Arc had pretty good market validation with early adopters, they say that growth was flattened out but IMO that's normal for most products, and it's up to the company to find out WHY growth flattened and then solve that problem. Not kill the product and chase some entirely new idea about AI.
I wouldn't be surprised if the investors were fed up with the business and wanted out, pretty good exit all things considered.
Marc Andreessen said famously (or at least is paragraphed as saying) in 1994 that the "Browser is the Operating System" and people have been doing riffs on that since then.
https://www.forbes.com/sites/anthonykosner/2012/04/22/always...
https://www.theguardian.com/technology/2014/apr/09/software-...
This was also the idea behind Chromebooks:
I don't think Arc ever realized their vision. They gave some cryptic ideas of their vision for the future of the web, but I don't feel like they fundamentally changed anything. I was expecting Arc to eventually get to a place where I could login to Arc on any computer and have my home session, always up to date anywhere I was. Of course, this idea would have been a lot better in the 90s or 00s when computer labs were more common and everyone didn't have a computer in their pocket. The value of a cloud OS isn't as appealing as it once was.
In terms of growth flattening out; they threw in the towel too early. It was only after they stopped adding new features and decided to give up on Arc that it seemed to really start to get traction. I was seeing blog posts and YouTube videos left and right about Arc, all while knowing that it was effectively dead, but the memo never made it to the people who just found it and were sharing it like crazy. A new browser from a new company, that piggybacks on the browser that already has 70+% marketshare isn't going to take over the world in a few years. It was a long play and they were too impatient, and had already given up by the time they started to get some real traction outside of the early adopter space.
I remember when Firefox really hit the mainstream. Friends would see friends using IE, and push them out of the way to install Firefox. It felt very grass roots, but it worked... it just took time.
But, there's a bunch on WebKit and Gecko as well.
They betted on the possibility that OpenAI or Perplexity would buy them. With the Google monopoly suit not requiring them to sell Chrome after all, there was no reason to raise any more money as they continued to lose money.
That looks like an exit on terrible terms, like Humane and HP.
At least, that was their justification publicly, maybe the real numbers were less optimistic
I'm sorry, but this is the exact same insight that MSN Explorer had. And everyone in retrospect sees that as an absolute spamfest. Ironically, in a very similar way as AI features are seen today.
And they threw it away to work on (probably) the CEO's new fixation and threw Arc away like an old toy. And now they're selling to Atlassian and I would bet money, will just evaporate. Nothing they ever built will mean anything to Atlassian in the long term. Nobody wants to use an Atlassian browser.
False.
On my work machine, I would grasp at any straw that promised to make JIRA less annoying.
I don't want to use Jira either but yet I can't run away from it
im not a swift expert, but building your project for one of the officially supported targets shouldn't be considered a "phenomenal" achievent? lol
I always saw Dia as fundamentally a move toward AI investor bux, but I did find the "Arc was too novel for large uptake" a reasonable perspective.
Atlassian, tho, has nothing for the regular every-day consumer, they make SaaS for business. So what's the deal?
My dream for Arc, from the beginning, was that it could act as a middle-man between all the various SaaS platforms we use daily at work. Imagine: your Shortcut tickets link automatically to Slack and you can one-click open the relevant Slack channel in a side-by-side view.
We do so much switching between contexts and imo the browser could be a great surface for improving our workflows.
sometimes you just find a big enterprise sucker who's desperate to stay relevant.
Do you know why Windows computers ended up dominating the home PC market?
Because everyone was using them at work, and they wanted the same experience they were familiar with.
Hundreds of millions of regular old people use Atlassian’s products every day at work.
If they get familiar with a browser that helps them get their work done faster, they’ll demand it at home, too.
They do - Trello.
I just don't understand how they can with a straight face say "Today’s browsers weren’t built for work." when their entire business relies on browsers ability to do exactly that and have basically been fine (heavy javascript usage in Jira aside which this is not going to magically fix).
Looking at any of this I just don't see what this is actually supposed to solve.
I understand that a lot of people live in their browsers, but for web apps I’d rather split them out into “installed” PWAs and have them benefit from system app/window management facilities than have them clog up my browser’s tabs.
I suppose the good thing with AI is we're coming close to being able to roll our own versions of whatever we want when the software we were using ascends to the enterprise plane.
On top of that, Zen can be personalized with CSS. As someone who spends a lot of time in the browser, it's been awesome to be able to tailor it to my needs. https://docs.zen-browser.app/guides/live-editing
Arc is still irreplaceable for its true separation of tab and window, it’s like tmux for browser, I haven’t seen any other browser do that.
Was Atlassian the highest bidder, or was Atlassian the only bidder?
Perhaps Atlassian was sitting on cash and needed to make some bets. If you can build a big enough user base for a browser it can earn handsomely from AdWords type referral fees. Look at what Google pays Apple to be default on Safari and how much referral spend Chrome recouped for Google etc. Maybe Atlassian will try and promote Dia to its customer base and look to launch more AI type commercial product discovery experiences like Perplexity Shopping.
https://open.substack.com/pub/browsercompany/p/letter-to-arc...
I hope I am wrong.
AI seems like a feature to add to existing browsers, not something that needs its own dedicated browser. People’s workflows get tied to a browser, especially one like Arc, so to proclaim it done, with no need for any new features after just a couple years, while most expect a browser to carry on for decades, left a really bad taste in my mouth.
I was excited when they launched, but won’t miss them. They felt more like a dev backed hype machine. I’m not sure what Atlassian has planned, but won’t be surprised if they kill the browsers and integrate some tools into their existing product line.
That's like 17 hot new frameworks out of date!
Why would I try/migrate to a new workflow after they axed my old one. You can't rebuild customer trust after that
These days, I'm trying to migrate to paid tools. I would much rather work with a slower growing company that has a real business model other than grow and sell out.
Anyways, now we are building BrowserOS, an open-source alternative to Dia -- https://github.com/browseros-ai/BrowserOS
I do think that selling a browser is going to be an extremely difficult task, so having an enterprise software machine with huge customer base might help it, but Atlassian strikes me as a company that will eventually just kill the project and turn this into a de facto acquihire.
I think he's still using it. He probably would have paid something for it.
But then overnight they just weren't interested on building it. So strange.
Is this is an acquihire? Atlassian does not seem to have strategic overlap with making a browser in any meaningful way I can think of.
Will anything good come out of it…? I could be wrong, but I seriously doubt it.
Who knows what Atlassian will do with it, but I did find it a bit frustrating that in the Atlassian blog announcing the acquisition, they showcase images of Arc when they're specifically talking about Dia. The two browsers do not have UI parity, and much of what I loved about Arc would need to be recreated in Dia.
It doesn’t feel like a strong strategic or product fit. These are all complex power user products meant to serve enterprises at scale. Integration doesn’t seem useful either. Bummer but congrats to the team!
All right, there’s a related-tickets feature that could have been great (witness the related-questions feature on Stack Overflow’s ask page, widely acknowledged to search better than the site’s actual search). It’s just no good at what it’s sup posed to do.
I immediately thought Sandwich made it. Some of their stuff like https://youtu.be/5GeR8XTWR3M?si=RX-NBCMicnUPw1jA is so good I just periodically watch it.
If The Browser Company folks made that video, their superpower is really marketing and you are actually correct. But I feel like it must have been an agency.
What was even the point of all this roundabout engineering and the time and manpower to do so? What a waste. This seems more like an acquihire than actually about IP.
Probably something like this all along.
If you have investors, and give away for free a product that costs a lot of money to develop, there is surely a strategy for those investors to get their money back, plus a lot more.
It doesn't always work, of course. But it seems to have worked well in this case.
I never really got where the innovation was in Arc, and never got a chance to see or try Dia, but the interview at least gave me some empathy for what they were going for.
Arc on Windows was build in Swift. And they built Swift WinRT.
The reality is, most people at the top of these firms had great initial success because they had some advantage but over time, you realise that advantage acquired can be explained more by luck than skill.
Very few can have sustained success.
Dia is a joke, but I guess it has a chance in the age of ever-more-popular AI functionality.
My only curiosity is whether this means that Atlassian will lock these browsers down to just paying customers or keep some limited functionality versions available for personal use. Of all the companies who might’ve bought TBC, I did not expect Atlassian, based on the services they offer already.
Then again, all the potential anti-trust stuff happening with Google and the push to separate Google from Chrome could be a bit catalyst for this move.
They did help push the established players in the field forward a bit though, so I will be thankful for that.
Also: It's always funny to see how people really feel about an acquisition. eg the comments in this thread feel like a eulogy.
I absolutely love Arc for Mac. It gets all the little things right -- at least for my workflow and mindset. But "getting all the little things right" in a browser isn't something you can monetize.
But there's an even worse company that wanted to buy them out of losing money and has no solid plan to use it.
This looks like a very bad deal, equivalent to the Humane and HP acquisition.
[0] https://news.ycombinator.com/item?id=42213288
[1] https://www.cnbc.com/2025/09/04/atlassian-the-browser-compan...
But, the UI is good (to me), and I like that it's based on FF rather than another Chromium shell.
I should say though, I don't consider myself a 'power user', and I'm not a web developer so never user the dev tools.
it's hard not to be bitter after they squandered so much goodwill by abandoning Arc
my personal thesis for consumer apps is that power users will always sustain over the latest hype cycle (even if that means your addressable market will be smaller - maybe don't take an obscene amount of VC money?)
The best thing to come out of Arc was the lovely design, the tab switcher, Nate's experiments on Twitter, the astounding welcome screen, Little Arc, the announcements which acknowledged the individual engineers etc. To me, those really pushed the boundaries. For that, thank you!
I never understood Dia. ofc I downloaded Dia and tried using it a while, but never clicked on the agent bar. They told somewhere sometime that they were seeking a bigger user base. Dia definitely is not that place. A browser powered by AI definitely is nothing something beyond the geek/early adopter crew.
Things become worse when we think about how they handled this whole situation. Sometimes shady, sometimes with a lot of arrogance and always shunning off their loyal users.
We don't have the whole information, of course the team and maybe investors know better in details what happened, but definitely things weren't going well. The recent tweet from the design guy cheering up the side bar is almost a suffocated scream from the team imo.
From the company journey perspective that's a depressing way to have an exit. Wish them the best, but I'm deleting any traces of TBC from my computer.
It also has good support for profiles and spaces. For example, I have a "Work" space, a "Demo" space (with tabs open for sales demos), a "Personal" space, and even a "Travel" space for travel planning stuff.
And another killer feature is the ability to "route" specific urls to specific spaces, so for example I can have all github links open in my "Work" space.
It's a great browser, and I hope Atlassian doesn't ditch ongoing support for it.
[Side note: I'm hooked on Firefox's multi-account container feature because I can have different containers for general use, for work, isolated social media containers, etc, without needing an entirely different profile as in Chrome/Chromium and its variants. I've tried Vivaldi and other Chrome-based alternatives recently, but profiles are just too big of a separation by comparison, with separate extensions, bookmarks, settings, etc. I want all those things in one synced account where I can just open new tabs with their own set of signed-in accounts. Does Arc's profile feature have the same level of separation as Chrome? Am I missing something about how Chrome profiles work?]
And for anyone concerned about Firefox's recent statement about personal data, there's a great Firefox-based alternative called Waterfox that adds some nice features and has a much stronger emphasis on privacy.
I’ve been using Zen [1] on and off for some time but it’s time to go full time on Firefox again!
It’s such a shame tho, Arc is a great browser and I’ve felt more productive using it, not to mention the UI, which is cleaner and just slicker than any other browser.
I wish they had managed to keep Arc around. It's a product I'd glad pay for, and it seems like maybe there are enough fans that subscriptions could've supported a smaller team. Hopefully Atlassian doesn't kill it after 5 months
Was this not predictable from day one? There's no money in making a web browser. That ought to be obvious to anyone, let alone a superstar CEO. That they would end up selling the company seemed like a foregone conclusion.
I don't mean to disrespect the guy but I don't see much to credit here either. He had a problem, used VC cash to ignore it, then sold the company. Hardly uncommon in the tech world.
If you live by the rule that you only judge leaders by their actions and not by their words, TBC was a failure as soon as they abandoned Arc, and arguably when they couldn't provide a business case for Arc in the first place.
What respect does delusions of grandeur and crashing out at Atlassian deserve?
I will keep suggesting Atlassian, because everything else I used since the 1990's was worse.
Here are the real reasons to drop Atlassian:
1 -- You're already paying for GitHub. Atlassian has no alternative to GitHub Actions, and nothing else matches it at scale.
2 -- GitHub works better with AI coding tools, most dev tools, and most CI/CD pipelines. Open source is ~5x more likely to be on GitHub than anywhere else.
3 -- Your devs like GitHub more. Honestly, everyone does. The only person who tolerates Jira is the guy who thinks changing fonts on TPS reports counts as productivity.
4 -- And the best part: you can close an issue with a pull request. If you can't tie a task to the code commit, and show clean automated tests before merging, that's not project management -- it's project theater.
[1]: https://xcancel.com/ID_AA_Carmack/status/1961172409920491849 [2]: https://news.ycombinator.com/item?id=45066395
What’s the play here? Just throwing money into anything AI at this point and seeing what sticks?
I know Firefox is the "right" option, and I'm fully in favour of chipping away at Chromium marketshare (even if the EU is determined to solidify it further with demands of Apple to allow non-Safari rendering in iOS) but I've used it in the past, and even if it's fine 99% of the time, there is that occasional website that has issues because web devs only test in Chromium. And it leaves me with an ever-looming sense of "is this broken because the site is actually broken or was it just not tested with anything but Chrome?" and then I'm obsessively opening Chrome every time I have an issue to test it there.
So I figured I'll just use one of the many Chromium-based alternatives that's going to continue supporting manifest V2, and I've generally heard good things about them anyway. Edge is off the table since Microsoft said they'd only support it as long as Google did, and I already swore it off after using it for like the first year after they switched to Chromium and it was okay, but it quickly got destroyed by the typical suspects at Microsoft, turning it into a Microsoft adware shitshow. Not to mention their quality control was clearly not up to snuff cause they frequently pushed terribly broken builds to stable, which I rarely experienced with Chrome in 15-ish years of using it.
I tried Arc a little bit but something about the onboarding process and browser experience feels more like their top priority is being cute and unique rather than just making a good browser.
I've settled on Brave for now. After disabling all their crapware, it's been... okay. But like Edge, it seems to have some quality control issues. I have very weird performance issues, like for a long time typing in the youtube comment box would be incredibly laggy. I think that's mostly fixed now? But I still get regular issues where the entire browser will lock up if I'm playing a video and I pull the tab into a separate window, and I have to kill the window to unfreeze everything. The bugs are annoying on their own but it also gives me concern about the skillset of the people making it. I'm trusting my browser with fairly sensitive data, and who knows how difficult it will be in a few years to continue supporting manifest V2. They got all that work done for them by Google/open source contributors. Wouldn't surprise me if Google maliciously made manifest V2 more and more difficult to support by moving Chromium in a direction that's increasingly incompatible with it.
If you see bugs, you can probably assume they're just regular ol' bugs most of the time. A lot of the web is just plain broken or badly designed.
could've shortened this to 'Edge is off the table since its Microsoft' :)
Report compatibility issues and they'll either try to work with the websites or browser vendors to mitigate the issue.
Atlassian is in the 'productivity' business. The natural next step is to allow agents to do the productivity tasks for you.
Agents rely on semantics (ie. business logic). Often, business logic lives on the frontend, with backend API calls having little resemblance to their intended business outcome. This means computer use agents, inefficient as they may be, win by default.
Browser automation is fragile and needs a lot of domain knowledge to do robustly. Why not acquire a group that literally built their own browser ?
I am a little confused because at first glance their product appeared to fail to find a market.
There must be something of value here.
Does Atlassian want them to become an Enterprise AI arm?
Did we learn nothing from Windsurf?
I use Safari day-to-day, but its behaviors are inconsistent with caching which makes development hell. I notice this caching behavior even when you have it disabled in the network developer tools.
Hug Firefox close, it's an awful world out there, especially with Google being given the greelight to continue their monopolising with Chrome.
I remember being tempted by this thing when it first came out - their asinine sign up waiting list kept me from pursuing it further and then I forgot about it until they eventually fully dumped it and moved into full AI-enshittification territory. There are really 30 years of reasons why most people will never trust a new entrant to the browser market - this is just the latest and probably greatest.
What a shitshow.
Yeah, this -- combined with the fact that their website told you nearly nothing about why their browser was worth signing up to something just to try it out someday -- is why I never used it. I don't personally know anyone who did.
It seemed dumb at the time -- I was actively looking for a better browser and certainly would have considered Arc, but they were determined to keep me from learning anything about it (let alone try it), so that never happened.
Wild that someone else's browser technology mixed with generic AI is worth $610m. Bubble, you say?
The web as a whole is also built on this discovery and people visiting pages and interacting with other. This gets lost when you get into the flow of just AI'ing everything.
Much of my ideas are the results of deep thought but those really great ideas are sporadic at times!
This isn’t criticism or sarcasm — I’m genuinely impressed, but also very curious about the rationale behind it.
Explaining why they're successful and I'm not.
All told, probably worth 610M.
- no company generates revenue in its first second. Even if you start a lemonade stand tomorrow, you'll have to buy some lemons first. The time-to-revenue might be very short, but it's never zero. Therefore, making no revenue for 1 day or for 10 years is not a step change, but simply a point on a curve.
- Capitalism is basically a long history of creating vehicles with increasing sophistication to bridge that gap: provide funding for ventures that have returns in the future. This is intrinsically difficult, and it's easy to waste money, but it can work immensely. This started with the Dutch inventing limited liability corporations to fund ship expeditions, and today's VC is essentially an extension of that.
- It has worked well in the past to bet on companies that don't optimize for time-to-revenue, but something else – famous examples being e.g. Amazon, Google, Meta, who all lost lots of money initially.
Hence there can be companies that make no money for quite a while. And it can even turn out that the vast majority of the companies that make no money for a while never make any money. Accepting this risk is a feature, not a bug.
Anyway, the idea of making Dia into the knowledge worker's browser sounds good.
For me, this new browser would be successful the day I prefer to run Linear and Notion in Dia rather than using the companies' own Electron desktop apps (which are pretty terrible on Mac at least, so the bar is not necessarily very high).
Normally, I’d scoff at the idea. But they genuinely made the browser useful again in ways for which I’d happily shill $30/mo. Superhuman proved you can do it for email, which was also previously laughable. I guess that ended in a buyout, too, but at least they tried.
Arc also had a solid wedge into team space, especially if going AI-native was their little dream.
You own the browser. Just build a capable browser-first agent that helps teams do work. Make it a shared space (separate from personal ofc) and start charging for teams.
As I write this, it’s pretty clear that’s what Atlassian wants to do with this. The only real loss is: - They decided to roundtrip the entire product story of Arc with Dia, and drag users through 0->1 again - It’s Atlassian, and you know they’re gonna suffocate anything that isn’t related to Atlassian
All in all, this looks like a fear-based sellout. They could have done it on their own but didn’t have the chops to scale into a company of that size. So instead they took the guaranteed payoff and tucked themselves inside this big ** kangaroo’s pouch for safety while they get to play with AI indefinitely.
“We coulda been something real.”
————
EDIT: unironically, they now offer the option to pay $20/mo for Dia Pro… it’s basically comedy at this point.
> less than 10% of organizations have adopted a secure browser
Yes Gartner, let's invent a "secure enterprise browser", because there's too much interoperability on the web - there's definitely some business on splitting that up. I'm sure atlassian people love that idea.
Enterprise browsers are an existing category, and even Google offers an enterprise version of Chrome.
The idea of an enterprise browser is that all of the interoperability that has been built has been between the desktop and web servers. Most desktop browsers don't have many features that allow an organization to manage them, beyond managed policies which honestly aren't that great. For the most part, standard desktop browsers are a big hole in both inbound and outbound security.
Atlassian would want integration with their backend products to increase lock-in and provide a place where their products are centered. IT control how products are presented to end users in organizations that matter (in terms of sales volume.) Establishing visibility and driving engagement is hard if the Atlassian tools are a niche and they want to attack SharePoint or other products. Being able to more efficiently use the tools the company has bought is attractive (even if not a reality.)
Making their browser incompatible is a bad outcome for them because it's an IT choice to adopt their browser. This carries visibility and risk for IT who could be embarrassed. Any backlash carries over to other Atlassian products or affects renewals.
A secure browser was never a concern.
Think about putting your business VPN and security controls in the browser. And if you can put your connection to AI and start building a productive workflow around it, that's an interesting proposition. It doesn't change interoperability on the web; it's a controlled client for the business use case.
This is being marketed to an entirely different group.
That's the value prop (along with better application interop+) of the Here browser.
+ I do think the File System API did somewhat mitigate this value prop.
https://developer.mozilla.org/en-US/docs/Web/API/File_System...
It could have been awesome. But this stopped me dead in my tracks. Hard pass and I gave them no recommendations to anyone.
You have a great product, passionate users, and you have to throw it all away (because you've accepted too much money from investors who don't care about anything other than quick returns).
The main feature being touted is the ability to take context from multiple tabs and ... do something with it? So unconstrained access to what you're doing in multiple tabs feeding into exactly what and why? The announcement is concerning because it mentions "AI skills" which are, of course, nonexistent.
If anything, the "arc" of The Browser Company proves a fundamental tenet of the post-capitalist era: You can get rich without making or selling any products that anyone wants. It's all stock transactions between wealthly elites. The software, if any, is an afterthought.
[DELETE] [ARC]
