Adobe is hunting for its next CEO, and the company isn’t limiting itself to the talent already in the building. The board has identified two internal frontrunners while simultaneously engaging an external search firm to find candidates with deep artificial intelligence expertise.

Shantanu Narayen, who has led Adobe since December 2007, is stepping down after nearly 18 years in the top seat. During that stretch, he transformed the company’s annual revenue from under $1B to north of $25B.

The candidates and the process

On the internal side, two names have emerged as primary contenders: David Wadhwani, who serves as President of Adobe’s Creativity & Productivity business unit, and Anil Chakravarthy, who oversees the company’s other main business division. Adobe has also hired an external search firm specifically tasked with identifying leaders who bring AI-focused expertise to the table.

The search is being overseen by a special committee chaired by Lead Independent Director Frank Calderoni. There’s no public timeline or shortlist for the final decision.

Narayen plans to stay on as board chair once a successor is named.

Market reaction and what it tells us

Investors were not thrilled by the news. Adobe shares dropped more than 7% in after-hours trading following the March 12, 2026 announcement.

Adobe’s revenue trajectory under Narayen has been extraordinary, growing more than 25x during his tenure. The company’s product portfolio remains deeply embedded in the workflows of creative professionals, enterprises, and marketers worldwide.