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> I wonder if Adobe is secretly happy about this. I think they probably are. I follow Adobe closely and when the acquisition was announced I was pretty skeptic
by mrandish 3y ago
> I wonder if Adobe is secretly happy about this.
I think they probably are. I follow Adobe closely and when the acquisition was announced I was pretty skeptical it would be net good for Adobe in the long-run. The problem wasn't the idea of buying Figma, it was the very rich price being paid. Adobe has a history of not doing a lot of big acquisitions (for it's size and massive cash position). When it does acquire big, Adobe is mostly strategic and a "value shopper", meaning they generally don't pay extremely high prices bid up by frothy auctions. This means Adobe must walk away from a lot of deals we never hear about over price. That's why the Figma deal struck me as so unusual.
In the >year since the deal was announced, it's started to look even less plausible to me. Despite being required to pay a large break-up fee, I suspect, Adobe's management is relieved.
- karmasimida 3y agoOne thing we could all agree is 20B for Figma is too expensive considering how the market has shifted. Figma is still solid company/business, but Adobe probably could acquire them much cheaper in today's market.
- tekkk 3y agoGoogle was too expensive for Yahoo multiple times. You should look this from a bigger time scale. Sure they were paying a lot of goodwill on the deal. But if, down the road, Figma now starts their trajectory to become an equal to Adobe it sure would have been nice to capture that market all to yourself. Like Nvidia or TSMC. For the record, I am happy this fell through since it's clear Adobe needs competition to stop it abusing its market position.