Adobe to Acquire Semrush for $1.9 Billion

Adobe announced its agreement to acquire the search engine optimization (SEO) company Semrush for approximately $1.9 billion in cash. This acquisition aims to enhance Adobe’s existing suite of marketing solutions.

Adobe stated they will offer $12 per share for Semrush, nearly doubling Semrush’s closing price of $6.89 on the previous Tuesday, before deal news emerged. Before the announcement, Semrush held a market capitalization of roughly $1 billion.

Betting on AI-Driven SEO

Adobe’s acquisition of Semrush signifies a strong belief that businesses will prioritize optimizing their content for AI visibility. Consumers increasingly rely on AI chatbots, agents, and browsers for tasks ranging from news consumption to travel planning. This shift creates a significant opportunity for SEO platforms like Semrush, as generative AI tools drive increasing traffic to websites.

According to Adobe Analytics data, retail website traffic originating from generative AI chatbots surged by 1,200% year-over-year as of October, highlighting the growing importance of AI-optimized content.

Semrush’s Generative Engine Optimization (GEO)

Semrush has actively invested in “generative engine optimization” (GEO). They recently introduced a tool designed to monitor and improve website performance using both traditional SEO strategies and optimization techniques tailored for AI engines like ChatGPT, Claude, Copilot, Grok, and Perplexity.

Adobe’s Perspective

“Brand visibility is being reshaped by generative AI, and brands that don’t embrace this new opportunity risk losing relevance and revenue,” explained Anil Chakravarthy, president of Adobe’s Digital Experience Business. “With Semrush, we’re unlocking GEO for marketers as a new growth channel alongside their SEO, driving more visibility, customer engagement, and conversions across the ecosystem.”