Software maker Adobe (ADBE) has named a new chief executive officer (CEO) amid ongoing struggles for its business and stock.
The company, known for creative software products such as Photoshop and Illustrator, has named Anil Chakravarthy as its next CEO, replacing Shantanu Narayen, who announced earlier this year that he would step down.
Chakravarthy, who will also serve as Adobe’s president, is an internal hire. He most recently served as president of Adobe’s customer experience and global field operations.
Chakravarthy will take the helm of Adobe on Dec. 1 of this year, when he will also join the company’s board of directors.
ADBE stock is down 3% on news of the CEO appointment, suggesting that investors had been wanting the company to appoint an outsider to the leadership role rather than an insider.
The current CEO Narayen will become executive chair of Adobe’s board. He said in March that he would step down after leading Adobe for the past 18 years.
Chakravarthy joined Adobe seven years ago after serving as CEO of enterprise data management company Informatica.
His appointment as CEO comes as Adobe’s business and stock struggle with the impacts of artificial intelligence (A.I.) and investor concerns about disruptions to software makers.
Adobe has reported a string of disappointing financial results and weak guidance as management has acknowledged that A.I. models are taking a toll on the business.
In addition to Chakravarthy’s appointment as CEO, Adobe executive David Wadhwani announced that he will exit the company this year.
Wadhwani had served as president of Adobe’s creativity and productivity business for the past five years.
ADBE stock has declined 57% over the last five years, including a nearly 20% drop this year. The company’s shares are currently trading at $276.34 U.S.
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