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Adobe and the new AI product cycle

Writer: Abacus ResearchAbacus Research

We want to be owners of ADBE as we are looking for platforms with AI products that are hitting the market soon, ideally right now, and where workflow adoption is easy. Plus Adobe does not seem to have much in the share price for AI success.

  • The innovation that Adobe has shown in the last few months is amazing, the speed and quality of Firefly's launch is highly unusual from a company as big as Adobe, suggesting a new product cycle is imminent.

  • ADBE is in an industry vertical that is clearly at the cutting edge of workflow adoption, not all verticals will benefit as fast.

In our opinion LLMs are tools, and tools need distribution. SAAS Platforms are best positioned to benefit from AI tools as they own the distribution.

SAAS growth in general will increase again due to an AI product cycle after the cyclical slowdown.


 

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