Figma unveiled several major updates at its Config 2026 conference. The headline feature is code layers, which brings executable code directly onto the collaborative design canvas, allowing teams to clone repos and extract flows from code into design layers. The feature is backed by React and supports npm packages including motion and 3D libraries. Other announcements include native animation and 3D transform support, AI-generated shader effects, prompt-based custom plugin creation, and new AI skills for Figma's design assistant that can connect to external tools like Notion, GitHub, and Excel. Figma also deepened integration with Figma Weave (from its Weavy acquisition). The updates come as Figma faces competitive pressure from AI coding tools like OpenAI Codex, Canva's AI model, Adobe Firefly, and Google Pics, with its stock down ~79% since its July 2025 IPO.

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