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00:00Figma is going to end the year pretty strong. I mean you can say like look at the the outlook for
00:05the current period the fourth quarter but also the year in aggregate I think probably the most
00:08sensible place to start Dylan is is there some kind of customer behavior that's allowed the end
00:14of the year to look as it does. Yeah well first off thanks for having me and it's good to see you
00:19again but it's been a very exciting time at Figma. Q3 was awesome and we had so much velocity.
00:27I think the team shipped something like over 50 new features and I'm just so proud of the team for
00:35all the hard work that they're doing right now and continue to do because the acceleration has
00:40only continued and pace is at an all-time high. I think the AI investments we've made are really
00:50paying off and so much more room for them to grow of course but whether that's make which we've seen
00:57a ton of adoption across new customers existing customers or it's our MCP or it's our acquisition
01:06of Weavey now called Figma Weave which we're really excited about. I think in general we're in this
01:12moment where the frontier models keep getting better. Right. And as they do we get better.
01:16Well let's jump into the acquisition of Weavey which you are now implementing as Figma Weave.
01:21In very simple terms what does it allow your existing customers to do that they couldn't have
01:26otherwise done? So Weavey is this amazing product where you can bring in all sorts of models. You
01:32can compose them in a node-based system which basically means drag and drop visual programming
01:37and from there you can really start to explore what's possible with various models. So for us it's a bet
01:43that the starting prompt is just the starting prompt. It's not the end. What you need to do is shape
01:50these outputs almost like a medium like clay rather than try to go for the one shot and then the final
01:56destination should be what you get through throughout this process. The team itself is incredible. I mean
02:03they've managed to really balance simplicity with power so that they're able to achieve an incredible
02:10environment for creative exploration and process and workflow building and uh really excited to work
02:14with them and uh build this out further. It brings me back to the customer behavior question. So
02:20revenue for the full year will be 1.044 billion to 1.046 billion dollars. But I guess it's is this
02:28existing customers using more products or is it a customer count growing higher because you're offering
02:34a wider range of products? Yeah it I mean definitely both and also uh new customers adopting. We are
02:40seeing uh acceleration all that and our NDR for example went from 129 to 131 percent uh this quarter
02:49and that's on uh over 10k ARR customers. The way that we look at um just what's going on overall
03:00is people really like the platform aspect of Figma and that is something that drives adoption but also
03:07the inter uh the interoperability between the different products we have is really important
03:12and something that we're trying to uh make all the better all the time. In the quarter gone net losses were
03:19driven by stock-based compensation. Yeah the one-time event related to the IPO in particular. Related to the
03:26IPO in particular but you know stock-based comp is part of this business in the world of technology
03:31but it's also like part of the fabric and culture of the technology industry particularly now where
03:37we have this this fixation on AI talent. What is your strategy going to be from this point Dylan?
03:44Just less stock comp or you just have to manage it differently? Well I think that first of all it
03:49starts with making sure that you see and everyone sees stock-based compensation as an actual expense
03:55uh and I think that um as we build out uh we will see that number normalize um on a non-gap basis uh this
04:04is a profitable quarter for us and we uh continue to invest heavily in the short term in order to drive
04:13long-term platform growth and capabilities for our customers. I think that every customer wants that
04:19and uh our investors want that as well. The IPO wasn't long ago. I mean what sort of pressure do
04:25you feel? It feels like ages in AI terms though. It does feel like ages in AI terms and you know it
04:29feels like many weeks since we met at OpenAI Dev Day. Yes. You know even the world has changed a little
04:34bit but do you feel a different sense of pressure now that you've just reported your second quarter as
04:38a public company to deliver some kind of metric on a profitable profitability metric? It's kind of a
04:45classic story. I remember with Uber post IPO the many many quarters we made we waited for adjusted
04:51positive EBIT you know is that something that you wake up and go gosh I need to deal with this today
04:56or not so much? Right now I'm waking up and the first thing that I think about in the morning is
05:00how we make our platform better and uh it's not to try to answer the media answer it's like the real
05:06answer. Sure. That's my shower thought you know there's a great polygram essay what's your shower
05:10thought of the day. Sure. My shower thought is how do we make Figma better and uh I think that if you do
05:15that then and if you do that in the right way you drive efficiency you drive growth and that's what
05:22actually will also be what shows up in the numbers. The last time we we did speak was at OpenAI Dev Day.
05:27We went through um behaviors of people that would use Figma platforms through it through the API
05:35into JackGBT working in both spaces um what we didn't talk about or perhaps we couldn't was the
05:42business model. You know at the time you'll remember Figma stock took off like a rocket. You
05:48actually told me that right before it went on air. You were surprised by it but now that the dust
05:52has settled have you worked out that part the business arrangement with OpenAI? Yeah I remember when
05:57you were right before the interview you're like why why is your stock up so much? I'm like it is
06:03uh to look it up later um and still have no idea why uh you know I think numbers go up numbers go
06:11down what matters is building a great integration here not just with OpenAI and ChatGBT uh in that
06:17case it's FigJam that's what we're doing is making so you can do diagramming cases better it's not
06:21everything in the platform right uh but also with tons of other companies and customers uh having access
06:28and ability to take Figma context the design context bring it elsewhere and build
06:33with that uh or be able to pipe context into Figma in the case of ChatGBT where you've got a chat
06:38session and then you want to be able to create a diagram have that be a seamless experience then
06:42pop out into Figma and then iterate on the Figma platform save share and uh I think the gravity of
06:49the AI space is that everyone wants to be more open and so uh in terms of your question um nothing to
06:55share more on the monetization side or on the um sort of uh business arrangement side uh you know
07:02we're still working through that frankly with uh OpenAI is it a fair expectation though that um
07:08it will be a sales channel for you so you know people that may not uh currently be for FigJam users
07:14but but are deeply integrating their own daily work through ChatGBT move to the platform I think it's
07:21still so early and it depends on the capabilities you have exposed and so uh I think the story has yet to
07:27be written and you know next time we talk I'm sure that we'll have uh more context and more ability
07:33to understand it I want to end the conversation by by asking if you would just reflect on what it's
07:39been like being the CEO of public Figma for for another quarter I noticed in in very recently you've
07:45been really engaged with feedback on social media you know people will pose questions or criticisms even
07:50I saw one about FigJam on X I believe it was you asked you know what was the specifics here if I'm
07:57if I'm remembering correctly um how's that been yeah I mean I always try to engage the feedback
08:03it's been something we've been doing over the past decade and not just on social media across all
08:07channels you know qualitative research quantitative uh understanding um you know making sure that we're
08:14understanding and how to build that feedback loop from sales support into uh product teams I think it's so
08:20important to set the pace there but yeah in terms of um being a public company CEO with Figma uh
08:28nothing's really changed other than getting to talk to you about earnings now sure uh that that's a new
08:32one uh we can always talk outside of earnings I know I mean but but uh but otherwise seriously you
08:38know it's intense before IPO intense after uh it's kind of feels very similar have you set yourself any
08:45different targets for the next calendar year now that you've kind of come to the end of or nearest the
08:50end of this financial year at least what would you do differently going forward with Figma um I think
08:56that anything I would do differently is related to the way that AI is evolving and uh the strategy and
09:03the opportunities we see I mean for Figma make it's been amazing to see that go from an idea to a ship
09:11product in a very fast period of time I mean we did that in less than two months and then to evolve that
09:16and to see the use cases that come out of that to think about how do we make sure that this is working
09:20well with the entire platform and you know it's it's kind of an incredible moment for that space
09:26where we're seeing uh Figma make accelerate where others are you know reportedly uh kind of slowly a
09:33bit and so I think it comes back to the platform overall and also the ways that we connect with everyone
09:40else in the world and uh make sure that we're able to bring value elsewhere uh while balancing that
09:46and making sure that um folks are able to bring their context back into Figma and I get really excited
09:52about what that possibility and that future holds
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