Adobe 2000 Annual Report Download - page 30

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REVENUE
2000 CHANGE 1999 CHANGE 1998
Revenue $ 1,266.4 25% $ 1,015.4 13% $ 894.8
Revenue is categorized into four major operating segments: Web Publishing, Cross-media
Publishing, ePaper Solutions, and OEM PostScript and Other. The Web Publishing,
Cross-media Publishing, and ePaper Solutions segments include application products
revenue that is derived predominantly from shipments of application software programs
marketed through retail, VAR, and OEM distribution channels, as well as direct to end
users through Adobe call centers and our Web site. The OEM PostScript and Other
segment includes licensing revenue, which is made up of royalties received from OEM
partners who ship products containing Adobe’s PostScript technology, and includes
revenue from divested businesses.
Revenue from our Web Publishing segment is derived primarily from the licensing of the
following application products: Adobe Photoshop, Adobe Premiere, After Effects, GoLive,
Adobe PhotoDeluxe®
, Adobe Web Collection, Adobe Dynamic Media Collection, PageMill® ,
LiveMotion (formerly ImageStyler™), and ActiveShare™ . Cross-media Publishing revenue
comes primarily from the licensing of the following application products: Adobe
Illustrator, PageMaker, InDesign, FrameMaker, Adobe Publishing Collection, Adobe
Design Collection, Adobe Type Manager®
, Adobe Type Library, PressReady™ , Adobe Font
Folio™ , InCopy™ , Acrobat InProduction™ , Adobe Dimensions® , and Streamline™ . The ePaper
Solutions segment is derived from the licensing of Adobe Acrobat software and other
Acrobat related technologies.
For further information regarding our operating segments, see Note 16 of the Notes to
Consolidated Financial Statements.
The following discussion (presented in millions, except per share amounts) should be read in conjunction
with the consolidated financial statements and notes thereto.
In addition to historical information, this Annual Report contains forward-looking statements that
involve risks and uncertainties that could cause actual results to differ materially. Factors that might
cause or contribute to such differences include, but are not limited to, those discussed in the section
entitled “Management’s Discussion and Analysis of Financial Condition and Results of Operations—
Factors That May Affect Future Results of Operations.” You should carefully review the risks described
in other documents we file from time to time with the Securities and Exchange Commission, including
the Quarterly Reports on Form 10-Q to be filed in 2001. When used in this report, the words “expects,”
“anticipates,” “intends,” “plans,” “believes,” “seeks,” “targets,” “estimates,” and similar expressions
are generally intended to identify forward-looking statements. You should not place undue reliance
on these forward-looking statements, which speak only as of the date of this Annual Report. We under-
take no obligation to publicly release any revisions to the forward-looking statements or reflect events
or circumstances after the date of this document.
Results of Operations
OVERVIEW
Founded in 1982, Adobe Systems Incorporated (“Adobe”) is a provider of graphic design,
publishing, and imaging software for Web and print production. We offer a market-
leading line of application software products, type products, and content for creating,
distributing, and managing information of all types. We license our technology to major
hardware manufacturers, software developers, and service providers, and we offer
integrated software solutions to businesses of all sizes. We distribute our products
through a network of distributors and dealers, value-added resellers (“VA R s ”), systems
integrators, and original equipment manufacturer (“OEM”) partners; direct to end users
through Adobe call centers; and through our own Web site at www.adobe.com. We have
operations in the Americas; Europe, Middle East, and Africa (“EMEA”); and Asia.
Management’s Discussion and Analysis of Financial Condition and Results of Operations
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