Adobe throws in towel to Apple in Web software war

(Reuters) - Adobe Systems Inc halted development of its Flash Player for mobile browsers, surrendering to Apple Inc in a war over Web standards as the company surprised investors with a restructuring plan.

While the matter might seem like inside baseball for the average person, it is likely to improve the browsing experiences of tens of millions of iPhone and iPad users, who have trouble accessing sites built with Flash.

That is because Adobe's decision means Web developers who currently use Flash tools to produce Web content will likely move over to the newer HTML5 technology, which Adobe embraced on Wednesday.

Adobe's concession to Apple and its late founder Steve Jobs, who famously derided Flash as an inefficient power-hog, came as the design software specialist warned that revenue growth will slow next year.

That is because the company is scaling back development of some products and shifting toward leasing other types of software via the cloud on a subscription basis, instead of selling licenses up front.

The news, detailed Wednesday at the company's annual analyst day, sent shares in the company tumbling nearly 8 percent. More...

11-10-2011 16:49