Adobe Under FTC Investigation Over Subscription Cancellation Practices

The software giant also faces regulatory scrutiny over its proposed $20 billion acquisition of Figma, amid strong Q4 and FY 2023 results.

Adobe is under investigation by the Federal Trade Commission (FTC) for its subscription cancellation practices, which have been a source of customer complaints for years.
The FTC probe is tied to the Restore Online Shoppers’ Confidence Act, which requires clear disclosure of all material terms of a transaction, including cancellation policies.
Adobe has been cooperating with the FTC since June 2022 and was informed in November 2023 that the FTC had the authority to enter consent negotiations for a possible settlement.
Adobe is also facing regulatory scrutiny over its proposed $20 billion acquisition of design software firm Figma, with concerns about potential reduction of competition in the global market for interactive product design software.
Despite these challenges, Adobe reported strong Q4 and FY 2023 results, with Q4 revenue reaching $5.05 billion, a 12% year-over-year growth.