Antitrust regulators in Europe are reportedly planning to initiate a formal investigation into Adobe’s acquisition of Figma, a cloud-based designer platform, which is valued at $20 billion. The Financial Times has reported that this investigation is expected to take place later in the year.
European Union authorities are set to conduct a thorough investigation into potential anti-competition issues related to the deal. The investigation, which may take several months, could ultimately result in the deal being derailed. The information comes from sources familiar with the matter, as reported by the Financial Times.
Read more: UK Watchdog Probes Adobe’s $20B Figma Acquisition
Global regulators have expressed concerns that the acquisition of smaller innovative rivals by large tech firms could harm competition.
Adobe and Figma are engaged in discussions with regulators from the UK, EU, and US regarding their deal. Both companies stated in separate email statements to Reuters that they are in the early stages of the regulatory process and are having constructive conversations with regulators.
The report follows an announcement from Britain’s competition watchdog regarding their investigation into the Adobe-Figma deal last month. Additionally, in February, Bloomberg reported that the U.S. Justice Department was preparing an antitrust lawsuit to prevent the deal.
