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Lina Khan points to Figma IPO as vindication of M&A scrutiny

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Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#301

Earlier quoted context omitted.

So now the monopolies are just hiring away all of the people they want from the startup and leaving the company as a shell of its former self - leaving both investors and the employees left behind high and dry.

Any evidence of that?

Probably talking about character.ai and a few similar cases. It's not the trend GP is making it out to be.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#302

Earlier quoted context omitted.

So now the monopolies are just hiring away all of the people they want from the startup and leaving the company as a shell of its former self - leaving both investors and the employees left behind high and dry.

Any evidence of that?

Google and Windsurf

https://techcrunch.com/2025/08/01/more-details-emerge-on-how...

Amazon

https://www.politico.com/news/2024/07/13/big-techs-poaching-...

Microsoft and Inflection

https://finance.yahoo.com/news/big-ai-reverse-acqui-hire-150...

Microsoft almost pulled it off with OpenAI during the Altman fiasco.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#303

Earlier quoted context omitted.

Any evidence of that?

Probably talking about character.ai and a few similar cases. It's not the trend GP is making it out to be.

People in government think otherwise

https://www.politico.com/news/2024/07/13/big-techs-poaching-...

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#304

Earlier quoted context omitted.

Yeah, I have heard that sentiment too. I've never heard so much as a second-hand anecdote that someone was on the track of an acquisition but got the vibe their 50 million dollar acquihire plus was going to just be too much trouble under an activist chairwoman though. It seems to me that the same weaponization of binary tribal thinking in red/blue social stuff has a corollary in "entrepeneur / commie" oversimplificat…

It just happened with Windsurf and Google.

Windsurf getting "bought" such that the employees got nothing is a great recent example of why you want Lina Khan seeing to it that a healthy and well-regulated M&A market is in effect. That's precisely the kind of lowbrow shit you can thank her bought and paid for successors for bringing you the next decade's worth of.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#305

There is another side to this coin: Figma's gain here is Adboe's loss. It doesn't make sense to use market-caps of specific companies as yardsticks of consumer welfare, which is the ultimate measure which antitrust actions seek to maximize. The tradeoffs of allowing or preventing the merger are more abstract and counterfactual. We cannot know for sure what the world in which Adobe successfully acquired Figma would lo…

We can’t know what would have happened exactly, but can be certain there would have been less competition if Adobe had acquired Figma.

We can’t know for sure whether increased competition is going to lead to a better outcome here, but we can say with a high level of certainty that more competition usually leads to better outcomes.

The fact that this also turned out to be fantastic for investors is just icing on the cake. Increased competition in markets is a worthy goal in itself.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#307

So blocking a sale at a $20B valuation so the company can IPO at a $19.3B valuation 3 years later (a loss of $700M in value over 3 years) is a success?

You do not understand how IPOs work. They only sold a small number of shares (about $1.2B) in the IPO. That’s why it’s called an “initial offering” of shares.

Investors can feel free to hold onto their remaining shares and sell whenever they want, outside of a window following the IPO where they can’t.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#308

Earlier quoted context omitted.

I think you're hitting the real divide here. Some people are so ideologically opposed to any regulatory intervention that they can't admit when it works, even when the evidence is staring them in the face. Also notable [0]: "[...] in any given year, we see up to 3,000 merger filings that get reported to us. Around 2% of those actually get a second look by the government, so you have 98% of all deals that, for the mos…

So now the monopolies are just hiring away all of the people they want from the startup and leaving the company as a shell of its former self - leaving both investors and the employees left behind high and dry.

If it keeps up, it's only a matter of time before startups stop being able to hire top talent.

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#309

Earlier quoted context omitted.

Any evidence of that?

Google and Windsurf https://techcrunch.com/2025/08/01/more-details-emerge-on-how... Amazon https://www.politico.com/news/2024/07/13/big-techs-poaching-... Microsoft and Inflection https://finance.yahoo.com/news/big-ai-reverse-acqui-hire-150... Microsoft almost pulled it off with OpenAI during the Altman fiasco.

Listen, I think its bullshit what happened to the Windsurf people. And I'm happy that the Figma people didnt get crammed down with some scam ass preference assplay.

But blaming Lina Khan for the crime orgy that started the minute she was forced out is silly.

Go stick that blade where it belongs. I'll help any way I can.

https://youtu.be/pDaELkYEC_g

Re: Lina Khan points to Figma IPO as vindication of M&A scrutiny

#310

I think the Figma IPO proves Khan was right. $60B market cap today vs the $20B Adobe offered in 2023. There was some criticism about regulatory overreach when the deal got blocked. Now Figma employees are rich, the design tools market stays competitive, and we have another major independent tech company instead of just another Adobe product line. This is exactly why we need regulators willing to tell Big Tech "no" so…

I don't see why the market cap proves whether she is correct or not. You'd have to compare it to the counter-factual of what the value of a Figma subsidiary would be under Adobe today.

This is not obvious at all to me. Instagram (bought for $1B) is probably worth ~700 B of Meta's market cap.

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