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Adobe, Give Us A Lite Version of Photoshop for Free

Adobe has decided to put Photoshop online for free. Adobe plans to generate revenue from online advertising (like GMail) though the web based version of Photoshop will not be as sophisticated (or complex) as the desktop application.

There's absolutely no mention about the features that one might expect in Online Photoshop but the brand value associated with Photoshop software alone will make this a Youtube of Online Image Editors.

Most of us use these online photo editing software only for cropping or resizing or rotating images. The online version of Adobe Photoshop will be a scaled down version of Photoshop Elements which itself is a poor cousin of the Photoshop suite.

Who needs another basic photo editor ? Instead, Adobe should offer a portable light-weight version of Photoshop for free that requires no installation or internet activation, is no memory-hog and can run off your USB Memory Stick. This will gain them more prospective customers and a serious chance to compete with Google Picasa.

Update: John Dowdell has the actual excerpt from Bruce Chizen's interview:
There are a lot of online photo editors, so we want it to be deserving of the Photoshop brand. We want it to be a good app. I'd be shocked if we didn't have something in the next three to six months. It would surprise me.

What's surprising is that Photoshop Elements, at $99, is a significant revenue producer for Adobe. Even though you can get Picasa for free, people still want a full-featured product. Not as fully featured as Photoshop, but something in between.
Now does this signal that hosted Photoshop will be richer than the $99 Photoshop Elements version ?