Is Figma in trouble or just feeling the AI heat? The design giant’s legal letter to Lovable signals more than just a trademark dispute

Figma made headlines in December 2023 after its $20 billion merger with Adobe fell apart over regulatory roadblocks. Now, the once-design giant is making news again—this time with a cease-and-desist letter.

The letter wasn’t directed at a copycat. It was sent to Lovable, an up-and-coming AI dev tool that’s gaining traction with developers looking for smarter, faster ways to build. Figma claims Lovable’s use of the term “Dev Mode” infringes on its trademark.

Figma’s Cease-And-Desist Letter to Lovable

The letter is polite. It’s also clear. Figma asks Lovable to stop using the phrase, change the name of its tool, and remove all references from public-facing content. However, Figma is already facing backlash after claiming ownership over a phrase that many in tech consider too common to trademark.

“We’re flattered that you agree ‘Dev Mode’ is the ideal name for a software tool,” the letter reads, before asking Lovable to cease all use of the term.

Here’s where things get interesting.

Figma launched its own “Dev Mode” feature in 2023 as a bridge between design and development. But platforms like Lovable, Google’s FireBase Studio, Bolt, Cursor—and now V0—aren’t trying to bridge anything. They’re skipping the design layer entirely. These tools are built for developers who want to ship production-ready UIs with AI assistance, no design files or figma-to-code plugins are required.

And that’s the real threat. Figma isn’t just facing competition. It’s at risk of becoming irrelevant.

Lovable responded publicly on X, pushing back on Figma’s claim:

“For context, we launched ‘Dev Mode’ to Lovable a few weeks ago that lets you edit the code of your Lovable project.
Dev Mode is a common feature name used by companies like Wix, Atlassian, Figma, Shopify and many more.

Now Figma claims we need to remove all mentions of Dev Mode and call it something else because they trademarked it.”

For context, we launched “Dev Mode” to Lovable a few weeks ago that lets you edit the code of your Lovable project.

Dev Mode is a common feature name used by companies like Wix, Atlassian, Figma, Shopify and many more.

Now Figma claims we need to remove all mentions of Dev Mode…

— Anton Osika – eu/acc (@antonosika) April 15, 2025

Figma’s ‘Dev Mode’ Trademark Sparks Industry Debate

The dev crowd has taken notice. And they’re not exactly siding with Figma. Developers and designers alike have pushed back, calling Figma’s move unnecessary—and in some cases, absurd.

“This is stupid. Dev Mode is a very common term in programming. Wondering if somebody trademarks common words like “cursor” soon :),” one X user said.

The criticism came fast, with many arguing that trying to lock down a phrase used by companies like Wix, Atlassian, and Shopify crosses the line. It’s not just about the name. To some, this feels like an attempt to control language that’s always been open and shared by the dev community.

Another X user summed it up with a shrug and a grin:

“figma says we can’t use the word ‘dev mode’ in lovable 😄”

figma says we can’t use the word “dev mode” in lovable 😄 pic.twitter.com/7KWx7WvdWl

— Anton Osika – eu/acc (@antonosika) April 15, 2025

Trademark or not, “Dev Mode” is a term that’s been floating around developer circles for years. It’s hard to argue it belongs to any one company. But the timing of Figma’s legal move, paired with the absence of a clear legal threat, suggests something more defensive than protective.

Meanwhile, as the controversy plays out, Figma has quietly filed for an IPO behind the scenes. The timing hasn’t gone unnoticed.

Are New AI Tools Making Figma Irrelevant?

Figma isn’t backed by Adobe anymore. It’s standing on its own in a space that’s shifting fast. Startups are building tools that don’t just add AI—they start with it. And the gap between what Figma offers and what developers now expect is growing louder by the week.

In the end, sending a letter like this doesn’t scream confidence. If anything, it feels like a reaction to momentum elsewhere.

And maybe that’s the real story here: Figma’s not trying to stop a name—it’s trying to hold its place in a space that’s moving on without it.

Because every time Goliath panics, it means David’s slingshot is working.

Below is a screenshot of the letter Figma sent to Lovable.

Here’s a screenshot of Figma’s wordmark for Dev Mode.