Photoshop format (PSD)

Photoshop (PSD) - Photoshop format (PSD) is the default file format and the only format, besides the Large Document Format (PSB), that supports most Photoshop features. Because of the tight integration between Adobe products, other Adobe applications, such as Adobe Illustrator, Adobe InDesign, Adobe Premiere, Adobe After Effects, and Adobe GoLive, can directly import PSD files and preserve many Photoshop features.

References:

• Adobe Help Resource Center: Photoshop format (PSD)