The AI questions Atlassian and Canva can no longer ignore
5/27/202632 min
Financial Review tech reporter Paul Smith and business reporter Amelia McGuire on what happens next for Australia’s two tech titans and their billionaire founders, and which company is best placed to weather the SaaSpocalypse.
This podcast is sponsored by Westpac
Further reading:
‘A certificate for burnout?’ Inside Canva’s confetti-filled AI pivot
In the midst of the AI-fuelled wipeout of tech firms, Canva and Atlassian spruik similar talking points to very different receptions.
How Mike Cannon-Brookes’ divorce may affect the control of Atlassian
The division of the Atlassian co-founder and CEO’s shares in his divorce settlement with estranged wife Annie could have big consequences for the company.
Cannon-Brookes says Atlassian’s $37b AI fall is rational but wrong
In an interview, the billionaire says the software giant will emerge stronger from the sharemarket sell-off and that he misses running it with Scott Farquhar.
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Transcript preview
First 90 secondsLisa Murray· Host0:00
[upbeat music] The Australian Financial Review. [upbeat music] Last month, Financial Review technology editor Paul Smith sat down with Atlassian chief executive Mike Cannon-Brookes.
Paul Smith· Guest0:16
Look, so I guess obviously the, the starting point is we've written a lot about the SaaS apocalypse or whatever you wanna call it the start of the year.
Mike Cannon-Brookes· Soundbite0:23
I mean, I mean, you do.
Paul Smith· Guest0:24
[laughs] I know, I know.
Lisa Murray· Host0:25
To ask him about why investors are so spooked about the impact of AI on his global software business.
Paul Smith· Guest0:32
Why do you think Atlassian has been hit so hard?
Lisa Murray· Host0:36
Cannon-Brookes is clearly frustrated, especially given the company's recent strong earnings result.
Mike Cannon-Brookes· Soundbite0:42
You can understand it from an investor point of view to some extent. And I've had so many investor conversations over the last year where they're like, "Man, you guys just crushed it. Great quarter, well done." I'm like, "Great, are you buying the stock?" They're like, "No, not yet. The whole thing is just too scary right now. Yeah, I'm gonna sit on the sidelines and wait."
Lisa Murray· Host0:57
For much of the past decade, Atlassian and privately held Canva have been tied together as the country's technology trailblazers. With Atlassian's successful NASDAQ listing and Canva as a venture capital darling, they put Australia on the map, proving that tech startups here could compete with the best in the world. And in the process, they changed the look and feel of corporate Australia. But more recently, their paths have diverged.
Paul Smith· Guest1:27
Canva's obviously doing the best job