Adobe announced on Thursday that Anil Chakravarthy will become its next president and CEO, succeeding Shantanu Narayen, who previously declared his intention to step down after leading the company for 18 years and joining in 1998 [1]. Chakravarthy, who has served as president of Adobe's customer experience orchestration and worldwide field operations, will officially assume the CEO role on December 1 and join the company's board [1]. Narayen will transition to executive chair and is expected to work closely with Chakravarthy during the leadership handover [1].
The leadership transition comes at a challenging time for Adobe, as the company's stock has experienced significant declines. After a strong performance in 2023, Adobe shares dropped 25% in 2024, fell another 21% in 2025, and are down 18% so far in 2026. Following the CEO announcement, Adobe's shares fell about 2% in extended trading [1]. The stock's performance has been impacted by investor concerns over the potential disruption posed by artificial intelligence to software makers [1].
In addition to the CEO change, David Wadhwani, president of Adobe's creativity and productivity business, announced his departure. Wadhwani, who was previously considered a strong contender for the CEO position due to his involvement in Adobe's attempted acquisition of Figma, stated he plans to explore new company ideas [1]. The Figma deal was ultimately abandoned in 2023 due to regulatory challenges [1].
Narayen expressed confidence in Chakravarthy's leadership, describing him as an experienced transformational leader with deep knowledge of Adobe's business. Wadhwani also voiced support for Chakravarthy, stating he is confident in the company's future under the new CEO [1].
CONCLUSION
Adobe's leadership transition to Anil Chakravarthy as CEO marks a significant shift for the company amid ongoing stock declines and executive departures. The market reaction has been negative, with shares falling further on the news, reflecting investor uncertainty about the company's future direction and the impact of AI on its business. The leadership changes are seen as a pivotal moment for Adobe as it navigates industry challenges.