Adobe acquires Topaz Labs to embed AI upscaling into Premiere

The acquisition provides Adobe with immediate, market-leading capabilities in video restoration that it previously lacked compared to competitors like DaVinci Resolve. For the broader ecosystem, this signals a shift from using AI as a purely generative novelty to a functional utility for technical mastering and archive remediation. By securing Topaz’s local-processing Neurostream technology, Adobe can offer high-intent professional tools that avoid the recurring costs of cloud-based inference. Watch for whether Adobe gates these premium upscaling models behind higher-tier Creative Cloud plans or maintains the current standalone price ceiling once the deal closes in late 2026.

The acquisition, announced June 25, 2026, marks the end of an era for the independent AI tool provider, which moved to a strict subscription-only model in late 2025 following the launch of Topaz Studio. According to reporting from PetaPixel in June 2026, the deal is expected to close in the second half of the year, with Topaz CEO Eric Yang staying on to lead the team within Adobe. This move follows Topaz’s 2025 Emmy win for AI Image and Video Enhancement, a distinction that underscored the company's dominance in TV catalog restoration.

Strategically, this rollout aligns with major AI infrastructure updates across the Adobe ecosystem. In January 2026, Adobe released Premiere version 26.0, which introduced AI-powered Object Masking and updated tracking capabilities that were 20x faster than previous versions, per official Adobe documentation from Sundance 2026. Furthermore, Adobe had already begun technical integration with Topaz models prior to the full acquisition. In December 2025, Adobe added Topaz Astra upscaling capabilities to its Firefly Boards ideation surface, signaling an early intent to leverage Topaz’s specialized models alongside in-house generative video tools.

Industry analysts at Rewarx noted in June 2026 that the acquisition could create friction for small-business users who formerly relied on Topaz for one-time license fees of roughly $99 for tools like Gigapixel. While Adobe maintains that standalone Topaz offerings will continue, historical precedents—such as the 2026 closure of the Figma regulatory review and subsequent feature bundling—suggest that the long-term roadmap will prioritize deep integration within Creative Cloud. Adobe is currently positioning this combined stack to compete more aggressively against rapid innovation from Canva and advanced color-grading leaders in the professional video space.