CFO Jeff Hoffmeister said during the company's fourth-quarter earnings call earlier this month that Shopify had done six "tuck-in" acquisitions in the previous year.
He said that while the deals were small from a financial perspective, they've been an important source of talent and a tactic the company plans to continue.
"These have been very tactical, thoughtful AI hires and we want to continually be thoughtful, proactive, and judicious on thinking about the cash," he said.
Many of the founders that Shopify has hired now hold leadership positions in the company's product org. That includes Nicolas Grasset, the former CEO of AI-driven analytics startup Peel Insights. Shopify brought on the Peel team in May , and Grasset is now a director of product. Relay Commerce acquired the business itself.
Ray Reddy, cofounder and CEO of mobile ordering app Ritual, became a VP of product for retail at Shopify this January as part of an acquihire deal that also included his cofounder, Larry Stinson, and some engineering staff.
"I'm inspired by the opportunity to help local businesses adapt and thrive as generative AI reshapes customer expectations—a moment that reminds me of launching Ritual over a decade ago during the rise of mobile internet," Reddy wrote in a LinkedIn post about his joining Shopify. "I'm excited to join a team poised to help businesses of all sizes succeed as technology rapidly evolves."
Gil Luria, head of technology research at D.A. Davidson, said Shopify's increased acquihire activity is likely a product of the "white-hot" market for engineers with AI credibility.
Rousseau Kazi, former CEO of workplace communications platform Threads, joined Shopify's product org when Shopify acquihired the startup's team in June. Michael Averto, cofounder and former CEO of inventory operations platform ChannelApe, began working on inventory management as a product leader at Shopify as part of a deal in July.
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