Acquisitions (Tables)

12 Months Ended

Nov. 30, 2018

Schedule of acquired assets and liabilities [Table Text Block]

The table below represents the preliminary purchase price allocation to the acquired net tangible and intangible assets of Marketo based on their estimated fair values as of the acquisition date and the associated estimated useful lives at that date. The fair values assigned to assets acquired and liabilities assumed are based on management’s best estimates and assumptions as of the reporting date and are considered preliminary pending finalization of valuation analyses pertaining to intangible assets acquired, deferred revenue and tax liabilities assumed including the calculation of deferred tax assets and liabilities.



(in thousands)	Amount			Weighted Average Useful Life (years)
Customer contracts and relationships	$	576,900		11
Purchased technology	444,500			7
Backlog	105,800			2
Non-competition agreements	12,100			2
Trademarks	328,500			9
Total identifiable intangible assets	1,467,800
Net liabilities assumed	(191,288		)	N/A
Goodwill⁽¹⁾	3,459,751			N/A
Total estimated purchase price	$	4,736,263

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⁽¹⁾	Non-deductible for tax-purposes.

Business Acquisition, Pro Forma Information [Table Text Block]

The financial information in the table below summarizes the combined results of operations of Adobe and Marketo, on a pro forma basis, as though the companies had been combined as of the beginning of the periods presented. The pro forma financial information is presented for informational purposes only and is not indicative of the results of operations that would have been achieved if the acquisition had taken place on December 3, 2016 or of results that may occur in the future.

The following unaudited pro forma financial information for fiscal 2018 and 2017 combines the historical results for Adobe for the years ended November 30, 2018 and December 1, 2017 and the historical results of Marketo for the period January 1, 2018 through October 31, 2018 and the year ended December 31, 2017, respectively (in thousands):



	2018		2017
Net revenues	$	9,338,790	$	7,568,713
Net income	$	2,362,238	$	1,404,864

Magento [Member]

Business Acquisition [Line Items]

Schedule of acquired assets and liabilities [Table Text Block]

The table below represents the preliminary purchase price allocation to the acquired net tangible and intangible assets of Magento based on their estimated fair values as of the acquisition date and the associated estimated useful lives at that date. The fair values assigned to assets acquired and liabilities assumed are based on management’s best estimates and assumptions as of the reporting date and are considered preliminary pending finalization of valuation analyses pertaining to tax liabilities assumed including the calculation of deferred tax assets and liabilities.



(in thousands)	Amount			Weighted Average Useful Life (years)
Customer contracts and relationships	$	208,000		8
Purchased technology	84,200			5
In-process research and development ⁽¹⁾	39,100			N/A
Trademarks	21,100			3
Other intangibles	43,400			3
Total identifiable intangible assets	395,800
Net liabilities assumed	(67,417		)	N/A
Goodwill⁽²⁾	1,316,217			N/A
Total estimated purchase price	$	1,644,601

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⁽¹⁾	Capitalized as purchased technology and are considered indefinite lived until the completion or abandonment of the associated research and development efforts.


⁽²⁾	Non-deductible for tax-purposes.