{"id":136145,"date":"2024-12-12T09:56:59","date_gmt":"2024-12-12T02:56:59","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=136145"},"modified":"2024-12-12T09:56:59","modified_gmt":"2024-12-12T02:56:59","slug":"adobe-drops-after-tepid-outlook-stokes-ai-disruption-fears","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=136145","title":{"rendered":"Adobe Drops After Tepid Outlook Stokes AI Disruption Fears"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->(Bloomberg) &#8212; Adobe Inc. fell in extended trading after giving a disappointing annual sales outlook, underscoring anxieties that the creative software company may lose business to emerging artificial intelligence-based startups.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Most Read from Bloomberg<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Revenue will be about $23.4 billion in the fiscal year ending in November 2025, the company said Wednesday in a statement. Earnings, excluding some items, will be $20.20 a share to $20.50 a share. Analysts, on average, estimated sales of $23.8 billion and adjusted profit of $20.52 a share, according to data compiled by Bloomberg.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Adobe, known for its software for creative professionals, has been adding generative AI features to its applications, such as embedding its proprietary model, Firefly, into products like Photoshop. The company unveiled an AI tool to create videos during its annual user conference in October, which has been integrated into editing app Premiere and is slowly rolling out to the wider public.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The software maker will soon introduce a \u201cnew higher-priced Firefly offering,\u201d which includes video models, David Wadhwani, who leads the company\u2019s creative business, said on a conference call after the results were released.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->A closely watched metric of new creative software business \u2014 digital media net new annual recurring revenue \u2014 will increase 11% in the fiscal year, in line with estimates. Factored into guidance \u201cis an ongoing strategy to introduce new tiered subscription offerings and add-ons,\u201d Chief Financial Officer Dan Durn said during the call.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Adobe\u2019s outlook may be conservative due to \u201cthe uncertain pace at which AI usage may take root,\u201d wrote Anurag Rana, an analyst at Bloomberg Intelligence.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The shares fell almost 9% in extended trading after closing at $549.93 in New York. The stock has dropped 7.8% this year, lagging behind software peers and industry benchmarks. Investors have voiced recurring anxieties that AI-based creative tools from firms like OpenAI or Runway AI could take market share from Adobe.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->While company executives and customers tout the value of Adobe\u2019s new AI tools, \u201cinvestors aren\u2019t feeling that excitement,\u201d Keith Weiss, an analyst at Morgan Stanley, said on the conference call.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->In the fiscal fourth quarter, Adobe reported that sales increased 11% to $5.61 billion. Profit, excluding some items, was $4.81 a share. Analysts, on average, projected earnings of $4.67 a share on revenue of $5.54 billion. The company ended the quarter with digital media annual recurring revenue of $17.3 billion, slightly ahead of the average analyst estimate.<!-- HTML_TAG_END --><\/p>\n<p><button class=\"secondary-btn fin-size-large readmore-button rounded   yf-15mk0m\" data-ylk=\"elm:readmore;itc:1;sec:content-canvas;slk:Story%20Continues\" aria-label=\"Story Continues\" title=\"Story Continues\"> <span>Story Continues<\/span> <\/button> <\/p>\n<div class=\"read-more-wrapper\" style=\"display: none\" data-testid=\"read-more\">\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->The digital media unit, which includes Adobe\u2019s flagship creative and document-processing software, posted a 12% increase in sales to $4.15 billion in the quarter ended Nov. 29. Revenue from the unit that includes marketing and analytics software rose 10% to $1.4 billion.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Integration of Firefly into applications across the company\u2019s products \u201cis driving record customer adoption and usage,\u201d Chief Executive Officer Shantanu Narayen said. Firefly has been used over 16 billion times, he added.<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->On Monday, OpenAI made its video-generating model Sora available to those already paying for its chatbot ChatGPT. Wadhwani said Adobe\u2019s video model will become \u201cmore broadly available in early 2025.\u201d<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->Most Read from Bloomberg Businessweek<!-- HTML_TAG_END --><\/p>\n<p class=\"yf-1pe5jgt\"><!-- HTML_TAG_START -->\u00a92024 Bloomberg L.P.<!-- HTML_TAG_END --><\/p>\n<\/div><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/finance.yahoo.com\/news\/adobe-gives-tepid-sales-outlook-213821689.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>(Bloomberg) &#8212; Adobe Inc. fell in extended trading after giving a disappointing annual sales outlook, underscoring anxieties that the creative software company may lose business to emerging artificial intelligence-based startups. &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=136145\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-136145","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/136145","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=136145"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/136145\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=136145"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=136145"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=136145"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}