In an effort to expand its Creative Cloud offerings,
Adobe Systems Inc.
) announced the acquisition of privately-held Behance last week.
Terms of the deal were not disclosed.
New-York based Behance is a social media company that lets
designers, artists and other creative professionals to build and
showcase a web portfolio without having to manage a website.
The company has one million members and also hosts
), AdWeek, AIGA and all the leading design schools.
The Creative Cloud service allows people to download various
Creative Suite applications like Photoshop, Illustrator,
Dreamweaver, store work online and share files with others.
The Behance deal represents a significant step by Adobe to
bolster its stake in the Creative Cloud space. Creative Cloud
already offers creative professionals the tools, services,
syncing, storage and private sharing features they need. The
Behance acquisition will also add public sharing and
communications features to Adobe's Creative Cloud service.
With the addition of Behance services, Adobe would gain a
comprehensive set of tools, which would make it easier to manage
and share images and information about artworks and photos in the
cloud, giving more flexibility to casual and professional
Adobe's strategic acquisitions and continued innovation have
given it a strong market position on which we remain highly
optimistic. Last year, Adobe acquired IRIDAS technology, which
helps video editors to manipulate color and light for any type of
content, including professional film and television, thus
enhancing its Creative Suite portfolio.
Adobe is one of the largest software companies in the world
and its fourth quarter results beat the Zacks Consensus Estimate
on both the top and bottom lines. The company's revenue was
$1.153 billion, up sequentially as well as year over year,
attributable to increased adoption of Adobe's Creative Cloud and
Adobe Marketing Cloud.
While the company's technological prowess is commendable, the
company lowered its fiscal 2013 guidance considering the faster
uptake of Creative Cloud subscription. Additionally, the company
faces strong competition from
). Hence, currently, Adobe carries a Zacks #5 Rank (Strong
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