Adobe Kills Freehand
Out of context: Reply #23
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there's a running theory that adobe bought macromedia because adobe was worried microsoft would buy macromedia and become a direct competitor. i'm not sure i buy it, but microsoft did buy creature house (expression) and is definitely moving in that direction.
aside from that, i don't think adobe bought macromedia to reduce cometition so much as to become the industry leader in some of the markets that macromedia excelled in (mostly web creation via dreamweaver and flash). if adobe bought companies just to reduce competition they'd have bought out quark a long time ago.
now, illustrator has a vast majority of the vector market, and freehand has been relegated to nitch markets. most would argue that illustrator is a better product, but i imagine freehand has its place (much like some people use rhino instead of 3dsmax or maya). if adobe doesn't want to spend the resources developing it, then they might as well make a few bucks on the selling of it to someone who thinks it's worth while.