rewrite this title and make it good for SEOFigma is getting crushed in its post-IPO earnings debut; CEO Dylan Field is focused on AI’s long term power to ‘raise the ceiling’

Shares of design software company Figma plunged 14% in extended trading, as investors took a dim view of Figma’s first quarter earnings report. 

Figma CEO Dylan Field, who cofounded the company in 2012 and watched its $20 billion acquisition by Adobe fall apart in 2023, isn’t one to get caught up in the negative. “We’re at the very start of what I hope is a long term relationship together,” a confident Field told listeners as he kicked off the earnings call, taking advantage of the opportunity to demonstrate Figma’s presentation technology.

Prior to the call, Field spoke to Fortune and shared his thoughts on one of the most important trends affecting his business: AI.

“No one knows whether we’re going to look back in five years at everything that’s happening right now in AI and say, ‘Oh my God, those were the bubbliest of times,” Field said. “Or: ‘Wow, we totally underestimated the effect it would have on society.’ But for Figma, what I think will be true in five years is that we’re always trying to make it so you can go as fast as possible from idea to production. And I think with AI, you can really accelerate that.”

AI is at the center of the private and public markets, and is widely viewed as a key tailwind—and risk factor—for Figma. In its fiscal second quarter, Figma grew revenue a healthy 41% year-over-year to $249.6 million, roughly in-line with analyst expectations. Figma reported $28.2 million in net income, or break-even on a per share basis.  

Field believes one of the key intersections between AI and design is that AI tools will help broaden access, letting more people become designers. Figma added four new AI-native tools to its platform this quarter and told investors on the call to expect significant investments in AI going forward.

“We want to lower the floor, but raise the ceiling—make it so more people can participate in the design process, while also enabling professionals to do even more with AI,” Field told Fortune, reiterating a company mantra of “design is the differentiator.”

The “design as differentiator” thesis dates back to Figma’s early days. When Field was an intern at Flipboard in 2012, he noticed that, even then, companies were hiring more designers. 

And as mobile technology and consumer expectations evolved, he theorized design was becoming a critical differentiator, transitioning from a skill to a critical business advantage. That’s only more true today, he said, adding that “there’s a kind of talent war happening for design right now that’s being talked about in conversation a lot online.”

Ultimately, Field said, Figma’s approach to AI is about riding the wave. 

“Our philosophy is that as the models get better, we get better,” he said. “That’s always the test I have strategically for us.”