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by aurareturn 803 days ago
I used to think Adobe was in trouble with Stable Diffusion and Midjourney.

Now I realize that Adobe knows how to make money. They'll just add the AI models to Photoshop, Premier, etc and charge an extra $50/month and voila.

However, Stable Diffusion and Midjourney does not have a solid vehicle to making money.

Maybe in the long term, no one will care about using Photoshop anymore. But we're not even close to there yet. AI models seem to make Photoshop even more valuable.

GPT4 is different. OpenAI has made monetization its goal from the start by charging $20/month for GPT4 in ChatGPT and charging loads of money for the API. Also, they have the backing of Microsoft.

2 comments

I’ve attended two local Adobe Create Now events where they demoed their new AI functionality. It’s so well integrated- I’m impressed despite usually disliking them. The key point I got from both events was their emphasis on training exclusively on content they already had licensed through adobe stock so you wouldn’t need to worry about accidentally infringing so much
Yeah this is my experience as well, gen AI is so well integrated into Photoshop. It's the only software I've used to far where AI integration actually improved the experience. Removing things from pictures used to be a painful process where I'd use the spot heal tool as much as possible then touch up the bad bits manually. Now it's a selection and a sentence, and I have multiple variations I could never have hoped to replicate manually. Same with adding things into photos. Both generating them and blending them in.
What evidence do you see indicating that the 20/month is actually profitable? You make the claim, but you have not backed it up.

They could easily be eating a loss on GPT+ and the GPT4 AI. They have billions in runway to do that. I have not seen any reports about their expenses or profitability. Perhaps you can link me to some hard facts.

Until I see real reason to think otherwise, I'll assume there is a reasonable risk of a price hike

Right now they could hike prices, and I'd have nowhere else to go, because nothing else competes with GPT4.

Anthropic’s Claude Opus gives GPT4 a run for its money.