Mailing List AE-List@media-motion.tv ? Message #48872
From: Rob Birnholz <absolutemotion@birnholz.com>
Sender: Rob Birnholz <absolutemotion@birnholz.com>
Subject: Re: [AE] CS is DEAD
Date: Tue, 7 May 2013 01:17:53 -0400
To: After Effects Mail List <AE-List@media-motion.tv>
Well, if Todd wants me to elaborate, who am I to say no?

I'm a one man shop and as such I strive to keep things simple. When purchasing software or upgrades in the past I'd simply expense them out on my taxes. Paying for the cloud is not so different-- it's not a purchase exactly, but its still an operating expense. I categorize it the same as I always have, as a software expense. 
I also realized with creative cloud I could charge the cost of each months subscription directly to whatever project I'm on at that time, not much different than billing for music or stock footage expenses. So far, my accountant hasn't seen anything irregular about this. Effectively it sure seems easier to charge the small cost of a Creative Cloud subscription to a project than to ask a client to shell out for a full license of Master Collection.

Regarding the idea of "software ownership". When the Creative Cloud was first introduced, my knee jerk reaction was indeed negative. I'd always "owned" my software, and it seemed that once I paid for it it was mine to use, forever and for free. I would only have to upgrade if I decided I could afford it. It just didn't feel right that that I'd have to suddenly keep paying Adobe a "ransom" in order to continue using the software and accessing my own work.

But that's in fact a myth. We've always been paying to stay current. How else to explain why I have a shelf full of installers for every version of After Effects (and plenty of other apps), almost all long ago abandoned? AE3, 4, 5, 6, 6.5, CS3, 4, 5, 5.5! That's a lot of licenses. I'm a professional in this game, and that means I'm expected to have a working knowledge of the latest tools of the trade (things I'd want anyway). I collaborate frequently, and I can't be the guy who says "I'm still on CS4, is that OK?".  A cloud subscription actually makes it cheaper and easier to stay current, as opposed to buying new "perpetual licenses" every 18-24 months. And cloud licenses are portable, a big plus if I have to work elsewhere for a while.

But about that emotional need to "own" the software. Really. First, as I pointed out each version is usually outdated after a year or two anyway, and second, the day will come when I simply don't need to open any of those old files anymore. I was only half joking when I mentioned retirement (like that will ever happen!), but who knows what the future holds. Everything changes, and that seems especially so in this industry. When the time comes for me to move on to something else, it will likely sneak up as opposed to occurring like some kind of scheduled event. That's just how things happen. A lot of good all those perpetual licenses will do me then. I'm sure if someone calls years from now to revive some ancient project there will be somebody somewhere who can open it. Suddenly finding myself desperate and unable to open a project file one day is really not something I believe will ever happen.

I understand some people have special circumstances, but 98% of the fears and complaints I read are either uninformed emotional reactions or based on misinformation. This is not the end of the world.

So my advice (FWIW) regarding the Creative Cloud is: Keep Calm and Carry On. I'd make a graphic but that'd be so yesterday.


(In the spirit of full disclosure, I have on occasion received NFR software licenses in exchange for testing or demonstrating Adobe products, but that doesn't change my perspective on this topic)


Rob Birnholz
Absolute Motion Graphics, Inc. 
Longwood, Florida

(sent from a mobile device)

On May 6, 2013, at 10:38 PM, Todd Kopriva <toddkopriva@gmail.com> wrote:

Rob,

Would you mind explaining to folks what you've figured out regarding taxes and billing with subscription software? You have a very interesting (and I think universally useful) take on this.

On Mon, May 6, 2013 at 4:08 PM, Rob Birnholz <absolutemotion@birnholz.com> wrote:
I've been "on the cloud" for a year now
 
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