Loom to be acquired by Atlassian for nearly $1B
Enterprise software giant Atlassian agreed to acquire Loom, an asynchronous video messaging tool, for $975 million. In 2023, Fast Company named the platform one of the World’s Most Innovative Companies, recognizing its innovative approach and 25 million users. The deal will help Atlassian expand its software portfolio, including popular tools like Jira, Confluence, and Trello. The company plans to integrate Loom’s features into its products.
Loom, founded in 2016, is a video messaging platform that aims to help users communicate through shareable videos. The platform, recognized for its user-friendly interface, allows users to record their screen, camera, and microphone simultaneously. Additionally, Loom videos come with transcripts in over 50 languages and AI capabilities that generate titles, summaries, chapters, and tasks. Moreover, Loom secured over $200 million through various funding rounds and achieved a valuation exceeding $1.5 billion following its series C round in 2021. The company now serves 200,000 customers.
“Loom’s vision is to empower everyone at work to communicate more effectively wherever they are, and by joining Atlassian, we can accelerate their mission to unleash the potential of every team,” said Joe Thomas, co-founder and CEO of Loom. ”We’re excited to weave video into collaboration in a way that only Loom + Atlassian can.”
On the other hand, Atlassian is a software company that develops products for software developers, project managers, and other software development teams. Trusted by major corporations like NASA, Kiva, Deutsche Bank, and Salesforce, as well as numerous other businesses worldwide, their solutions assist teams in working together efficiently and delivering high-quality results punctually.
“Async video is the next evolution of team collaboration, and teaming up with Loom helps distributed teams communicate in deeply human ways,” said Mike Cannon-Brookes, co-founder and co-CEO of Atlassian.
With the addition of Loom, Atlassian customers can further advance the collaboration experience for their teams. Customers can visually log issues in Jira and use videos to connect with employees at scale. Additionally, the integration will enable users to send tailored video updates and onboard new employees with personalized videos. Atlassian is expected to finalize the deal during its fiscal year 2024’s third quarter.
