Adobe Financial Report Shows 1.8 Million Creative Cloud Subscribers
An interesting look at the performance of Adobe's controversial subscription-based software model
The Adobe Creative Cloud service is polarizing to say the least. Some like the universal access to all the apps, while others have been livid over the move to a subscription based service. Now we’re getting a look at the numbers behind the program, though, and the program is excelling, with 1.844 million customers on board.
Adobe’s Q1 financial report reveals a lot about the company’s cloud based systems that paint them as a major success. Creative Cloud numbers have grown by 405,000 in just the last quarter, and “more than half of Adobe’s Q1 revenue was from recurring sources such as Creative Cloud subscriptions and Adobe Marketing Cloud.” That’s roughly $500 million.
In the earnings call that accompanied the news Adobe CEO Shantanu Narayen called Creative Cloud “well received” despite some loud outcry. The call also revealed that the average subscription length is 18 months, and that people prefer to subscribe to the whole suite of products, rather than just one that they specifically need.
Perhaps the most worrying quote from the news comes from ZDNet’s Larry Dignan, who reports:
This plays into the fears of many users who are holding on to their existing copies of CS6. With new features rolling out for Photoshop CC that aren’t coming to the fully purchased version, those who bought the application outright may feel left behind.
But if nothing else, this information proves that while there has been a vocal and large contingent of people who disagree with Adobe’s plans with Creative Cloud, the results appear to have been a success.