11–20 of 83 posts
Even if he didn't personally invest in Figma, this doesn't look good at all.
I think some separation time from his project will help him understand that the market did not agree with him.
I thought the market did agree with him. Adobe's stock went down because the market, like the author, thought they paid too much, right?
I don't think they paid too much. It will give Adobe 10 more years of subscriptions without effort. Without Figma, they would be reduced to metrics software (in 10 years).
Regarding the justifications for Figma's price: > most startups cut their valuation by a lot in 2022 Most startups are not used by every single other startup, whereas I would be very surprised if any startup doesn't use Figma for UI design. I've never used Canva and never heard a company using it. The only time I heard of Canva is to create a nice looking CV. Comparing outliers to the average/most isn't very helpful.…
For canva and other small companies, I would give higher valuation to revenue multiplier.
Adobe is not looking to replace XD. They are looking to kill Figma.
Regarding the justifications for Figma's price: > most startups cut their valuation by a lot in 2022 Most startups are not used by every single other startup, whereas I would be very surprised if any startup doesn't use Figma for UI design. I've never used Canva and never heard a company using it. The only time I heard of Canva is to create a nice looking CV. Comparing outliers to the average/most isn't very helpful.…
Adobe is not looking to replace XD. They are looking to kill Figma.
I think some separation time from his project will help him understand that the market did not agree with him.
I thought the market did agree with him. Adobe's stock went down because the market, like the author, thought they paid too much, right?
Regarding the justifications for Figma's price: > most startups cut their valuation by a lot in 2022 Most startups are not used by every single other startup, whereas I would be very surprised if any startup doesn't use Figma for UI design. I've never used Canva and never heard a company using it. The only time I heard of Canva is to create a nice looking CV. Comparing outliers to the average/most isn't very helpful.…
If every startup uses something, it's not a positive thing as then they are near peak revenue. Their revenue is $400m, and 50x multiplier in late stage is exceptional. For canva and other small companies, I would give higher valuation to revenue multiplier.
There's probably a big untapped market for Figma in boring enterprise software and internal design needs for marketing, etc.
I'd bet that Microsoft was bidding for Figma too. In that light, Adobe's $20B price is a sign of strength because they were able to afford to outbid Microsoft for an extremely strategic acquisition. Adobe isn't taking enormous amounts of expensive new debt to fund this. The stock market's opinion of the deal doesn't affect Adobe's finances directly.
Regarding the justifications for Figma's price: > most startups cut their valuation by a lot in 2022 Most startups are not used by every single other startup, whereas I would be very surprised if any startup doesn't use Figma for UI design. I've never used Canva and never heard a company using it. The only time I heard of Canva is to create a nice looking CV. Comparing outliers to the average/most isn't very helpful.…
Earlier quoted context omitted.
I thought the market did agree with him. Adobe's stock went down because the market, like the author, thought they paid too much, right?
His beef is that his project was viable competition. The design market and the purchase price made it clear that was not true. I don't think they paid too much. It will give Adobe 10 more years of subscriptions without effort. Without Figma, they would be reduced to metrics software (in 10 years).