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Is there value in the CC update?

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Jim Cunningham
Is there value in the CC update?
on May 25, 2013 at 1:01:37 pm

Up until now Adobe would release a “Major” update every 18 -24 months. Typically, I would be happy to pay the approximately $380.00 per seat for that upgrade (Production Premium). With CC we will be paying $600.00 a year (approximately $1,200.00 over that 2 year cycle), a roughly 300% price increase. [If only my portfolio would achieve such gains I would buy an island and retire:-)]

Anyway, Adobe claims that w/ CC they will now be able to provide updates on a regular basis. Since we are paying three times more than in the past, should we expect to be getting the equivalent of three or more “Major” upgrades on all software over a two year period?

Cheers,



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Craig Seeman
Re: Is there value in the CC update?
on May 25, 2013 at 5:08:00 pm

With the CC
You can't skip paying for an upgrade because the new features aren't critical for your work.
You can't skip paying for an upgrade because you have a higher priority expenditure or lower budget at the time.
You can't skip paying for an upgrade because you can't afford buying the new hardware needed to use new more demanding features.
If you leave the CC or are only an occasional user you must pay for the month to open your or your client's provided project file. Woe be the person who finds that he only needs to open a file once a month. You're locked on the pay forever CC even with infrequent use.

CC is all about getting you to pay for upgrades and/or use in perpetuity. All this for the increase you note... and the possibility that can go up further... with no exit strategy. Even if they were to do the equivalent of three major upgrades.... are you going to find each one compelling?



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Oliver Peters
Re: Is there value in the CC update?
on May 25, 2013 at 9:20:41 pm

[Craig Seeman] "CC is all about getting you to pay for upgrades and/or use in perpetuity. All this for the increase you note... and the possibility that can go up further... with no exit strategy. Even if they were to do the equivalent of three major upgrades.... are you going to find each one compelling?"

That's not really the case. CC is about changing the payment model, regardless of whether there are updates or not. It just so happens to coincide with an update, but the two things are not coupled. CC subscribers will get ongoing updates when they are available, based on realistic R&D schedules. For some apps that will be more frequent than each year and for others, probably longer. CC also offer additional features beyond access to Adobe's software. You really have to ask whether the cloud model is right for you, not whether this next round of updates is worth the transition.

- Oliver

Oliver Peters Post Production Services, LLC
Orlando, FL
http://www.oliverpeters.com


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Craig Seeman
Re: Is there value in the CC update?
on May 25, 2013 at 10:06:20 pm

Oliver while I don't have the sources, I've read that Adobe had a serious evaluation on portions of the user base skipping upgrades and revenue. Under CC there's no option to skip upgrades and I firmly believe that's one of the reasons (evenly distributed income is the other) Adobe moved to this business model. We can argue the semantics but they get income as if the user paid for an upgrade with under the new business model.



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Oliver Peters
Re: Is there value in the CC update?
on May 25, 2013 at 11:08:59 pm

[Craig Seeman] "Under CC there's no option to skip upgrades and I firmly believe that's one of the reasons (evenly distributed income is the other) Adobe moved to this business model."

I agree, but my point was that for the user, the cloud and updates are de-coupled. You shouldn't by CC just because you think updates are the factor. For Adobe, cloud makes sense because there is a guaranteed cash flow that's not tied to the timing of upgrade sales. Although it's likely that updates will come faster with CC, there is also no guarantee that there will be any updates at all.

- Oliver

Oliver Peters Post Production Services, LLC
Orlando, FL
http://www.oliverpeters.com


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David Lawrence
Re: Is there value in the CC update?
on May 25, 2013 at 11:25:56 pm

[Craig Seeman] "CC is all about getting you to pay for upgrades and/or use in perpetuity. All this for the increase you note... and the possibility that can go up further... with no exit strategy. Even if they were to do the equivalent of three major upgrades.... are you going to find each one compelling?"

[Craig Seeman] " I've read that Adobe had a serious evaluation on portions of the user base skipping upgrades and revenue. Under CC there's no option to skip upgrades and I firmly believe that's one of the reasons (evenly distributed income is the other) Adobe moved to this business model. We can argue the semantics but they get income as if the user paid for an upgrade with under the new business model."

Agreed. To me, this business model looks to be mainly driven by a desire to bring value to share-holders, not users.

The other thing I question is how this plays out in terms of marketing. One of the benefits of versions and major feature timelines is they provide marketing tent poles and upgrade incentives. This disappears under a model were features roll out continuously.

You can buy Creative Cloud today. What are they planning to sell next month? "New" Creative Cloud? Will marketing the features, rather than a release be a compelling enough message? Production Premium users in post may have a lot to look forward to, but what motivates Photoshop/Illustrator users next month?

On top of this, Adobe goes out-of-their-way to emphasize that the software downloads to your hard drive and an internet connection is *not* required for general usage. So for the time being, cloud features are optional. So is it in the "cloud" or isn't it? What's the value being offered?

The more I think about it, the more it seems the marketing message is a mess.

Maybe Adobe planned for a backlash, maybe they have a spreadsheet that says new subscribers will outspend customers lost, but this does not feel like a well-planned decision. I think the unintended consequences are just beginning.

_______________________
David Lawrence
art~media~design~research
propaganda.com
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Chris Harlan
Re: Is there value in the CC update?
on May 26, 2013 at 2:13:15 am

[David Lawrence] "Maybe Adobe planned for a backlash, maybe they have a spreadsheet that says new subscribers will outspend customers lost, but this does not feel like a well-planned decision. I think the unintended consequences are just beginning."

Yes, I have to agree. It strikes me as being a decision made at a high level by people who are out of touch with, and have little relation to, the user base. And, I'm someone who is sympathetic to the notion of a subscriber model. I look at what happened with X, and I see some value in paying someone NOT to reinvent the wheel. But this thing was a cluster flork, and it makes me wonder about who is steering.


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Gary Huff
Re: Is there value in the CC update?
on May 26, 2013 at 6:13:12 pm

[Chris Harlan] "
Yes, I have to agree. It strikes me as being a decision made at a high level by people who are out of touch with, and have little relation to, the user base."


I would go even a step further. I don't think this is coming about because the teams responsible for actually delivering Photoshop/Premiere/After Effects/ect. approached management about this. I strongly feel that this was a decision made by people in upper management who a) don't actually use their own software and b) probably consider the people who make up their customer base to be "beneath" them, with differing levels of contempt.


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Aindreas Gallagher
Re: Is there value in the CC update?
on May 26, 2013 at 6:34:02 pm

[Gary Huff] "consider the people who make up their customer base to be "beneath" them, with differing levels of contempt."

http://images1.wikia.nocookie.net/__cb20121022150657/simpsons/images/3/36/R...

http://vimeo.com/user1590967/videos http://www.ogallchoir.net promo producer/editor.grading/motion graphics


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Ricardo Marty
Re: Is there value in the CC update?
on May 26, 2013 at 10:00:53 pm

Just caught up with an aquaintence i have not seen in years. He told me that he had subscribed to the cloud last year and was very happy.

When I told him that if he discountinued the payments he would not be able to retreive his project he did not beleive me saying that the adobe salesman had clearly stated that he could keep using his program after the subscription. He was so adamant that i changed the conversation. Boy is he in for a surprise.

Ricardo


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Brandon Cordy
Re: Is there value in the CC update?
on May 26, 2013 at 4:06:28 am

The $600 a month of course gives you access to all of the creative software Adobe makes, not just Production Premium, so the math doesn't quite level out. From what I've read, we could expect to see a major feature addition in After Effects, for example, six months after the CC launch (which has its own major feature additions), so I'm hoping that pace continues.


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Rich Rubasch
Re: Is there value in the CC update?
on May 26, 2013 at 9:12:47 pm

I bought the Muse subscription because I figured I would build my site then let it lapse until I needed to update the site. That proved to be almost monthly anyway so the subscription continues.

But I tied it to my debit card so now every month I get to see that entry on the statement and deduct it from my balance. It's a $15 sting every month over software. I would almost be willing to pay $170 to buy the darn thing and not be bothered each month by the debits. Like the cable bill, why would Adobe want us to be reminded each month that we are paying for the use of their software.

Well, they also know that professionals won't be able to give it up (see my Muse example above) and we will be stuck in the loop of perpetual, um, debits directly from our accounts, thank you very much!

We'll love the software and resent the company more than in the past when we loved both. Sorry Adobe, but we just can't like you as much anymore.

Rich Rubasch
Tilt Media Inc.
Video Production, Post, Studio Sound Stage
Founder/President/Editor/Designer/Animator
http://www.tiltmedia.com


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walter biscardi
Re: Is there value in the CC update?
on May 28, 2013 at 1:17:01 pm

I can tell you that there is major value in the improvements from CS6 to CC well worth the price of admission. I posted my "Top Ten" improvements both here and on my WalterBiscardi.com site.

Walter Biscardi, Jr.
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