“If Apple buys Adobe, is the operating system market up for grabs? It doesn’t take a brain surgeon to see why. Borrowing heavily from Mr. Cringely’s terminology, there are several industry realities and stories, each having its own vector/trajectory that might lead one to seeing the importance of Adobe to Apple’s well being. Adobe owns key graphic sector applications. Meanwhile, Microsoft has a strangle-hold over Apple with Office for the Mac. Were Apple to buy Adobe, it would give Apple the leverage it needs to ensure Microsoft keeps making Office for the Mac,” John Kheit writes for The Mac Observer.
“Make no mistake, Apple is much like Blanche DuBois; it relies on the ‘kindness’ of Microsoft. At any given time, all Microsoft has to do to put Apple down like a sick pony is stop making Microsoft Office for the Mac,” Kheit writes. “Right now Microsoft will not do that for a slew of reasons, e.g., antitrust issues, Microsoft makes a boat load of money on sales of Office to Mac users, etc. Nevertheless, were it to become threatened as Apple transitions into more markets, Microsoft will not hesitate in pulling the plug on Office, and down the tubes Apple will go.”
Kheit’s “transitions” include:
• Apple’s ‘iWork’ office suite, which Apple is developing “at a glacial pace”
• Apple and Intel: the target is Windows
• Apple Media dominance: iPod+iTunes, potential future CE products
Kheit writes, “Were Apple to buy Adobe (and what the heck, maybe Quark), it would own enough key applications necessary to Windows users to thwart Microsoft. Should Microsoft threaten to pull Office from the Mac, Apple could then threaten to pull the Adobe products from Windows. This would be bad for both companies, and basically get them into a big ole game of mutually assured destruction (or at least mutually assured losses of revenue). Could Apple do this? Sure it could. Adobe’s market cap is around $17 Billion. Apple has well over $7 Billion in cash and its market cap is over $60 Billion. Apple has enough cash and stock for a buyout. And if Apple purchased a majority stake, the stock would soar for both companies; you might even see a dip in Microsoft stock. That would be a home run for Apple.”
Full article, an excellent, thought-provoking read, here.
Is Microsoft Office really that critical for Apple Mac? Seriously, would Apple’s Mac platform just up and die without future versions of Microsoft Office? Apple would have to stop doing promotions like this: Get Microsoft Office for up to 50% off when you buy a new Mac at the Apple Store, but doesn’t the Mac have a lot more going for it besides the ability to run Microsoft Office? Anyway, Apple would gain Photoshop, Dreamweaver, Illustrator, Flash, etc. if they bought Adobe. It would be a blockbuster deal, that’s for sure. What do you think?
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Related MacDailyNews articles:
Adobe to acquire Macromedia in $3.4 billion stock deal – April 18, 2005
Apple and Adobe go to war – March 26, 2003
Adobe prefers (and promotes) PCs over Macs – March 24, 2003
>FUBAR wrote: In my sixteen years of using Macs I have never, I repeat NEVER needed MSO
If that’s how things are for you… great. Too bad for Apple you’re not their ENTIRE target market.
In my 21 years of pc computing (started with ][e and a C64), I’ve used MS Office/Word since ever since…
My 21 years trumps your 16 years.
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>FUBAR wrote: In my sixteen years of using Macs I have never, I repeat NEVER needed MSO
If that’s how things are for you… great. Too bad for Apple you’re not their ENTIRE target market.
In my 21 years of pc computing (started with ][e and a C64), I’ve used MS Office/Word since ever since…
My 21 years trumps your 16 years.
” width=”19″ height=”19″ alt=”raspberry” style=”border:0;” />
>FUBAR wrote: In my sixteen years of using Macs I have never, I repeat NEVER needed MSO
If that’s how things are for you… great. Too bad for Apple you’re not their ENTIRE target market.
In my 21 years of pc computing (started with ][e and a C64), I’ve used MS Office/Word since ever since…
My 21 years trumps your 16 years.
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Adobe’s non-Macromedia products might be “shitware” to you if you don’t use them, but they’re far from “shitware” to myself and other professionals who rely on them every day. A bit narrowminded.
I think they all should let well alone, especially the Microsoft angle. Apple doesnt need to wield any big stick to survive. I remember “the Economist” about 10-12 years ago advising Apple that in order to survive, it should forgo the hardware side of its business and concentrate on the software, specifically OS part. This is where the money is, it said. Well, is it still? and is it all about money, now? I’m sure the giant at Redmond has a different take on that now. and the economist is singing a different tune right now. besides, it’s a poor biz model to acquire adobe if only to show up microsoft. mutually assured destruction, indeed. once you start, and then construct you biz philosophy around that, there’s not stopping you. it detracts from your original goal of customer satisfaction, innovativeness, and the much-vaunted ease of use of apps and machine. Apple can hold its own anyday. nuff said.
I’ll just keep using NeoOfficeJ. Thanks.
I already use Adobe Acrobat as my preferred word processing environment. No converting, no issues and collaboration is built in.
After all, you write and design to communicate. Isn’t it!
For now, and the next few years, MS Office is very important to the Mac. I have nothing but Macs at home and we get Excel files for the kids’ soccer schedule, Word docs for PTA, etc. If we didn’t have Office we’d be in big trouble. Like it or not, the world–not just corporate America–runs on MS Office.
But…Haven’t you all heard that software is dead? Oracle’s purchase of Siebel Systems was the first nail in the coffin. If/when MS comes out with “MS Office Live” that will be the next nail in the coffin.
MS is working on porting all their Office apps to a server-based subscription model (hosted applications). This can be a huge benefit to Apple. There wouldn’t need to be a Mac version of Office. Now, knowing MS, they’ll probably make it require IE and a Passport account…
Apple should work toward improving iWork and making it a complete Office suite. Then they should move it to a hosted application suite under .Mac or something similar. This is the future. Steve and his good buddy Larry Ellison should team up and form a new group to promote open standards-based office documents like RTF, XML, PDF, whatever. Kill MS Office gradually.
We don’t need Adobe, but that would certainly make things interesting. But I still believe that one of the reasons Apple software is so good is because they don’t have to worry about the mess that is Windows.
>sigamy wrote: Now, knowing MS, they’ll probably make it require IE and a Passport account…
Sorta like that way Apple requires iTunes (with iTMS) in order to use the iPod.
I see your point about how limiting choice is actually a good thing. Ahrm… wait, is it really?
>sigamy wrote: Now, knowing MS, they’ll probably make it require IE and a Passport account…
Sorta like that way Apple requires iTunes (with iTMS) in order to use the iPod.
I see your point about how limiting choice is actually a good thing. Ahrm… wait, is it really?
>sigamy wrote: Now, knowing MS, they’ll probably make it require IE and a Passport account…
Sorta like that way Apple requires iTunes (with iTMS) in order to use the iPod.
I see your point about how limiting choice is actually a good thing. Ahrm… wait, is it really?
>sigamy wrote: Now, knowing MS, they’ll probably make it require IE and a Passport account…
Sorta like that way Apple requires iTunes (with iTMS) in order to use the iPod.
I see your point about how limiting choice is actually a good thing. Ahrm… wait, is it really?
I think the commentary about the importance of Office is silly. It is absolutely critical.
I do think a purchase of Adobe is critical and will never happen. It would have to be a hostile take over, which Apple doesn’t want and won’t pay for.