For those of you that don’t know me, my name is Dylan Jorgensen and because this is our first investor meeting as your new CEO of Adobe Systems Incorporated,  I want to start off the presentation by sharing a simple overview of my vision for Adobe going forward.

I have been watching a lot of technology trends but I see one in particular that has potential to drastically affect Adobe’s future profits. That is the trends of secondary software purchases like ours being bought and distributed through closed channels like iTunes. Because this type of system is beneficial to both customer and distributer I see the vast majority of future software purchases soon being made though only a handful of online distributors.

Apples current iTunes model has them taking a 30% cut in the products sale price for distribution. If Apple decided tomorrow they would not allow any programs to run on the Mac that were not sold through their distribution system we would lose $620 million in revenue over-night. And don’t think Apple can’t do that, it would be highly profitable for them. 

I know we are not there now and trust me I am working around the clock to ensure that when that day comes we have long term contracts with every potential major distribution channel out there. Including but limited to Amazon, Microsoft, Apple & Google.

My problem now is to get good distribution Adobe will need more leverage at the negotiating table. So I have decided it is time for Adobe to expand its eco system by maintaining our own proprietary operating system, web browser and stand alone production machines. We can do this at a reasonable cost by expanding our current hardware optimization team and building on top of open source Lynix Operating System and Firefox web browser. 

Today I have the pleasure of introducing you to what we at Adobe are affectionately calling “The Suit Machines” Adobe will be launching these 3 stand alone computer units at the end of next year. We will be filling and distributing orders online though our own website and partnerships with Dell.com and Amazon.com. We will also be distributing the machines locally through retail merchants Best Buy, Target & Costco.

Forget about crashes, slow performance or system complications as all of these systems come pre-tested and perfectly configured to optimize solid state raid hard drives, the latest nVidia graphics cards and a licensed version of our entire Adobe suite.

Our suite will run lighting fast because our engineers will stripped it down optimize only what is necessary and the Firefox web browser will feature all the security, networking and compatibility you have to know and love.

There are a lot of logistic details that can be found in your investor handout but the main point is if future distribution networks squeeze too tight we run the numbers, cut ties and build out our own distribution system on our own hardware. We also open 2 new revenue streams with hardware markup & distributing complementary 3rd party software.

So in conclusion I want everyone to know we are going to continue to make the best software for the Mac & PC but these new machines, will showcase the best of Adobe and will ensure we maintain control of our future.

Trust me, It is a good time to own Adobe stock.