People who use AI will replace those who don't: Adobe CEO Shantanu Narayen

People who use AI will replace people who don't use AI, just like people who used automation or computers probably replaced those who didn’t, said Adobe Inc chairman and chief executive Shantanu Narayen adding that the speed and accessibility at which the technology shift is happening this time is making it seem more disruptive. The 62-year-old, who has been steering the $21.5 billion software giant for almost two decades, spoke with ET during a recent India visit and said that India is seeing dramatic growth with a significant shift in how people are consuming the technology and software. Edited Excerpts.

There's a lot of uncertainty in the world. What is the impact you see from Adobe’s point of view?

Firstly, companies like Adobe, we have the wherewithal, the brand, the capability… So in economic downturns, stronger companies actually should get stronger. Second thing we say at Adobe is, we plan for the upside and we'll react to the downside. I would say because we've had this massively successful economic run, the sentiment is probably a little bit more negative, as a result of all these things. But you know, if you think about it as building a company for the long run, it's another blip on the way to long term growth.

Do you think countries which are more open will be better in the long term compared to the American economy which has to now bear the burden of tariffs?

I'm still a big believer in the Indian and the American economy. As long as the Indian economy and the American economy do well, it's good for both countries. The relentless move towards allowing for free trade, whatever that free may mean between countries, is the way it's going to go. It's true that Post-Covid, people have all said supply chains also need to be closer to home, maybe for security reasons for other reasons. But I like to focus on the things that I can control, which is building great software and serving customers.

Where are you on the immigration debate that is happening right now in America?

I always tell the story of my graduating class, 65% went to the US. My brother, who's older than me, 90% of his graduating class went to the US. And now I think the new generation, 5% go to the US. This is phenomenal for India, because people are finding incredible ways to grow their career and contribute to India. A lot of this work can be done remotely. It's a sign of the changing times. And we're not one of those companies, unlike the systems integrators or outsourcers who have this big issue with visas or immigration.

One of the fears is that AI is going to hit the creative industry. Where do you see this going?

People who use AI will replace people who don't use AI, just like people who used automation or computers probably replaced those who didn’t. So, that is my fundamental belief. People will be required to create different forms of skill to differentiate their craft. I think what's different this time is the speed at which it's happening and the accessibility at which it's happening. People are going to see this as more disruptive, but I think it's a job of companies like Adobe to view this as an opportunity and leverage it rather than fight it.

How has the growth that Adobe is seeing in India?

It's growing dramatically. Everybody used the software 15 years ago but people didn't pay for it. And I am actually super impressed with how people recognise the intellectual property, and they're paying for it, and it actually forces us to also be more resourceful, because the cost basis and the cost structure of some of these companies is different here. We're investing for the long run. We don't break out the revenue separately, but we're pleased. And directionally, it's all headed in the right way.

At the Waves conference, you said that the creative economy will set India apart? How do you think India can go on that path?

India has realised that the creative economy is not just all about publishing or video, but actually underlies commerce as well as education. The actual opportunity for creativity is immense. Computers are really good at pattern matching and automating. People have a story to tell, and AI is only going to enable them to tell that story with different modalities. That's really the power. I know there's some apprehension about what AI might mean for jobs, but we believe that every fundamental technology innovation has actually made it even more affordable and accessible for more people to come into the system. Before Photoshop, everybody did imaging on high-end, proprietary systems, and now you have billions of people using it. AI will have that same kind of inflection ability for creatives.

Also Read: India’s creative economy to lead next growth wave, says Adobe CEO at Waves Summit

What are your expansion plans in India?

We're a growth company, and we're growing everywhere. The way we grow businesses is we go where the talent is. And I think India will do well by continuing to invest in education and educational institutions. I would say we've had disproportionate growth in India. The India team keeps wanting to build new facilities and grow in different regions, which I think is a reflection of the success that they're having.