Adobe Marches On for AI Supremacy Adobe is leaving no stone unturned in getting a hold in the artificial intelligence market, and it could well be a brilliant decision.
www.tradezero.co TradeZero Ocean Place Cable Beach, Unit #1 Nassau, Bahamas
954.944.3885
Success in online stock trading depends a lot on identifying possible goldmines of opportunity out there. Artificial intelligence (AI) is now becoming so much of a promising field that Adobe ($ADBE) is considering taking the plunge, like many other tech companies have. Adobe is a very familiar term for the world’s white collar professionals since it offers a suite of very useful software products such as the PDF (Portable Document Format), Photoshop, Illustrator and InDesign. These products have given it great success, but Adobe isn’t satisfied since it wants to exploit new opportunities that may come up. It feels AI is something with very significant potential. Adobe’s Transition Adobe’s transition has been happening for several years now. It evolved from a producer and seller of software programs to a SaaS (software-as-a-service) company providing subscriptions to web-hosted products. In the process it has also made itself a major force in the web analytics field. Now it’s looking to integrate AI into its products through Sensei, a system it has developed for cloud customers. Moreover, Adobe revealed at its latest earnings conference call that it was committed to training each of its technical employees in the fundamentals of artificial intelligence. Machine Learning Initiatives and Collaborations A subdivision of AI is machine learning, whereby computers are provided with a learning ability. They use complex algorithms combining large amounts of data to identify hidden patterns and insightful findings. Software models are also used. These are used by computers to apply what they have learnt for practical uses while simultaneously adapting to fresh information. Adobe has also revealed collaborations it has struck with other tech companies, particularly Microsoft ($MSFT), to help achieve its artificial intelligence and machine learning agenda. The Microsoft arrangement would involve integrating vital CRM (customer relationship management) data from both Adobe Cloud and Microsoft Azure cloud. The machine learning by Adobe across the data will give advertisers further insights and enable effective management of advertising across various platforms. There can be more targeted and personalized ad messages created. Another area of collaboration with Microsoft is in sharing core libraries and data models between Sensei and Cortana. There is also collaboration on utilizing Microsoft’s HoloLens virtual reality headset for advertising. Another collaboration Adobe has struck is with e-commerce giant Amazon ($AMZN), which will utilize the latter’s Alexa virtual assistant. Impressive Financial Returns Posted by Adobe All through this period, when it has been striking deals in its transition to a SaaS company, Adobe has managed to post impressive gains. In its latest quarter, Adobe reported record results in earnings, revenue and cash flow. Its net income grew 42% year over year, while its revenue rose 22% during the prior-year quarter. Adobe finished 2016 setting an annual revenue record of $5.85 billion, with recurring revenue being $4.01 billion and deferred revenue being $2.01 billion.
www.tradezero.co
954.944.3885
With Adobe looking to master AI technology, it won’t be long before it tastes success and gains a competitive advantage. Its strategic collaborations with tech giants will help. Though the financial benefits cannot be quantified accurately, it is expected to be a significantly upward rise which should reflect on the stock value as well.
www.tradezero.co
954.944.3885