Adobe Ups the Pressure on Apple - TheStreet

Adobe Ups the Pressure on Apple

Adobe is increasing the pressure on Apple, wielding Motorola's new Droid X and the Android OS as a cudgel.
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SAN JOSE, Calif. (

TheStreet

) --

Adobe

(AAPL) - Get Report

is increasing the pressure on

Apple

(AAPL) - Get Report

, wielding

Motorola's

(MOT)

new Droid X and the Android operating system as a cudgel to challenge the iPhone.

The software maker's CEO, Shantanu Narayen, will join top execs from Motorola,

Google

(GOOG) - Get Report

and

Verizon

(VZ) - Get Report

on stage in New York later today to launch the next-generation Droid phone.

TheStreet

will be covering the

Droid X launch live

, starting at 1 p.m. EDT.

Motorola Droid X

With a 4.4-inch screen and an 8-megapixel camera, the Android-powered

Droid X

is expected to join

HTC's

Evo 4G and the iPhone 4 in the pantheon of latest, greatest, smartphones.

More on Apple Cramer: The Future of Apple

On Monday Adobe also announced Flash Player 10.1 for mobile, which will be available for smartphones and tablets once users are able to upgrade to Android 2.2, the latest version of

Google's

(GOOG) - Get Report

mobile operating system. The OS is code-named "Froyo," and the blogosphere has been rife with chatter that the Android 2.2 launch is imminent.

According to Adobe, devices supporting Froyo and Flash Player 10.1 will likely include the

Dell

(DELL) - Get Report

Streak and Google's Nexus One, as well as

HTC's

Evo, Desire and Incredible phones. In addition to Motorola's Droid, the company's Milestone device will support Froyo and Flash Player 10.1, as well as

Samsung's

soon-to-be launched Galaxy S.

Adobe has become embroiled in a war of words with Apple after the consumer tech giant

shunned Flash technology on both the iPad and iPhone.

The move prompted a

very public bout of mud-slinging between the two companies

, who are also long-standing partners.

The initial signs, however, suggest that the Apple spat has done little to harm Adobe's business. Last night Adobe

blew past Wall Street's estimates

in its

second-quarter results

, boosted by sales of its new

Creative Suite (CS) 5 software.

During the conference call to discuss the results, Narayen said that Adobe has not seen any impact from the dispute with Apple, and the software maker is clearly ramping up its Android efforts. Unsurprisingly, Apple rivals Google and Motorola have welcomed Adobe and its popular Flash technology with open arms.

Apple, for its part, is pushing the

HTML 5 Web standard as an alternative to Flash,

and investors are clearly spooked by the tech giant's anti-Flash stance. Despite strong results, Adobe's stock fell $1.26, or 3.85%, to $31.50 in Tuesday trading.

Analysts, however, think that Adobe still has plenty of momentum.

"We recommend this stock because we believe Adobe's release of Flash Player 10.1 and partnerships with Apple's competitors should help establish an equilibrium between Flash and HTML5," wrote Pat Walravens, an analyst at JMP Securities, in a note released on Wednesday. "The lasting value of Adobe's software franchise should be quite evident."

Both UBS and Goldman have

raised their Adobe estimates through 2011

, and JMP maintained its 'Market Outperform' rating and $46 price target for the company.

-- Reported by James Rogers in New York

Follow James Rogers on

Twitter

.