Atlassian Investor Day: $1.8B Revenue, AI Push and Enterprise Deals Fuel “Platform Company” Story

Key Points

• Atlassian reported a "very strong quarter" with total revenue of $1.8 billion (up 32% YoY), cloud revenue of $1.1 billion, RPO above $4 billion, and notable enterprise traction as customers spending >$1M grew 39% YoY with >99% retention.
• The company is centering its AI strategy on the Teamwork Graph, which it says delivers faster, cheaper and more accurate results in demos; AI adoption is accelerating with Rovo credit usage up ~20% month-over-month and the Teamwork Collection reaching >1,000 customers and ~1 million seats in six months.
• Atlassian is pushing a "platform company" narrative with a revised total addressable market of $140 billion, highlighting cross-sell and upsell opportunities (large ARR figures for Jira, Confluence and Service Collection) and a sizeable installed base yet to adopt additional collections.

Atlassian NASDAQ: TEAM used its Investor Forum at the company’s Team 2026 conference in Anaheim to highlight what executives described as growing momentum across three strategic priorities: expanding in the enterprise, delivering differentiated AI capabilities, and scaling a “system of work” built on a single cloud platform.

Quarterly results and a “platform company” narrative

CEO and co-founder Mike Cannon-Brookes opened by citing what he called a “very strong quarter,” including total revenue of $1.8 billion, up 32% year-over-year, and cloud revenue of $1.1 billion, up 29%. He also said remaining performance obligations (RPO) exceeded $4 billion, growing 37% year-over-year.

Cannon-Brookes argued that Atlassian should be viewed less as a collection of point products and more as a singular platform. He said the company’s apps and collections are designed to compound value as customers adopt more of the portfolio, with the Teamwork Graph providing shared context that powers the AI strategy. He also emphasized diversification, noting that the Service Collection surpassed $1 billion in ARR and was growing 30%, Confluence exceeded $1.5 billion in ARR, and Jira exceeded $2.5 billion in ARR.

Addressing perceptions that Atlassian is primarily developer-focused, Cannon-Brookes said non-developers represent a majority of usage across products. He cited internal figures showing that seven out of 10 Confluence users are “knowledge workers,” Jira Service Management has more than three-quarters non-developer users, and even Jira is “roughly 2/3” non-developer users.

Enterprise expansion, customer cohorts, and TAM

Cannon-Brookes said Atlassian’s base includes 350,000 paying customers and highlighted growth at the high end. He said customers spending more than $1 million annually surpassed 600 and grew 39% year-over-year, with “more than a 99% retention.” He also said the $3 million cohort expanded ten-fold in four years and grew 54% year-over-year in the last year, with an increasing number of $10 million-plus ARR customers.

He said Atlassian’s updated total addressable market is about $140 billion and pointed to “four growth levers” the company uses: expanding within existing customers, cross-selling across the portfolio, upselling into higher tiers, and winning new customers.

As one illustration of cross-sell potential, he said Jira in the cloud has about 150,000 customers, while the Service Collection has about 65,000, leaving a large installed base of Jira customers without the Service Collection attached.

AI strategy centered on the Teamwork Graph

Cannon-Brookes spent a significant portion of his remarks on Atlassian’s AI approach, emphasizing that context from the Teamwork Graph is a differentiator. He said the company is investing in enterprise-grade controls and permissions for AI use cases and highlighted the scale of the underlying graph, describing it as “150 billion+” objects and “preparing for trillion object scale.”

In a demonstration, lead principal engineer Kun Chen compared Claude Code running with and without Teamwork Graph (TWG) skills via a command line interface. Chen said the TWG-enabled agent spent early steps retrieving context, found relevant Confluence pages and related repositories, and produced a correct plan “sooner and with less cost,” while the version without TWG “missed the related repo,” “hallucinated” an event schema, and produced an incorrect plan.

Cannon-Brookes summarized the demo as costing $2.68 without Teamwork Graph versus $1.32 with it, finishing “a minute and 10 seconds less,” and producing a better result. He framed the message to customers as “cheaper, better, and faster with the Teamwork Graph.”

AI adoption signals, pricing models, and new categories

Cannon-Brookes said Rovo credit usage is growing 20% month-over-month. He also said customers that adopt Rovo grow their ARR at twice the rate of customers that have not turned it on, and that 75% of Fortune 500 companies have turned on Rovo. Atlassian also reiterated that the Teamwork Collection is its “primary AI monetization vehicle,” noting it had more than 1,000 customers and reached more than 1 million seats in the first six months, with roughly 10x the AI credits compared to certain standalone offerings.

On monetization, Cannon-Brookes described multiple pricing approaches, including per-seat pricing, usage-based offerings (including Rovo credits and other consumption meters), hybrid collection pricing, and a “flex-based” commitment model the company is discussing with customers.

He also pointed to newer enterprise-oriented products such as Focus, Talent, and DX as emerging categories tied to how customers manage AI adoption and workforce capabilities, saying DX was “ahead of our projections.”

Sales motion, partner ecosystem, and customer examples

Chief Revenue Officer Brian Duffy said he joined Atlassian to “layer on top of” its product-led growth foundation a “world-class enterprise sales motion,” while maintaining the PLG heritage. He said the company is seeing progress in larger deals, citing that in Q3 the volume of deals over $3 million surged 79% year-over-year, and that over the past year deals over $5 million increased 54%. He also said average selling price rose 22%, while smaller deals grew 32%, and retention remained at 99%.

Duffy said Atlassian had 117 quota carriers four years ago and has since grown to 400. He also described increased engagement with global systems integrators, naming Accenture, Deloitte, and PwC, and said Atlassian is shifting partner incentives toward “high-valued strategic services.”

Two customers, Cisco and CANAL+, described how they are using Atlassian’s platform and AI. Jason Andrews, VP of Strategy and Planning in Engineering Operations for Cisco Networking, said Cisco treats Atlassian as “a platform to deliver product” for around 25,000 users and cited an estimated 5% productivity uplift among 18,000 to 20,000 engineers, along with a 40% reduction in total cost of ownership for managing the platform. He said Rovo is helping automate reporting and pull data into dashboards so teams can focus on risk and issue management.

Stéphane Baumier, CTO of CANAL+ Group, said the company uses Atlassian to drive standardization across countries and described Rovo as enabling executives, including the CFO, to ask questions directly about project costs and status. Baumier said the business value includes compliance, operational visibility beyond IT, and supporting mergers and acquisitions by bringing a standardized “suite” into acquired organizations.

New CFO James Choung said he has been in the role a little over a month and described Atlassian as well positioned with a “diversified and durable set of businesses.” He echoed the $140 billion opportunity figure and highlighted early AI traction, including 20% month-over-month AI credit usage growth and stronger expansion among Rovo users. Choung also said the company is elevating “durable, profitable growth,” with continued investment in innovation alongside “strong fiscal discipline” and an “accelerate[d] path to GAAP profitability.”

About Atlassian NASDAQ: TEAM

Atlassian Corporation Plc is a software company headquartered in Sydney, Australia, best known for developing collaboration, project management and software development tools. Founded in 2002 by Mike Cannon-Brookes and Scott Farquhar, Atlassian grew from a small engineering-focused team into a publicly traded company after its initial public offering in 2015. The company serves a global customer base that spans small teams to large enterprises across technology, financial services, government and other sectors.

Atlassian's product portfolio centers on tools designed to help teams plan, build and support software and business processes.

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