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Re: Apple's official FCP7 EOL

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Paul Golden
Re: Apple's official FCP7 EOL
on Aug 31, 2017 at 5:48:58 pm

It's hard to compare Apple with Adobe when it comes to software sales discussions/strategies.

Although Apple charges for certain software, it uses software sales as somewhat of a loss-leader for its hardware universe that includes not only workstations, but tablets, phones and other devices. That is why Apple can afford to sell FCP for $300.

Adobe is a software company that must make all of its money from software sales. The Creative Cloud represents the fact that once the software is no longer physical (installation disks, 18-month refresh cycles, etc.), the marginal cost of including all-you-can eat is zero. So the more products they include in the Creative Cloud suite, the more valuable it is to the end user without a great deal of extra expense to Adobe. Even though Premiere and After Effects is a fraction of Photoshop's user base, it is an important part of Adobe's Cloud ecosystem.

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