Adobe Case

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1.How was Postscript established as a de facto standard?
John Warnock and Charles Geschke founded Adobe Systems Inc. in 1982. Its first product is PostScript. It has three parts:(1) a page description language, (2) an interpreter and (3) fonts. Adobe make the PostScript language open to anyone for free, and the language was meticulously documented in "The red book", and strong technical support was provided to third-party developers working with the language. As a result, the number of applications supporting PostScript increased dramatically, from 180 in 1986 to over 5000 by 1991. Adobe licensed PostScript interpreter technology to printer and imagesetter manufacturers on a royalty basis. And to accelerate the diffusion of PostScript output devices, Adobe let printer manufacturers interested in licensing PostScript had free access to its design which is a boilerplate controller based on the Motorola 68000 chip. Therefore the development time for PostScript products is accelerated. What's more, Adobe engineers often worked on joint product development teams with customers in order to help with the design of customized PostScript interpreters. This lead to the increase in the number of PostScript from just one--Apple in 1985 to 60 in 1994. PostScript provided a way for describing high-quality professional fonts in a standard format. Instead of being used for a font on the specific output device for which it was designed, PostScript font could be used on any PostScript output device. And PostScript also significantly increased the ability to manipulate fonts, allowing for scaling and rotating. And Adobe invested a large amount in creating its own library of PostScript fonts, making the number of PostScript fonts in the Adobe collection increased from 35 in 1985 to 2000 in 1994. 2.How did Adobe make money from Postscript, despite its being an "open" standard? Adobe did this mainly through two ways: ownership and leveraging. The PostScript products were firstly introduced in 1985 through a strategic alliance among Adobe, Apple, Aldus and Linotype. Firstly, Aldus PageMaker software enabled the creation of documents that integrated text and graphics, while PageMaker required a PostScript device for printing. Secondly, the allele LaserWriter was the first PostScript printer and incorporated a PostScript interpreter licensed from Adobe, as I mentioned in answer to question 1. Finally, Linotype licensed a set of its most popular fonts to Adobe so that Adobe could offer them in PostScript format, and it also introduced a high-end PostScript imagesetter so PageMaker documents could be used in professional publishing. As a result, by 1989 PostScript had owned almost 100%of high-end imagesetters on the market it incorporated. Adobe introduced Adobe Illustrator in March 1987 and gained wide acceptance among graphic artists, which helped to create demand for PostScript printers by creasing PostScript output. Adobe also acquired a number of software products inkling Photoshop and Aldus PageMaker, which are very successful, with Photoshop capturing more than 90% of the market for photo-editing software. Through ownership and leveraging of the PostScript standard, Adobe's revenue had grown from $2.2 million in 1984 to $762 million in 1995. And Adobe's share price also increased at an average annual rate of 29% between when the firm went public in 1995. 3.Which firm is currently in a stronger position to control de facto standards in the eBook space: Adobe or Microsoft? Adobe had an early lead over Microsoft both in content available in PDF format and readers capable of displaying or printing PDF content. but Microsoft is moving aggressively into the eBook space. The cast looked into six factors to illustrate its point. Firstly, content with publishers. Publisher wanted a single open eBook standard, but being afraid of left behind, they mostly jumped into the eBook market without a common standard.Both Adobe and Microsoft were pursuing...
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