What's Going On With Adobe Stock Wednesday?

Adobe Inc ADBE shares are holding up well as the broader market moves lower following hot Consumer Price Index data. Adobe on Wednesday announced a new AI model capable of generating video.

What To Know: Adobe released a new version of its generative AI Firefly application, which allows users to generate images, vectors and videos in public beta. The company said its new Firefly Video Model is the industry’s first commercially safe AI video generation model.

“Firefly is designed for creative professionals looking for unmatched creative control and IP-friendly tools that can be used safely and effectively in both ideation and production,” said David Wadhwani, president of Adobe’s digital media business.

“We’ve been thrilled to hear from beta customers who’ve found it a game-changer for ideating concepts and producing stunning videos, and we can’t wait to see how the creative community uses it to bring their stories to the world.”

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Available as of Wednesday, the Firefly app now generates video that enables creative professionals to generate b-roll, animations and more. The new version of the app also introduces multi-modal workflows and offers scene-to-image tools to create quality images from sketches. The tools can also translate audio and video into multiple languages while maintaining an authentic voice.

Adobe’s Firefly Video Model is expected to compete with OpenAI’s Sora model and generative AI video startups, per Reuters. Meta has also developed an AI model for video generation, but has not released it yet.

Adobe will offer two new Adobe Firefly plans called FireFly Standard and Firefly Pro. Firefly Standard enables access to 2,000 video/audio credits per month and up to 20 five-second video generations for $9.99. The Pro tier starts at $29.99 and offers access to 7,000 video/audio credits and up to 70 five-second video generations per month.

Adobe noted that it also plans to roll out a Firefly Premium plan designed for professionals who want to generate video content on a regular basis.

ADBE Price Action: Adobe shares were initially up but have since reversed -0.40% to $457.01 at the time of publication Wednesday, according to Benzinga Pro.

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