Core Insights - Figma and Adobe could have merged into one company if not for a failed acquisition attempt by Adobe, which was valued at $20 billion but was blocked by regulators due to competition concerns [1] Company Overview Figma - Figma has a market capitalization of approximately $26 billion and focuses on user-friendly design software that emphasizes collaboration [2] - The pricing of Figma's software is significantly lower than Adobe's, with plans starting at less than $20 per month compared to Adobe's Creative Cloud Pro options that exceed $60 per month [4] - Figma reported sales of $249.6 million for the quarter ending June 30, reflecting a year-over-year growth of 41% [5] - The company achieved an operating profit of just under $2.1 million for the same quarter and generated adjusted free cash flow of $60.6 million [5] - Figma's net dollar retention rate stands at 129% for customers with annual recurring revenue of $10,000 or more, indicating strong growth potential [6] Adobe - Adobe, valued at nearly $150 billion, is a well-established tech giant known for its premium software, including Photoshop, which is a leading choice for professionals [2][7] - Adobe's revenue for the quarter ending August 29 was just under $6 billion, with an 11% year-over-year increase [9] - The company's operating income was $2.2 billion, representing 36% of its revenue, showcasing strong margins that provide flexibility for future pricing strategies [9]