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Adobe is looking to stall falling sales and profit by entering into a new market: analytics. But rather looking to R&D, Adobe is instead coughing up $1.8 billion for analytics leader Omniture. This is the largest acquisition by Adobe since the purchase of Macromedia for $3 billion in 2005.

The acquisition has puzzled many, since Adobe and Omniture products really have no natural cooperation. There have been comments about the measurement capabilities that Omniture will give to content built with Adobe products. But in the end the entire deal revolves around two words: recurring revenue. Adobe's quarterly earnings have fallen due to declining sales of software licenses, and the SaaS model of Omniture will bring the company a recurring stream of revenue.

Adobe CTO Kevin Lynch said at a company event for analysts today that a full featured version of Flash for mobile phones will be available in beta by the end of this year and by early next year the technology will be making use of multi-touch and accelerometer features on smart phones.

Ted Patrick, Adobe's Senior Manager of Developer Communities, put it like this: "I think we will see Flash on different devices support the soul of the device in capabilities and APIs" - including GPS. That's an exciting trajectory and more than we've heard before. Full Flash on phones by the end of this year is more or less on schedule, but the integration of these physical features certainly revs up the imagination.

Microsoft's Silverlight 3 and Expression 3 were released on July 9th to favorable reviews. The original Silverlight shipped in Fall 2007 as Microsoft's first programmable web browser plug-in. It's a 4MB Flash/Flex competitor that runs on Mac OS, Windows, Linux, and mobile devices. While Flash definitely holds the market share for machine installs, according to Microsoft, "In less than nine months since its release, more than 1 in 3 Internet devices now have Silverlight 2 installed."

GridIron Software has finally brought Flow, its visual workflow manager, out of public beta.

This first stable version available for purchase ups the ante by allowing groups to collaborate on a workflow via the Share Maps feature, as well as adding direct access to Flow from within Adobe applications.

Flow was created with the help of visual designer Mark Coleran, who is known for his work on films such as The World Is Not Enough and the Bourne series. Though it's aimed squarely at creative professionals, Flow is probably the most advanced workflow manager out there, and is well worth a closer look by almost anyone.

Today, Adobe announced that their online office suite at Acrobat.com is moving out of beta and they will begin offering both free and paid subscriptions to the web-based suite of applications. For consumers, the change won't have that much of an impact since the core services at Acrobat.com will remain free: Buzzword (the word processor), Presentations (slideshows, still in beta), and Tables (spreadsheets, new today). However, business users will now face a dilemma as Adobe begins to charge for PDF conversion as well as their web meetings product, Adobe ConnectNow.

Financial services company Morgan Stanley released an incredibly ambitious new application this morning called Matix and many of its features will make hard-core web users hopeful that apps like this will emerge in other sectors as well. Matrix is a Rich Internet Application, or software that sits on the desktop but leverages web connectivity, and it's pretty as can be.

Adobe worked closely with the company to create what it believes is an app that pushes the envelope with regard to what can be done with Adobe technology. We believe there are a number of trends in play here that go beyond Adobe as well and are likely to be key features for many apps in the future.

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Adobe today announced that it has partnered with a number of prominent content creators and hardware manufacturers to bring its Flash platform to the living room. As a part of this initiative, Adobe will release a new version of Flash that will be optimized to run on set-top boxes, Internet-enabled TVs, and Blu-ray players. Among Adobe's partners are Broadcom, Comcast, Intel, Netflix, The New York Times Company, and Disney. The company expects that these companies will release the first Flash-enabled devices in the second half of 2009.

Adobe and Lexcycle, the company behind the popular Stanza eBook application, announced today that they are working together with the Internet Archive on turning the Stanza online catalog system into an open standard for distributing free and commercial eBooks. This new standard, the Open Publication Distribution System (OPDS), will be built on top of Atom, and aims to create an open standard for distributed online catalogs for electronic books.

Today at the Web 2.0 Expo in San Francisco, a company called Nomee is revealing a new software application for the purpose of aggregating all your social networking sites into a single desktop experience. In a way, this software is somewhat reminiscent of the web-based PeopleBrowsr in the sense that it's attempting to pool all your networks and identities into one single window. However, unlike PeopleBrowsr, Nomee is not just aggregation software - it also functions as a social identity management tool, letting you control which identities are shared with which people. That makes Nomee more like a next-gen social address book than anything else.