Adobe has announced its intention to acquire the popular design platform Figma for $20 billion. 

Since much of Adobe’s business revolves around helping people create digital content, the addition of Figma will help them “usher in a new era of collaborative creativity,” Adobe said. 

Figma was founded in 2012 by Dylan Field and Evan Wallace, and today it is used by people who design mobile and web applications. It enables collaboration through multi-player workflows, sophisticated design systems, and a rich developer ecosystem. 

Adobe believes that Figma’s capabilities will accelerate delivery of Adobe’s Creative Cloud technologies on the web in order to democratize the creative process by making it available to more people. 

“With Adobe’s amazing innovation and expertise, especially in 3D, video, vector, imaging and fonts, we can further reimagine end-to-end product design in the browser, while building new tools and spaces to empower customers to design products faster and more easily,” said Dylan Field, co-founder and CEO of Figma.

According to Adobe, Figma’s total addressable market would be $16.5 billion by 2025 and they have gross margins of approximately 90% with positive operating cash flows. 

Adobe expects the acquisition to close sometime in 2023. Once finalized, Field will keep on leading the Figma team and report to David Wadhwani, president of Adobe’s Digital Media business. 

“Adobe’s greatness has been rooted in our ability to create new categories and deliver cutting-edge technologies through organic innovation and inorganic acquisitions,” said Shantanu Narayen, chairman and CEO of Adobe. “The combination of Adobe and Figma is transformational and will accelerate our vision for collaborative creativity.”