Adobe Opens Photoshop to Google and OpenAI as Investors Demand Results
If you can’t beat them, don’t join them — just resell them. With shares down 22.8% this year, AdobeADBE is opening its creative suite to third-party AI models. Facing fierce disruption from Google’sGOOGL Veo, OpenAI’s DALL-E, and Canva’s Magic Studio, the move aims to keep investors (and creative pros) convinced that Adobe remains the go-to destination for making media magic.
- With Wall Street questioning the speed of Adobe’s AI monetization, the company is now letting users tap Google and OpenAI’s generation models inside tools like Photoshop.
- It’s a dramatic pivot from pushing its proprietary Firefly AI as the only option — a stance that analysts cautioned couldn’t keep pace with Big Tech’s image and video AI platforms.
A matter of perspective: While investors shift focus to AI infrastructure, CEO Narayen argues Adobe remains undervalued — pointing to nearly $9B in buybacks as a confidence play. The company claims that “AI-influenced” revenue now tops $5B a year, far outpacing the $250M reported from dedicated AI-first tools. For now, analysts are split; some see a path to double-digit growth, while doubters wonder ifADBE will ever create more gains.