Adobe Merges Business Units Serving PCs, Mobile

SAN FRANCISCO, April 7 (Reuters) – Adobe Systems Inc(ADBE.O: Quote, Profile, Research) said on Monday it was putting under one roofbusinesses selling software for computers, phones and consumerelectronics to make them run on a single technology platform.

The announcement is part of a series of managementrestructuring moves Adobe is making following the plannedretirement of two long-time executives, effective May 1. Aspokeswoman said no employee job losses would result.

The move represents the further consolidation of its 2005Macromedia acquisition with the broader Adobe organizationwhile also recognizing the growing convergence of once-distinctsoftware and the need for it to run across a range of devices.

The merging of the different business units may appear onits face to be simply an organizational restructuring, wherethe Mobile and Devices Business Unit will be folded underAdobe’s Experience and Technology group.

But the changes also are part of Adobe’s effort to create aunified technical underpinning for software that serveseveryone from Japanese phone users to YouTube watchers.

Adobe said its mobile and devices business unit is joiningthe experience and technology group led by Adobe ChiefTechnology Officer Kevin Lynch, a former Macromedia executive.

Gary Kovacs, vice president of product management andmarketing for the mobile and devices unit, has been promoted tovice president and general manager of the business unit andwill report to Lynch from May 1.

Kovacs takes over for Senior Vice President Al Ramadan, whois leaving Adobe effective April 30, after nearly 10 years withAdobe and, before that, Macromedia. Kovacs was previously vicepresident of product marketing at Macromedia.

Separately, the company said 16-year Adobe and Macromediaveteran David Mendels, senior vice president of its BusinessProductivity Business Unit, would leave at the month’s end. Thedivision is best known for its Adobe Acrobat documentmanagement software.

Mendels will be replaced May 1 by Rob Tarkoff, senior vicepresident of corporate development, who joined the company lastyear from EMC Corp (EMC.N: Quote, Profile, Research) and, before that, Documentum.

Paul Weiskopf, Adobe’s vice president of strategy, mergersand acquisitions and investments, will succeed Tarkoff.

Weiskopf joined Adobe in 2005, where he worked with seniormanagement on long-term investment strategies and played a keyrole in the acquisitions of Macromedia, Scene 7 and VirtualUbiquity. Previously he was a corporate strategist atHewlett-Packard Co (HPQ.N: Quote, Profile, Research).

Shares of Adobe closed 5 cents lower at $36.92 in regularsession trading on Nasdaq ahead of the news. Following theannouncement, the shares traded up 21 cents at $37.14.(Editing by Braden Reddall)