When Adobe first rolled-out their subscription option for CS products I didn’t think a whole lot about it. I figured this was a nice flexible option, especially for small businesses, but I didn’t think it would evolve into their preferred system.
Call me old fashioned, but I’ve always like the idea of purchasing software and then owning it, not “renting it.” Sure, I understand services like Dropbox and Evernote are based on a subscription base, but you’re essentially “renting space” to house your data. I see the Adobe creative products much differently. It’s an app. An app you pay for and should have the right to use for as long as it’s compatible with your computer system.
The idea of forking over monthly payments for a one year, two or three and having nothing to show for it doesn’t sound appealing.
But this is the direction they are heading.
Subscription Details
Although Adobe will offer their software in the traditional box format, Adobe is really pushing subscriptions. In fact, updates will be pushed more frequently to subscribers than non-subscribers.
Lame.
Here’s some of the subscription details:
- $49.99 per month with an annual subscription fee.
- $79.99 for month-to-month with no annual fee.
- CS3, 4, 5, and 5.5 for $29.99 per month.
- $19.99 for Photoshop with subscription fee.
- $29.99 for Photoshop month-to-month no annual fee.
This chart breaks it down:
You’re probably wondering what the Creative Cloud Membership is. Although they are moving to a subscription based product, they are at least throwing in some extras you won’t get with the stand-alone product:
- 20GB online storage.
- Online storage includes Adobe mobile app integration.
- Web hosting services (not sure of the details).
- One-on-one assistance from Adobe reps (this used to be called ‘customer support’).
- 700 fonts in the Typekit software (Nice!).
As of now, there are no concreate details as to the release. Just that something will be dropping in the next month or so.
Is Adobe moving in the right direction with this bold step towards a subscription based system?
Will they revolutionize how we purchase digital products, or will this go down in Flash flames?
[va Geek O System & TechCrunch]
Phil Schneider says
Ugh. I hate Adobe’s business philosophy. This is a terrible move. I was so excited when Adobe got into the iOS market, but that’s gone now.
Eric Dye says
They have become really bloated.
Barry Wiseman says
This is not ideal, but it has potential. A couple notes and clarifications though based on what I read and saw yesterday:
I signed up for the Creative Cloud yesterday. As a previous purchaser of CS3, I get a discounted price of $30 month for Creative cloud (as opposed to the upgrade I was going to have to pay $1000). That $30/month (or $50/month if you have not purchased an earlier version of CS3 or newer) is charged each month– you do NOT have to pay for the whole year up front. You are committed for the first year (you get your money back within 30 days if you’re not satisfied: after that you have to pay I think 1/2 of what you committed to).
Also, the way the article here is written, it sounds like there is an additional fee in addition to the monthly charge (worded “$49.99 per month with an annual subscription fee”). There is nothing in addition to the $30/50/75 month.
I’d suggest trying it for a month and seeing if you like it. I love the idea of only using some of the apps I need (photoshop, illustrator, after effects, audition), adding more if I need/want them later, and just ignoring apps I’ll never use (Flash).
For my church, $360 over 1 year was much easier to stomach than $1,000 for an upgrade.
Eric Dye says
Thanks for the deets, Barry!
Good points, for sure.
Jay Caruso says
I think this is terrific and I was initially a skeptic. When some people took some time to inform what it could worth for people who want the latest, but don’t have the cash to pay for it all at once.
Let’s say you want the entire creative suite. To purchase would cost $2500. At a rate of $49.95, it will cost $2400 over a FOUR YEAR period. Within that time, there is no doubt new versions will be made available, and you’ll get to upgrade at no additional charge.
It’s a no brainer in my view. I pre-ordered.
Eric, I think you made a minor mistake. The $49.95 price per month is based on an annual commitment, not an annual subscription purchase. IE, users can pay month to month and not $600 at the start but there’s a penalty for canceling early.
Eric Dye says
Awesome. Thanks for the correction, Jay!
I think you and Barry have some good points. When you work out the math, it does make sense. They’re trying to keep customers hooked in, eliminating those of us who still use old versions. Then again, they do still offer disk purchase … for now 😉
Aaron Tweeton says
The math makes sense to me.
$50 per month x 12 months = $600 a year.
Doesn’t Photoshop alone cost over $600? I’d rather pay $600 a year to get the whole Suite.
Eric Dye says
Actually, just Photoshop is cheaper. If you’re in a position of always wanting the latest version of Adobe products, their subscription system does make sense. It’s when you stop paying monthly that can really take a bite out of you. #hooked
Mark Robinson says
Last year Adobe said they were looking at making their product range more accessible to those who cant afford their premium applications.
I can’t afford to go out and buy Photoshop CS5 which is currently all I want so this subscription lark is only making the full suite accessible but I still end up paying a quite a bit of money.
With the ensuing demise of Apple Final Cut I’m also surprised that Adobe have not been going all out to make a competitive pitch to entice more FCP users.
I was hoping that they would make it modular. £50p/m is still high esp when you may not need most of the could apps available.
Tried to watch the UK launch y’day streamed from the Adobe site – it was an epic failure on Adobe’s part.
I’m left with a bit of a sour taste in my mouth.
Eric Dye says
Hmmm. I see what you mean. Hopefully they’ll find a good solution. However, I think Adobe has become so bloated as a company, even, they’ve left room for someone to swoop in and take their business.
Maybe.
Nathan says
Obviously, Adobe has huge piracy problem. I think it’ll be a great model, hopefully it’ll encourage some people to actually pay for the software. For the nay sayers out there…. If you can’t afford to pay $50 a month for a killer toolset like this…. you’re in the wrong business.
Mark Robinson says
Dude – I’d be careful about statements like that as clearly for some the cost is not an easy or simple choice.
It’s a bit crass as its not considering several factors:
Almost the whole planet is in recession so any business is having to make careful financial decisions as are their clients which affects everyones market. Some are gonna be luckier than others.
Small startups may not be in a position to invest in the ideal software setup to the point that every penny will count. Making a monthly commitment may not be possible.
Some will be working with or for charities and as such this decision becomes even harder as there will be an accountability to supporters.
So I think to say “you’re in the wrong business.” is a bit harsh!
Nathan Hall says
My point is, if you can’t afford $50 a month for a set of tools that you’ll use every day then You’ll have a tough time in the business world. Head’s up, the costs of business is about to eat you alive.
I live in the same world you do so I see the economic position it’s in. We’re talking $50 here though. $50. If you’re going to lose a client over $50 a month then you need to work on sales because you need better clients. That’s a fact.
My business was a small start up a couple of years ago. Adobe is bending over backwards by letting you pay month to month even. The cost of entry is totally doable, it doesn’t get any easier.
Eric Dye says
“Bending over backwards”?
Adobe is doing any favors. It’s business.
Eric Dye says
I think this had more to do with marketing and sales than security.