Adobe Inc. announced that Chief Executive Officer Shantanu Narayen will step down from his position after 18 years leading the creative software giant. Narayen will remain in the position until a successor has been appointed and will stay on as board chairman.
The announcement came alongside Adobe's strong Q1 2026 financial results. The company reported earnings per share of $6.06, beating analysts' estimate of $5.87, with revenue hitting $6.4 billion, topping expectations of $6.28 billion. Annualized revenue from AI-first products more than tripled year over year.
Narayen joined Adobe in 1998 as a vice president and became CEO in December 2007. Under his leadership, Adobe transformed from software licenses to subscriptions with its Creative Cloud bundle, positioning the company for success in the AI-driven era.
The departure comes amid deep skepticism about Adobe's ability to thrive in the AI era and Wall Street debates about whether artificial intelligence could reduce demand for traditional software tools. Adobe shares are down 23% in 2026 as part of a broader software selloff sparked by AI concerns.
Lead independent director Frank Calderoni praised Narayen's contributions as "architect of Adobe's transformation over the past 18 years" while the board focuses on selecting the right leader for the company's next chapter.
