Adobe Cuts 600 Jobs, Warns of Shortfall Amid Financial Crisis

Adobe Cuts 600 Jobs, Warns of Shortfall Amid Financial Crisis

Written By
Darryl K. Taft
Darryl K. Taft
Dec 4, 2008
1 minute read
eWeek content and product recommendations are editorially independent. We may make money when you click on links to our partners. Learn More

Adobe Systems provided preliminary financial results for its fourth quarter and said the company has fallen short of projects and will eliminate 600 jobs.

Adobe, maker of popular design and development tools for creative professionals, said preliminary results for the fiscal fourth quarter ended Nov. 28 show revenue of between $912 million and $915 million, well below the $925 million to $955 million the company projected.

“The global economic crisis significantly impacted our revenue during the fourth quarter,” said Shantanu Narayen, the company’s chief executive, in a statement. “We have taken action to reduce our operating costs and fine-tune the focus of our resources on key strategic priorities.”

The company cited weaker-than-expected demand for its new Creative Suite 4 family of products that began shipping in the fourth quarter in North America and Europe as the main cause for the shortfall in fourth-quarter revenue.

Adobe also announced a restructuring, resulting in the loss of 600 jobs, or 8 percent of its work force.

Moreover, the restructuring will result in anticipated pre-tax charges totaling approximately $44 million to $50 million, Adobe officials said. The company expects approximately $28 million to $30 million of the restructuring charges to be recorded in the fourth quarter of fiscal year 2008.

Meanwhile, according to published reports, Adobe will not be exhibiting on the show floor at the Macworld Conference & Expo 2009 to be held in January.

eWeek Logo

eWeek has the latest technology news and analysis, buying guides, and product reviews for IT professionals and technology buyers. The site's focus is on innovative solutions and covering in-depth technical content. eWeek stays on the cutting edge of technology news and IT trends through interviews and expert analysis. Gain insight from top innovators and thought leaders in the fields of IT, business, enterprise software, startups, and more.

Property of TechnologyAdvice. © 2026 TechnologyAdvice. All Rights Reserved

Advertiser Disclosure: Some of the products that appear on this site are from companies from which TechnologyAdvice receives compensation. This compensation may impact how and where products appear on this site including, for example, the order in which they appear. TechnologyAdvice does not include all companies or all types of products available in the marketplace.