Adobe is buying Topaz Labs because building on-device AI from scratch would take too long

Adobe announced on June 25 it will acquire Topaz Labs, maker of the Emmy-winning Astra video upscaling and Wonder image retouching models, integrating its NeuroStream on-device inference technology into Creative Cloud and Firefly. The deal, expected to close in H2 2026, is a direct response to competitive pressure from Canva's own acquisition spree and Blackmagic Design's free DaVinci Resolve. Adobe is buying a capability it calculated would take too long to build.