Adobe executives think there's a lot that critics of its $20 billion purchase of Figma are missing.

source:smestreet

Driving the news: Investors have sent Adobe's shares down roughly 20% since it announced the deal to buy the maker of a highly popular collaborative tool for designers.

source:smestreet

Between the lines: The Figma buy raised eyebrows the moment it was announced.

source:smestreet

 Investors expressed shock at the sticker price — 40 times Figma's annual revenue run rate.

source:pintrest

Catch up quick: Adobe is spending a not-so-small-fortune to buy Figma after seeing its own competing product, Adobe XD, largely flop in the market.

source:pintrest

On pinnacle of that, Adobe is likewise making ready a big retention package to hold Figma CEO Dylan Field and different key personnel on board.

source:windows report

 Investors want to understand why it's worth the high price tag and regulators are looking to ensure the combination won't hurt competition.

source:windows report

1. Adobe XD just wasn't cutting it. It was a product designed for a single user sitting at a PC in a world that wants cloud-based tools for real-time multi-user collaboration.

source:windows report

2. Adobe needs a rethink for the cloud era. Its current efforts have been about bringing its existing tools to the web.

source:windows report