Atlassian to Acquire DX for $1 Billion

By Greg Peters • Thursday, September 18 15:31 • Permanent Link

Atlassian Corporation (NASDAQ: TEAM) has recently announced its definitive agreement to acquire DX, a leader in engineering intelligence, for approximately $1 billion in cash and restricted stock, including DX’s cash balance. The transaction, subject to customary adjustments, is expected to close in the second quarter of Atlassian's fiscal year 2026 pending regulatory approvals.

The acquisition is aimed at closing the visibility gap on AI investments and enhancing engineering intelligence for enterprises. With DX's expertise, Atlassian aims to provide a comprehensive view of developer productivity and satisfaction. This includes measuring AI adoption and impact, providing 360° visibility into developer experience, and offering real-time insights into developer productivity and system health.

Atlassian's CEO and co-founder, Mike Cannon-Brookes, emphasized the importance of helping their 300,000+ customers understand the value of their investments in the AI era. He mentioned that integrating DX into Atlassian’s system of work will enable engineering teams from large enterprise companies to move faster, more intentionally, and with significant impact.

DX's CEO and founder, Abi Noda, expressed excitement about the combination of their data intelligence with Atlassian’s AI-powered tools, which will provide customers with unmatched understanding, solutions, and feedback to accelerate developer productivity.

Moreover, with nearly all of DX's customers being Atlassian users, the acquisition provides DX the opportunity to expand its reach to Atlassian’s customer base of over 300,000 customers.

This acquisition aligns with Atlassian's focus on unleashing the potential of every team through its software development, work management, and enterprise service management software. The company's collaboration software powers over 80% of the Fortune 500 and 300,000+ customers worldwide, including NASA, Rivian, Deutsche Bank, United Airlines, and Bosch.

It's worth noting that this transaction does not change Atlassian’s previously issued fiscal year 2027 non-GAAP operating margin target. The market has reacted to these announcements by moving the company's shares -2.02% to a price of $168.77. For more information, read the company's full 8-K submission here.

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