Adobe acquires Topaz Labs to boost AI video and image enhancement

Adobe announced its acquisition of Topaz Labs, a veteran AI-driven image and video enhancement company that has operated for over two decades and won an Emmy last year for its production technology. Topaz Labs is best known for its proprietary models: Astra for AI video upscaling and Wonder for image retouching. It also developed technology that enables large video models to run efficiently on consumer-grade GPUs, a key advantage for on-device performance. The acquisition will bring these capabilities into Adobe’s ecosystem, specifically its Firefly AI app and Creative Cloud suite, with standalone services continuing to be available via Topaz’s website.

The move is a strategic play by Adobe to fend off competition from Canva and Blackmagic Design’s DaVinci Resolve. By integrating Topaz’s on-device AI optimization, Adobe can offer faster, more cost-effective enhancements like sharpening details, reducing noise, and restoring archival footage — directly within its existing tools. Deepa Subramaniam, Adobe’s VP of product marketing for Creative Cloud, highlighted that this deep expertise will make advanced AI more accessible and responsive for professionals. The transaction is expected to close in the second half of 2026, signaling Adobe’s long-term commitment to locking users into its AI-augmented creative ecosystem.