Adobe Systems Incorporated recently announced a strategic alliance with Verizon Wireless to start a mobile ecosystem built around Flash technology that will allow developers to create new interactive mobile content experiences for Verizon Wireless customers.
According to Adobe, Verizon Wireless will be the first US wireless operator to offer mobile phones incorporating Flash technology, which is used to design animated graphics, web sites, movies, video games and web advertisements to deliver a customized user experience. Developers will be able to create and offer new rich content, applications and data services based on Flash and targeted at these handsets.
The new service will allow customers to more quickly view graphic images on their Verizon cell phone screens. For Adobe, it pushes the company beyond computers and into the potentially lucrative mobile phone market, Adobe Vice President Gary Kovacs said.
Flash is software used to design animated graphics, slick Web sites, video games, movies and advertisements on the Web.
"This is the first U.S.-based Flash service for mobile phones," he said. "It will be much easier to get at data."
At Verizon Wireless we recognize that an exciting and simple to use mobile experience will accelerate customer adoption of new data services now offered across our network, said John Stratton, vice president and chief marketing officer for Verizon Wireless. "Our relationship with Adobe will help us deliver a rich, seamless and branded experience across mobile devices and at www.verizonwireless.com."
Pacific Crest said in a research note that the deal marks a significant win for San Jose, Calif.-based Adobe. It will help the company strike more deals with other carriers in the United States. Mobile phone companies in Japan such as NTT DoCoMo Inc. already offer Flash content but Pacific Crest said success in the United States could give Adobe a big revenue bump.
"Verizon Wireless is an industry innovator and is pioneering new consumer content," said Al Ramadan, senior vice president, Mobile and Device Solutions Business Unit at Adobe. "This relationship marks an important point in the evolution of the wireless experience and provides an unique on-ramp for the millions of web designers who have been waiting to bring their creative ideas to our connected mobile world."
The powerful combination of Verizon Wireless and Adobe will enable the mobile developer community and content providers to target new handsets from the leading wireless operator, utilizing the design and development environments of choice for millions of designers and developers around the world — Adobe Creative Suite and Macromedia Studio from Adobe. Using these industry standard creative tools, the development community can express their creativity and bring engaging mobile experiences to Verizon Wireless subscribers.
Steve Lidberg estimated that the move into mobile phone animation could double the number of software programmers using Flash from its current base of 1 million developers. That could translate into about $1 billion in additional revenue for Adobe, the Pacific Crest analyst forecast.
The deal fulfills one of the goals spelled out by Adobe when it acquired Macromedia for $3.4 billion late in 2005.
Macromedia complements Adobe’s strength in editing and distributing fixed content such as text, photos, and graphics. Macromedia has the top position in animation tools for creating graphics and advertising.
Developers interested in learning more about using Adobe products and technology to create content for mobile devices can visit www.vzwdevelopers.com. Further information is also available from Adobe at www.macromedia.com/devnet/devices/verizon.html.
Adobe, which did not disclose financial details or potential launch dates, said the agreement will make Verizon the first wireless operator in the United States to offer mobile phones with built-in Flash technology.