Adobe Exec: Early Termination Fees Are 'Like Heroin'

Longtime Slashdot reader sandbagger shares a report from The Verge: Early termination fees are "a bit like heroin for Adobe," according to an Adobe executive quoted in the FTC's newly unredacted complaint against the company for allegedly hiding fees and making it too hard to cancel Creative Cloud. "There is absolutely no way to kill off ETF or talk about it more obviously" in the order flow without "taking a big business hit," this executive said. That's the big reveal in the unredacted complaint, which also contains previously unseen allegations that Adobe was internally aware of studies showing its order and cancellation flows were too complicated and customers were unhappy with surprise early termination fees. In response to the quote, Adobe's general counsel and chief trust officer, Dana Rao, said that he was "disappointed in the way they're continuing to take comments out of context from non-executive employees from years ago to make their case." Rao added that the person quoted was not on the leadership team that reports to CEO Shantanu Narayen and that whether to charge early termination fees would "not be their decision." The early termination fees in the FTC case represent "less than half a percent of our annual revenue," Rao told The Verge. "It doesn't drive our business, it doesn't drive our business decisions."

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