UK Digital Design Threatened by Adobe/Figma Deal
Summary
The CMAs investigation provisionally found that, without the merger, Figma would continue to take steps to develop or expand products that threatened Adobes position in image editing and illustration. In the course of a detailed Phase 2 investigation, led by an independent group, the CMA has provisionally found the deal will eliminate competition between these two key competitors in the following three software markets: product design; image editing; and illustration. Margot Daly, chair of the independent group conducting this investigation, said: The digital design sector is worth nearly £60 billion to the UK - representing 2.7% of the national economy - and employs over 850,000 people in highly skilled work. Figmas software is used by well-known firms in sectors, which are important to the success of the UK digital economy, including short-stay holidays (Airbnb), fashion (Patagonia) and telecommunications (Vodafone). The inquiry group also provisionally concluded that Adobe abandoned development of new product design software which could have competed even more closely with Figma and, given the timing of the decision, did this as a consequence of the merger.