Under-pressure software giant Atlassian faces a potential US shareholder class action as law firms try to recruit disgruntled investors who lost money when the Sydney-based firm’s shares fell sharply in the dramatic sell-off of software-as-a-service stocks over artificial intelligence fears.

Shares in the company have fallen nearly 70 per cent over the past year on concerns that the rise of AI-powered coding tools will lead to fewer software developers using Atlassian’s products and that its software could be easily cloned by users with little technical skill.

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