Atlassian Cuts 1,600 Jobs As Tech Giant Accelerates Push Into Artificial Intelligence

Canberra: Australian software company Atlassian has announced a major workforce reduction, eliminating roughly 1,600 jobs globally as it restructures to prioritise artificial intelligence initiatives. The cuts represent about 10% of the company’s staff and are part of a broader strategy to redirect investment toward AI development and enterprise growth. 

According to The Guardian, the layoffs will affect employees across several regions, with the largest number of roles impacted in North America, followed by Australia and India. Other affected positions are spread across Europe, the Middle East, Africa, Japan and the Philippines. 

In a message to staff, Atlassian’s chief executive and co-founder Mike Cannon-Brookes acknowledged the significance of the decision, saying the company must adapt as artificial intelligence reshapes how software is built and delivered. He stressed that the shift toward AI is altering the skills required within the company and changing the number of roles needed in certain areas. 

The company stated that the restructuring will help fund expanded investment in AI technologies and enterprise sales capabilities while also strengthening Atlassian’s financial position. Cannon-Brookes described the move as difficult but necessary for the company’s long-term strategy.

The changes also coincide with leadership adjustments. Chief technology officer Rajeev Rajan is expected to leave the role, with new leadership expected to guide the company’s next phase of AI development.

Despite the job losses, Atlassian has indicated that the move is intended to position the company for future growth in an industry increasingly shaped by artificial intelligence. The decision comes as technology companies across the sector reassess workforce structures and investment priorities amid rapid advances in AI tools and shifting market expectations. 

However, the layoffs have drawn criticism from worker representatives who say the announcement came with limited consultation and has caused uncertainty among affected employees.

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