Adobe announced last week that it’s buying design platform Figma for $20 billion (or roughly half a Twitter). The news came shortly after Canva announced an expansion of its user-friendly design suite.
A Figma of Adobe’s imagination: Adobe shares suffered after the acquisition announcement, but Adobe’s President David Wadhwani cited the deal’s “massive” market opportunity in an interview with Bloomberg Television.
A blank Canva: Valued last year at $40 billion (or approximately one Twitter), Canva offers a fresher alternative to Adobe, and building out a creative suite will streamline Canva use the same way Adobe hopes Figma will.
Drawing comparisons: “These moves are all about collaboration and ease of use,” our analyst Dave Frankland said. “Easy-to-use and no-code solutions are gaining traction quickly.”
Canva’s growing at a time when a lot of companies are struggling, but Adobe has the legacy factor. The question now is if it can integrate its and Figma’s users successfully, something it’s done before with its acquisitions of Marketo and Workfront. However, that $20 billion price tag could raise the eyes of antitrust watchdogs.
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