‘Devastating blow’: Atlassian lays off 1,600 workers ahead of AI push

Layoffs to affect 10% of workforce amid Australian company's restructuring plan to push into artificial intelligence and enterprise sales

Software giant Atlassian has announced it is laying off about 10% of its workforce, or roughly 1,600 positions, and replacing its chief technology officer as it restructures to invest further in artificial intelligence.

More than 900 affected positions were involved in software research and development, a spokesperson said. Most of Atlassian's employees work in software engineering and design, accounting for over 50% of its 13,813 full-time workforce in June 2025.