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Figma sinks after earnings beat as company prioritizes long-term growth with AI changes
Figma shares fell after the design software company reported results that beat expectations, as investors weighed its decision to invest in AI adoption even if that limits revenue in the near term. The approach reflects a longer-term effort to make AI a durable part of its products as software companies face questions about how AI could reshape their businesses.
Figma has increased the AI credits available to customers without raising prices. Weekly users at organisations spending more than $10,000 who used AI credits rose nearly 50% during the quarter; the share of work handled by Figma’s own AI model doubled, while users became less likely to undo AI-generated work. Shares are down about 41% in 2026, compared with a 12% rise in the S&P 500, and chief executive Dylan Field said the company is also paying closer attention to the cybersecurity of its vendors.
In short
- Figma shares have fallen about 41% this year.
- The company is giving customers more AI credits at current prices.
- Figma says use of its AI tools is growing.
Steelman: both sides, in good faith
The strongest fair case each way — we don't pick a winner.
The case for
Investing in AI adoption now, including giving customers more credits without raising prices, could help Figma make AI a useful and durable part of its products. Rising use of its AI tools and fewer reversals of AI-generated work may indicate growing customer confidence, while prioritising security could help protect trust as these tools expand.
The case against
The strategy may sacrifice near-term revenue without yet showing that greater AI use will translate into lasting customer demand or stronger returns. With Figma’s shares down sharply this year while the broader market has risen, investors may reasonably question whether the company can fund this investment and defend its business as AI reshapes software.
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