Iron Man: Steve Jobs is even tougher than you
May 2, 2008
pbs.org
"But we rarely watch what Apple is getting rid of, mainly because that doesn't happen very often. Sure, old hardware platforms are dropped, sometimes for lack of sales, but it is hard to even remember when Apple dropped or sold off any of its software businesses. Even FileMaker was dragged back inside the company by Jobs after Sculley's abortive attempt to spin off the database company.
So why, then, was Apple quietly shopping around its entire professional application business to prospective buyers at the recently completed National Association of Broadcasters show in Las Vegas? These include Aperture, Final Cut Pro, Logic, and Shake -- applications that are hardly also-rans in their segments and none of which are antiquated in the least. Final Cut, of course, absolutely dominates the video editing business. Why would Apple want to give that up?
It seems obvious to me, however, that there is only one real reason why Apple would sell off its professional applications and that's to avoid antitrust problems when/if Apple buys Adobe Systems as I predicted at the beginning of the year. Final Cut Pro competes directly with Adobe Premiere. While in my opinion the Apple video software is clearly better, Jobs couldn't be at NAB trying to sell Premiere -- software he doesn't yet own. Maybe there's a planned bait-and-switch, seeing who is interested in Final Cut then trying to shift them to Premiere.
The major point here is that Adobe is in play, or at least Apple thinks so. The company has plenty of cash and stock to do the deal and plenty of incentive, too. Apple's goal in acquiring Adobe would be to control first Flash and second Adobe's emerging Air application platform. Adobe announced this week a broad industry initiative to extend Flash to mobile devices, but Apple wasn't a participant. Why bother if you intend to shortly own Flash outright?
Owning Flash and merging it with QuickTime would give Apple near-total dominance of Internet video, furthering the advantages of iTunes and shoring up in the process the iPod franchise. They'd be giving up a sports car in Final Cut Pro, but end up effectively owning the road instead." |
