Adobe plans on restructuring itself and to do this, they're planning on investing heavily in digital media and digital marketing. In order to have resources for this change up, Adobe is planning on re-planning their entire business. 750 of its employees around North America and Europe will face termination, as a result. Adobe said in a press release describing the human capital cut, "We expect to record in the aggregate approximately $87 million to $94 million in pre-tax restructuring charges. Included in these charges are (i) approximately $17 million to $19 million primarily related to the consolidation of leased facilities and (ii) approximately $70 million to $75 million related to employee severance arrangements."
Adobe's handing out the pink slips
Adobe's digital media growth focuses on content creation and publishing through its recently announced Creative Cloud. Elements of Creative Cloud include pushing improvements in Creative Suite, while developing touch-based apps for smart devices, greater investment in HTML5 through tools like Dreamweaver and Edge, greater focus on Flash, investing in media monetization, particularly with video advertising, and increasing its focus on electronic contacts and signatures through Acrobat Reader, as well as its recently purchased EchoSign.
The digital marketing business will revolve around elements like focus on analytics, personalizing digital content across digital channels, multichannel campaign management and media monetization solutions for content publishers. The company will discuss their plans in more depth at their Financial Analyst meeting in New York, later today.
Published Date: Nov 09, 2011 10:59 am | Updated Date: Nov 09, 2011 10:59 am