Adobe Shares Set to Rally on AI-Driven Sales Success

Show Transcript
Bloomberg Jun 14 08:52 · 9927 Views

Adobe projected strong future sales for its creative products, setting up shares for their biggest gain in about four years. Matthew Bloxham of Bloomberg Intelligence has more on Bloomberg Television.

Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more

Transcript

  • 00:00 Now, I thought Adobe was supposed to be one of these companies that
  • 00:03 was threatened
  • 00:04 by AI, that AI could replace.
  • 00:06 Instead, they're using it.
  • 00:08 What exactly went went on?
  • 00:11 Yeah, It's interesting, isn't it?
  • 00:12 I mean, it's
  • 00:13 a company that investors are really struggling to kind of put in the right bucket.
  • 00:17 You know, I think going into the results, as you say, people were very worried that we're going to hear them talk about a commentary that was showing that pressure we're talking about from generative AI tools
  • 00:27 that lots of other, you know, companies who haven't heard of a year ago are
  • 00:30 now developing.
  • 00:31 But I think, you
  • 00:32 know, they're being, they've done a very good job.
  • 00:34 Fireflies, they're kind of generous for AI engine if you like integrating that into their suite of creative
  • 00:40 products, things like Photoshop
  • 00:42 and that's
  • 00:44 landing really well with I'd say professional
  • 00:48 users of these products.
  • 00:50 So I think obviously a lot of consumers
  • 00:52 are taking advantage of advantage of things like mid journey, which are free to kind of get more creative, but professionals
  • 00:58 are still trusting people like Adobe to deliver what they need.
  • 01:01 And that's to some degree because of these issues around a
  • 01:05 copyright.
  • 01:06 And, you know,
  • 01:07 the the Adobe Systems, certainly for the image generation are trained
  • 01:11 on a, a kind of copyright safe, if you like, environment.
  • 01:14 And that's
  • 01:15 giving confidence to business users
  • 01:17 that they're not going to suddenly land in some kind of legal issues further down the line.
  • 01:20 So, you know, the products are developing
  • 01:23 a landing.
  • 01:23 Well, they're really taking advantage of their own investments in generative AI.
  • 01:27 But even I think in the consumer space,
  • 01:30 they showed signs just or overnight that actually they're getting some traction against some of those newer competitors.
  • 01:36 So think this was definitely
  • 01:38 to the market in terms of the positive and upbeat
  • 01:41 the company provided.