars-Life-Lessons.jpg"],["og:article:published_time","2013-05-04T04:04:33Z"],["og:article:modified_time","2013-05-04T04:04:43Z"]],"meta_name":[["description","Happy Star Wars Day! To celebrate May 4 and honor all the wisdom bestowed from a galaxy far, far away, we gathered 10 life lessons. Learn from it, you will."],["keywords",["star-wars","infographic","uncategorized","film","watercooler","pics","lists"]],["twitter:title","10 Life Lessons From Star Wars"],["twitter:description","Happy Star Wars Day! May the fourth be with you. The epic big-screen battle between good and evil set in a galaxy far, far away influenced generations of young Jedi wannabes. Yoda and Obi-Wan Kenobi i..."],["twitter:image","http://rack.3.mshcdn.com/media/ZgkyMDEzLzA1LzA0L2NiL1N0YXJXYXJzTGlmLjNjMjZlLmpwZwpwCXRodW1iCTU2MHg3NTAKZQlqcGc/0d07a3a2/0bb/Star-Wars-Life-Lessons.jpg"],["twitter:site","@mashable"],["twitter:url","http://mashable.com/2013/05/04/star-wars-life-lessons/"],["twitter:creator","@mashable"],["twitter:card","photo"],["twitter:image:width","560"],["twitter:image:height","750"]],"short_url":[["short_url","http://on.mash.to/ZubFok"]]};

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