Last week Adobe (NASDAQ: ADBE) reported record revenue of $2.20 billion, representing a 24 percent increase year-over-year, for the second quarter of fiscal year 2018 ended June 1, 2018. Subscription revenue represented $1.92 billion in revenue, compared to Product revenue of $151.0 million and Services and Support revenue of $121.2 million. Net income for the quarter was $663.2 million, or $1.33 diluted net income per share (GAAP).
Dana Neuts is Subscription Insider's Senior Staff Writer, covering our daily subscription news as well as member features, case studies, and reports.
Dana is also a writer, editor, marketing professional, speaker and the publisher of iLoveKent.net. Her work has appeared in AARP Bulletin, The Seattle Times, Seattle Business, 425 Business, 425 Magazine, South Sound Magazine, Northwest Travel and more. She is the immediate past president of the Society of Professional Journalists. Her specialties include business writing, community news, senior issues, travel and, of course, subscriptions!
In this week’s subscription headlines, Google reverses its earlier decision to cap a vendor limit, bowing under the pressure of publishers, Michael Ferro interferes with the sale of the L.A. Times and the San Diego Union-Tribune, and GateHouse Media launches a new consumer marketing agency. Also this week, the LA County District Attorney warns of an online streaming-service scam, Volvo launches a nationwide car subscription service, and BuzzFeed is laying off and hiring.
This was a big week for AT&T (NYSE: T) Time Warner. They got the OK from a federal judge to proceed with their massive merger, a $85.4 billion deal, says The New York Times. The Justice Department had tried to block the merger, but Judge Richard J. Leon of U.S. District Court in Washington said the Justice Department had not proven its case that the merger would create unfair competitive advantages for the combined company.
In this week’s Five on Friday, PYMNTS explores how the mission of meal kits – and their business model – is changing, Media Play News think an SVOD shakeout is in the works, Marketing Profs offers advice on marketing a subscription business, LinkedIn shares top subscription jobs, and IAB reports the latest podcast advertising revenue numbers.
Last week SiriusXM Radio Inc. agreed to pay $150 million in unpaid royalties to SoundExchange, Inc., settling all outstanding claims and lawsuits for the period from January 1, 2007 through December 31, 2017. According to a filing with the Securities and Exchange Commission, Sirius XM will pay SoundExchange in a lump sum on or before July 7, 2018, one month after coming to the agreement. SoundExchange is a nonprofit that manages sound recording and music works, including collecting and distributing royalties.
Plume, a pioneer in the world of adaptive WiFi routers, is shifting its business model from one-time purchases for a mesh router to routers available via subscription. According to The Verge, the new subscription service, called Plume Adaptive WiFi, will cost $60 a year, or $200 for a lifetime subscription, plus the cost of the Pods needed to access the WiFi. With a subscription, subscribers will receive continuous, adaptive WiFi for as long as they subscribe, along with deep discounts on Plume Pods and warranties, parental controls, speed tests, access to HomePass and service management. The Verge says existing owners of Plume Pods will be grandfathered in and not subject to the subscription.
After the Facebook-Cambridge Analytica data scandal, many social media users are wary of using Facebook, Twitter and similar platforms for fear that their personal information will be misused or sold. Adblock Plus is trying to restore control to users by notifying users when their data is being tracked by social media sites and to block that social media tracking on Mozilla Firefox and Google Chrome.
During a press conference Saturday at EA Play 2018, Electronic Arts (NASDAQ: EA) announced the launch of Origin Access Premier, a new subscription for Windows-based PC games. Later this summer, EA gamers can join the new subscription tier to get early access to new EA releases including EA Sports Madden NFL 19, EA Sports FIFA 19, Battlefield V, Unravel Two and Anthem, along with 100+ PC games and a 10 percent discount on Origin digital purchases.
In this week’s subscription news, Hulu boots out a few key executives in a major shake-up, IBM offers a SaaS solution for companies looking for GDPR data, and Amazon is introducing subscriptions for Prime Pantry. Also this week, The New Yorker says its pesky paywall has been fixed, mobile phone provider Telstra must pay $10 million for misleading customer with secret subscription charges, and Katz’s Deli is now offering a pastrami subscription box. Yum!
In this week’s Five on Friday, a study shows spending in the App Store has doubled to $42.5 billion, Adweek says GDPR is an opportunity to build trust with customers, Search Data Backup offers best practices for backing up SaaS data, financial experts share opposing opinions about Pandora’s future, and Forbes explore the growing subscription box industry.