Adobe to acquire Figma for $20 billion in cash and stock

Adobe to acquire Figma for $20 billion in cash and stock

Adobe has announced to acquire design software firm Figma in a deal worth about $20 billion.

Founded in 2012, Figma creates cloud-based design software that allows teams to collaborate in real-time.

It's head-to-head competition is with Adobe’s XD program.

The company was valued at $10 billion in its last funding round in 2021.

According to CNBC, Figma is expected to generate over $400 million in annual recurring revenue this year

Figma's backers include Index Ventures, Greylock Partners and Kleiner Perkins.

Adobe said it will integrate some features from its other products, such as illustration and photo-video technology, into Figma’s platform.

As of 2022, Adobe's net worth is approximately $172 billion.