Nuance Communications

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I started a new thread on the company which developed Siri software. Subscription base model may not suitable for all products. Microsoft and Adobe did it and succeeded, but may be not for Nuance...

Siri software maker misses revenue estimates, shares down

NEW YORK — Software maker Nuance forecast fiscal 2014 profit below expectations as its shift to a subscription-based business model hits margins and the company struggles to hold on to its pricing in the handsets business.

Shares of the company, whose software powers the Siri feature on Apple’s iPhones, fell more than 6 per cent after the bell yesterday.

A subscription-based model brings in less money upfront as payment is spread over the entire period of use unlike traditional packaged software but typically ensures more predictable recurring revenue.
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http://www.todayonline.com/business/siri...hares-down
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