Adobe exec likened hidden cloud subscription exit fees to 'heroin', says FTC

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Adobe exec likened hidden cloud subscription exit fees to 'heroin', says FTC
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Read the unredacted complaint against Photoshop giant and its software plans

Adobe's controversial billing practices and punitive fees for those terminating their subscriptions early follow from the software titan's addiction to revenue, the FTC has said. filing by the US watchdog in its lawsuit against the Photoshop maker, the FTC claims Adobe executives know its"inadequate ...

But on Tuesday, the judge overseeing the case denied Adobe's July 3 motion to keep portions of the complaint sealed – a request subsequently trimmed to cover just some financial information and executive address information . While the APM plan would seem to offer a monthly saving of $27.50 compared to the monthly plan, the fee for canceling the APM plan – potentially hundreds of dollars – would change that calculation. The fee is 50 percent of the remaining balance, so if you cancel with six months remaining, you would have to pay a penalty covering three months.

Providing consistent innovation through flexible subscription plans that fit different needs, timelines and budgets is the best way to serve millions of customers. We strongly disagree with this lawsuit's characterization of our business and we will refute the FTC's claims in court. The complaint is taking an offhand comment out of context from years ago, out of the tens of thousands of documents Adobe provided to the FTC.

Adobe's misconduct does not stop with concealing key APM plan terms to maximize profits. Adobe utilizes other onerous cancellation procedures to trap consumers in subscriptions they no longer want. Consumers attempting to cancel online are forced to navigate numerous hurdles, including hidden cancellation buttons and multiple unnecessary steps such as pages devoted to password reentry, retention offers, surveys, and warnings.

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