Microsoft to Buy Adobe? Photoshop Users Running Scared!

by Michael Comeau on October 7, 2010

Could there one day be a Microsoft logo on these boxes?

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Shares of Adobe (ADBE) shot up 11.5% today on rumors Microsoft (MSFT) could make a bid for the guys behind Photoshop.

The New York Times reported that Microsoft’s Steve Ballmer met in ‘secret’ with Shantanu Narayen:

The meeting, which lasted over an hour, covered a number of topics, but one of the main thrusts of the discussion was Apple and its control of the mobile phone market and how the two companies could partner in the battle against Apple. A possible acquisition of Adobe by Microsoft were among the options.

The New York Times learned about these meetings through employees and consultants to the companies who were involved in the discussions that took place or familiar with their organization, all of whom asked not to be identified as they are unauthorized to speak publicly by Microsoft or Adobe. Those involved in the meeting, from its logistical set up to the discussion that took place between the two companies, were instructed to stay very quiet about the two companies holding council.

Hmmm, I wonder if we’re going to see any heads roll because it sounds like a number of people failed to keep their mouths shut.

Intentional leak? Hmmm, crazier things have happened…

Now Apple and Adobe are feuding – the former’s refusal to allow Adobe’s Flash technology on the iPhone has been a major point of contention.

However, Microsoft’s upcoming Windows Phone 7 operating system doesn’t support Flash either.

So could a Microsoft-for-Adobe deal be in the works?

You never know – Microsoft could see Adobe’s powerhouse Creative Suite products like Photoshop as prime areas for long-term growth.

Now what’s really interesting is that creative professionals like photographers, videographers, and graphic designers tend to use Adobe software on Macs.

For antitrust and public-relations reasons, Microsoft probably couldn’t pull Mac support for Adobe products. But needless to say, such scenario would have to be a long-term concern for Apple.

disclosure: long AAPL

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