someone help me understand: Figma is a UI designer/Balsamiq like app worth a billion dollars?
Figma and Adobe abandon proposed merger
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Re: Figma and Adobe abandon proposed merger
#612I'm wondering why is there zero competition for Figma? I understand their app is basically a browser-like engine running inside the browser - which is cutting-edge tech, tough to copy, etc. But given enough interest in this space and the valuation Figma has now - I'm wondering why isn't other big tech companies not building their own Figma alternatives.
Because literally 90% of developers today are wholly incapable of producing the cutting edge performance Figma requires. It's an engineering marvel. It's like wondering why more people can't just compete in F1. Money and talent at the rarest levels. Most companies engineer at the performance level of Atlassian. Which is not remotely sufficient.
Re: Figma and Adobe abandon proposed merger
#613So will Adobe put more resources to help their pre-maturely abandoned XD catchup?
Re: Figma and Adobe abandon proposed merger
#614Earlier quoted context omitted.
> the Company will make a cash payment to Figma in the previously agreed amount of one billion dollars ($1,000,000,000) (the “Termination Fee”) within three business days following the date thereof Three business days to wire $1b, the week before Christmas. That has to be a fun phone call with the bank.
I hope they have big bank... Then again it would also be funny if bank crashed because someone was forced to transfer 1 billion.
Yeah I'm sure Adobe is just using a single-branch bank
Re: Figma and Adobe abandon proposed merger
#615Earlier quoted context omitted.
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You're getting downvotes, but IMO it's because people don't realize how far outside the norm Lina Khan's stances and approach has been.
"The norm" is doing a lot of lifting there.
Trailing historical average doesn't opine on correctness/utility.
Re: Figma and Adobe abandon proposed merger
#616Earlier quoted context omitted.
That's still a better long term outcome than selling to Adobe
Agree 100%. Microsoft would actually make the product a lot better and add useful AI elements to it. I just don’t trust Adobe.
What other beloved product has MS acquired and made a lot better?
Re: Figma and Adobe abandon proposed merger
#617[Pure speculation; I don't work in the UI space at all, and at neither of these companies] I wonder if Adobe is secretly happy about this. They were acquiring Figma at the peak of the market (for growth stock/startup valuations) because of the existential risks that Figma was threatening, due to their collaborative development UX. But since then: * Startup valuations have fallen. Ignoring regulatory concerns, a new a…
> So paying the 1B breakup fee is probably the cheapest and best option for Adobe at this time.
Do they still have to pay the fee if the reason was regulatory in nature?
Re: Figma and Adobe abandon proposed merger
#618Earlier quoted context omitted.
This is just straight up factually incorrect: the DOJ never filed a lawsuit to block this deal.
Your comments are straight up factually misrepresenting what happened. There were plenty of news reports early this year that DoJ was preparing to file suit against the merger. I guarantee they were in close contact with Adobe's lawyers, and the normal process here is that Adobe's lawyers/execs come back and say "hold up, let's see if we can make a deal" - that's essentially what happens in the vast majority of lawsu…
Threatening a lawsuit is better than nothing but it definitely didn't lead to a quick resolution. At a certain point the answer to whether they can make a deal needs to be "no", not "we'll wait".
Re: Figma and Adobe abandon proposed merger
#619Earlier quoted context omitted.
Nope, from Adobe’s 8K filed today with the SEC: “On December 17, 2023, the Company and Figma mutually agreed to terminate the Merger Agreement and entered into a mutual termination agreement effective as of such date (the “Termination Agreement”). The mutual termination of the Merger Agreement was approved by the Company’s and Figma’s respective Boards of Directors. In accordance with the terms of the Termination Agr…
> the Company will make a cash payment to Figma in the previously agreed amount of one billion dollars ($1,000,000,000) (the “Termination Fee”) within three business days following the date thereof Three business days to wire $1b, the week before Christmas. That has to be a fun phone call with the bank.
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Re: Figma and Adobe abandon proposed merger
#620Earlier quoted context omitted.
If I was the board I’d be calling for the CEO’s head after loosing $1 billion for absolutely nothing.
> If I was the board I’d be calling for the CEO’s head after loosing $1 billion for absolutely nothing The Board signed off on the deal. Given Adobe’s stock is up for the day, I don’t think shareholders are crying over this termination fee.
investors probably figured this out on Dec 13, not today