Adobe Discontinues Flash For Android 4.1 Jelly Bean

July 6th, 2012 by Trefis Team
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Adobe (NASDAQ:ADBE) has announced that it will not support Flash for the latest release of the Android OS. It will continue to support Flash players already installed in older versions of the OS and is likely to concentrate on other web standards such as the HTML5. Adobe is bracing itself for a post Flash world on new age devices such as tablets and smart-phones where it doesn’t have the stranglehold on rich content delivery that it does with PCs.

Adobe claims that the new web standards match ~80% of Adobes features and it is looking to other web standards now. Though the Flash Players contribution to Adobes revenues are negligible and accounts for less than 1% of its revenues. [1]See our complete analysis of Adobe here

Focus on Adobe Air And High End Gaming

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The tablet and smartphone market is taking to Adobe Air quite well and it is likely that Adobe will concentrate on this platform for these devices while concentrating on developing the high end features of the Flash Player for the PC market.  The premium features for the Flash Player has a lot of potential to disrupt console gaming. It will allow game publishers using native C/C++ console game engines to target the Flash Player via the Internet.

This opens up a market of potentially 1 billion computers and won’t require an install. Premium features include both the domain memory and the Stage3D GPU hardware acceleration when used in combination and would be charged by Adobe to game developers. The Domain memory allows cross-compiled C/C++ to run on a browser via the Flash Player and would include non-ActionScript game engines by third parties. The high end gaming market is potentially the largest growth market for Adobe and is likely to bring in revenues from the Flash Player.

We currently have a $33.58 Trefis Price Estimate for Adobe which is slightly above than the current market.

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Notes:
  1. Adobe: Web Standard Match 80 percent of Flash features, news.cnet.com, July 2, 2012 [↩]