Overview
- Figma fell about 8% Wednesday and more than 3% Thursday following Google’s Stitch announcement, leaving the stock down roughly 11–12% over two sessions.
- Stitch introduces “vibe designing” that produces high‑fidelity interfaces from natural‑language prompts and adds voice controls, agent management, and frontend code export.
- The beta connects with Google Workspace tools such as Docs and Drive and is free for now, with no guarantees on future availability or pricing.
- Analysts and market watchers say Workspace integration could reduce switching costs and let Google capture more of the product design workflow, intensifying pressure on Figma.
- Figma posted $1.06 billion in 2025 revenue (up 41%) with 136% net dollar retention, but net losses widened to $1.25 billion, and the stock trades about 80% below its post‑IPO peak.