European Commission’s investigates Adobe $20B acquisition of Figma.
Instead, the CMA in Britain this week requested that Adobe make recommendations for how to fix the issues.
It is important to note that the merger has previously been investigated by the British antitrust regulator, and the firms have been told that it might be stopped if it is determined to harm innovation or competition.
The commission stated that EU authorities are “concerned that the transaction may reduce competition in the global markets for the supply of interactive product design software and for digital asset creation tools”, according to AFP.
It has 90 days from the time it revealed its “preliminary concerns” to conduct a more thorough inquiry.
In September 2022, Adobe declared their intention to acquire fellow American firm Figma for cash and equity.
While Figma offers a web-based collaborative platform for product design, Adobe is best recognised for its video and image editing products like Photoshop and Premiere.
Although neither Brussels nor London’s anti-trust authorities have yet made an attempt to thwart the merger, they are concerned that the acquisition may lessen competition in the industry.
