The mutual decision to end the proposed USD 20bn merger comes after EU and UK regulators launched competition probes. Figma’s no-code platform would have complemented Adobe’s industry standard creative suite.
The divorce doesn’t come cheap for Adobe – Figma will receive a break-up fee of 1bn USD. The proposed merger was abandoned today, after neither the UK nor the EU watchdogs signaled any form of approval in the near future. Competition regulators have been much more strict in approving big tech mergers recently.
Since the deal was announced, Adobe has turned its focus to embedding generative artificial intelligence into its products by, for example, enabling users to create novel stock imagery with AI.