Interesting Move or Risky Bet?
Interesting Move or Risky Bet?
Just saw that is spinning off its generative AI video team into a separate company while keeping an ownership stake and licensing rights.
On one hand, it could help cut costs and improve margins pretty quickly. On the other, they're moving away from a part of AI that could become valuable down the road.
Curious what everyone thinks. Is this a smart efficiency play or a sign is prioritizing short-term results?
Could be both. Spinning it off helps cut costs and sharpen focus today, but if generative video becomes huge later, investors will wonder if they gave up too much too soon.
It could be a strategic move if they can keep upside through ownership and licensing while improving efficiency. The key will be whether the spin-off creates more value independently or if it limits control over a future AI growth area. Execution matters here.
i'm curious to see if adobe can actually maintain its lead in the creative space without having that team in-house. it feels like a bit of a gamble on their future tech.
