The following video is part of our "Motley Fool Conversations" series, in which senior technology analyst Eric Bleeker and Chief Technology Officer Jeremy Phillips discuss topics around the investing world.
Adobe's Photoshop has long been the Kleenex of the photo-editing world, but it and other tools Adobe provides have suffered from a few core problems. Mainly, the $700 cost of Photoshop alone has been relatively unattainable for young individuals just getting started in the industry. For the entire Master Collection of Adobe's tools, the price skyrockets to $2,600. This pricing model has led to both rampant piracy and has probably limited adoption of the toolset for both up-and-coming individuals and startups.
Paying 5% of the price for a tool that provides 80% of the functionality is an easy decision for those new to the industry. However, Adobe has solved this problem in one fell swoop. In this short video, Jeremy and Eric discuss Adobe’s new pricing model, named Creative Cloud, which allows full access to all of Adobe's tools at a mere $50 a month. Jeremy strongly believes this will help the company build a lasting moat around its authoring tools.
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Eric Bleeker and Jeremy Phillips have no positions in the stocks mentioned above. The Motley Fool owns shares of Apple and Microsoft. Motley Fool newsletter services recommend Adobe Systems, Apple, and Microsoft. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.