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00:02Atlassian said Wednesday it will cut 10% of its workforce, about 1,600 jobs,
00:08as the software company restructures to fund investment in artificial intelligence and
00:12enterprise sales, according to CNBC. Atlassian has lost more than half its value this year
00:18and is down 84% from its 2021 peak as software stocks face pressure from generative AI tools.
00:24The cuts will result in $225 million to $236 million in charges and should be mostly completed
00:32by the end of June. The company said demand for its rovo AI features reached 5 million monthly
00:38users in February and noted revenue growth has accelerated for three consecutive quarters.
00:43CEO Mike Cannonbrook said artificial intelligence is changing the mix of skills and roles Atlassian
00:49needs, prompting the company to reshape how employees work to adapt to the technology.
00:54He also said Atlassian is accelerating its push towards sustained profitability after
00:58remaining unprofitable every fiscal year since 2017.
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