The UK's Competition and Markets Authority (CMA) has objected to Adobe's acquisition of graphic design company Figma, adding to the EU and US concerns about the deal. The UK competition authority has objected to Adobe’s proposed $20 billion acquisition of cloud-based design company Figma, on grounds that it might stifle innovation. According to the results of an investigation by the Competition and Markets Authority (CMA), Adobe’s refusal to provide concessions to alleviate worries about the deal has led to findings that the acquisition would eliminate competition and remove Figma as a threat to Adobe’s main products, Photoshop and Illustrator. Last year, Adobe revealed its intention to acquire Figma, whose platform is designed to enable collaborative app and website design, for $20 billion. Figma is viewed as a significant competitor to Adobe in the design software arena. “Adobe and Figma are two of the world leading providers of software for app and web designers, and our investigation so far has found that they are close competitors,” Margot Daly, chair of the independent group conducting the UK investigation, said in a news release on Tuesday The CMA is considering ways to address its concerns about the merger. Possible remedies include stopping the merger completely or requiring Adobe to sell off parts of its business that overlap with Figma’s, especially in areas where the deal might reduce competition. The investigation into Adobe’s bid isn’t finished yet. Besides the UK’s CMA, the EU and the U.S. Department of Justice are also looking into Adobe’s move to acquire Figma. The EU recently sent Adobe a formal complaint regarding competition concerns, and there were reports that the US Department of Justice might sue to stop the deal. The CMA has given a preliminary decision, pointing out the main problems that must be fixed for the deal to go through. Now, the CMA will ask for opinions on these issues and their possible solutions. Adobe and Figma have until December 19 respond before the CMA makes its final decision on February 25th next year. “The challenge will now be for the merging parties to persuade the competition regulators that they have got the analysis wrong in their provisional assessments,” Alex Haffner, competition partner at UK law firm Fladgate, said in a statement to the media. “Or, more likely, to come up with a package of remedies which can satisfy their stated concerns.” Related content news Strict return-to-work policies may be driving tech workers away In-office mandates aren’t great for employee retention, according to a university study that gathered data from workers at Microsoft, Apple and SpaceX. By Jon Gold May 09, 2024 3 mins Remote Work opinion Apple's worst ad ever? For a marketing company that doubles as a tech company, Apple's latest iPad Pro is incredibly tone-deaf. By Steven Vaughan-Nichols May 09, 2024 5 mins Apple Marketing and Advertising Industry iPad opinion Apple's M4 chip really does compete with itself Just a few months after the last big leap forward, Apple leapt ahead again. By Jonny Evans May 09, 2024 5 mins Apple CPUs and Processors iPad news OpenAI unveils ‘Model Spec’: A framework for shaping responsible AI This first-of-its-kind document outlines the principles guiding model behavior in its API and ChatGPT, OpenAI announced in a blog post. By Gyana Swain May 09, 2024 4 mins Technology Industry Emerging Technology Podcasts Videos Resources Events SUBSCRIBE TO OUR NEWSLETTER From our editors straight to your inbox Get started by entering your email address below. Please enter a valid email address Subscribe