``Adobe's acquisition of Figma interferes with market competition,'' British regulators say.



The UK's Competition and Markets Authority (CMA) announced on November 28, 2023, ``If Adobe, which makes Photoshop and Illustrator, acquires Figma , its biggest rival in the design tool industry, there is a risk that market competition will be hindered.'' We have announced the preliminary findings.

Adobe / Figma deal could harm UK digital design sector - GOV.UK
https://www.gov.uk/government/news/adobe-figma-deal-could-harm-uk-digital-design-sector

Adobe's $20 Billion Purchase of Figma Would Harm Innovation, UK Regulator Provisionally Finds - WSJ
https://www.wsj.com/tech/adobes-20b-purchase-of-figma-would-harm-innovation-uk-regulator-provisionally-finds-19f28b72

According to a CMA survey, many British companies use design software through websites and apps, and 80% of professional product designs used Figma. On the other hand, the digital design industry, which is an important growth industry in the UK, is supported by image editing and illustration software such as Adobe's Photoshop and Illustrator.

In light of this, the CMA has tentatively concluded that the proposed Adobe-Figma deal would bring together two major competitors in the product design software market and threaten the innovation and development of software used by digital designers in the UK. I have made the decision.''



The UK digital design market is worth 60 billion pounds (approximately 11,222.3 billion yen), 2.7% of the country's economy, and is the largest of any design sector, growing 138% between 2010 and 2019. This is a field that is experiencing significant growth.

The independent research group, which conducted the investigation at the request of the CMA, pointed out that Figma is a competitor to Adobe and that the tension created by Figma is driving the development of Photoshop and Illustrator. Adobe and Figma's proposed agreement would reduce choice, innovation, and competitive new products, thereby impacting the digital design industry.''

EU authorities have also expressed the view that Adobe's acquisition of Figma violates antitrust laws, and it is reported that they plan to file a lawsuit soon.

It turns out that EU regulators plan to file a lawsuit for violation of antitrust laws regarding Adobe's 3 trillion yen acquisition of Figma - GIGAZINE



In response to the CMA's announcement, an Adobe spokesperson said: 'We are disappointed with the CMA's findings and disagree with its views on this transaction. Adobe and Figma are committed to delivering significant value to customers. We will consider the results of the CMA's interim investigation and will consult with the CMA again on the facts and merits of the transaction.' A Figma spokesperson also expressed disappointment as well.

The CMA will seek comments from interested parties until December 19, 2023, and expects to provide a final opinion by February 25, 2024.

・Continued
Adobe, aiming to acquire Figma, is reportedly making proposals to regulators such as ``not including Figma in the Creative Cloud package'' and ``selling competitor Adobe XD'' - GIGAZINE

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in Software,   Design, Posted by log1l_ks