The European Commission has launched an extensive investigation into Adobe's proposed acquisition of Figma, a rival digital design software, citing concerns about reduced competition in the global markets for interactive product design software and digital asset creation tools.
The European Commission's preliminary investigation suggests that Adobe's proposed acquisition of Figma may lead to restricted competition in the global markets for interactive product design tools and digital asset creation tools. Figma is currently the leading provider of interactive product design tools, and the acquisition would remove an important competitor. It is also unlikely for any other credible player to enter the market post-acquisition. Additionally, Figma currently serves as a constraining influence over Adobe's digital asset creation tools, and the acquisition may prevent Figma from becoming an effective competitor to Adobe's asset creation tools, thereby limiting the supply of such tools. In addition, there is a separate concern over the potential bundling of Figma with Adobe's Creative Cloud suite, thereby resulting in the foreclosure of rival providers of interactive product design tools.
Ever since the announcement of the acquisition, the deal has garnered scrutiny from regulatory bodies worldwide, including the US Department of Justice and the United Kingdom. As it conducts an in-depth investigation, the EC stated that it would also be working closely with other competition authorities.
A decision by the EC is expected by 8 January 2024.