Adobe has officially pronounced its XD software dead and buried. The creative software giant will not be reviving its fledgling product design tool in the wake of its failed acquisition of rival Figma last year.

According to a spokesperson who spoke to Bloomberg this week, Adobe has “no plans to further invest” in Adobe XD. While existing users will continue to receive support, no new features or updates will be coming. It’s the final nail in the coffin after Adobe put XD in “maintenance mode” back in September 2022 when it announced plans to buy Figma.

It marks a dramatic fall from grace and the end of Adobe’s ambitions in the fast-growing product design software space. Just a couple of years ago, XD was being hailed as a potential Figma-killer. How quickly fortunes change.

Figma had established itself as the rising star of interface design with its slick cloud-based editor loved by designers. Adobe XD struggled to gain traction while Figma’s momentum grew. By the time Adobe made its $20 billion bid for Figma, it was clear that its own offering had been trounced.

Adobe General Counsel Dana Rao revealed last year that XD was bringing in a paltry $17 million annually. It employed just 19 developers. Figma, on the other hand, was retaining talent like a magnet amid 2022’s downturn in the tech industry.

With regulators ultimately blocking Adobe’s proposed Figma takeover on competition concerns in December, Adobe now has billions freed up. Some analysts speculated Adobe might take another shot at building a viable Figma competitor from scratch.

But this week’s announcement suggests Adobe is ready to fully concede defeat in the product design software arena. While expressing openness to potential partnerships with other players in the space, Adobe said its focus remains on imaging, photography, animation and integrating AI into its suite of creative apps.

For now, at least, designers rejoicing at Figma retaining its independence can rest easy knowing Adobe lacks the appetite for another fight. XD is dead and it seems unlikely to be resurrected. Adobe’s ambitions of dominating the design world have been checked – for now.