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American Focus > Blog > Tech and Science > Lina Khan points to Figma IPO as vindication of M&A scrutiny
Tech and Science

Lina Khan points to Figma IPO as vindication of M&A scrutiny

Last updated: August 2, 2025 11:55 pm
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Lina Khan points to Figma IPO as vindication of M&A scrutiny
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A New Perspective on Figma’s Successful IPO

A surprising figure is celebrating Figma’s successful IPO: Lina Khan, former chair of the Federal Trade Commission.

In a recent post on X, Khan shared her thoughts on Figma’s impressive first day of trading and highlighted the value of letting startups grow independently rather than being acquired by existing giants.

The spotlight on Figma’s IPO brings to mind the failed $20 billion acquisition deal by Adobe in 2023. Regulatory hurdles in Europe and the United States, including concerns over competition, led to the deal falling through. Khan, who was FTC chair at the time, was known for her tough stance on Big Tech acquisitions, prompting companies to find alternative ways to expand.

Despite facing criticism, Khan defended her approach by emphasizing the importance of fostering competition and providing more opportunities for founders. Her resignation from the FTC did not sway her belief that a diverse marketplace benefits everyone involved.

With the success of Figma’s IPO, Khan sees it as a validation of her regulatory efforts, citing it as a win for employees, investors, innovation, and the public. However, not everyone shares her perspective, with some attributing Figma’s success to the company’s own innovative growth rather than regulatory interventions.

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