Dropbox has announced its acquisition of cloud technology firm Tigris Data for $350 million, marking the company's largest acquisition to date. The deal is aimed at enhancing Dropbox’s AI infrastructure and advancing the development of DBX Agent Cloud, a new storage platform targeted at enterprises and developers creating AI models and agents. The transaction is expected to be finalized in the fourth quarter of 2026, with Dropbox stating there are no immediate plans for staff reductions following the acquisition.

DBX Agent Cloud will initially provide object storage as a standalone product, facilitating storage purchases that integrate seamlessly with existing applications designed for Amazon’s S3 service. Dropbox is also integrating enhanced AI features into its core services, allowing users to leverage AI for file-related tasks, choose between different AI models, and link their Dropbox content to third-party AI tools such as ChatGPT, Claude, and Muse. The platform will expand to support a wider variety of content types and include features to help AI agents manage files across tasks.

Tigris Data was established by former Uber engineers specializing in storage infrastructure and offers technology that optimizes data access by positioning it geographically closer to users and computing systems, improving speed and performance. The startup had raised $25 million in Series A funding the previous year. This strategic acquisition aligns with Dropbox’s ongoing efforts to boost its AI capabilities, following earlier purchases of AI-related firms like Reclaim.ai and Mobius Labs.

Dropbox’s updated AI-enabled service has already been adopted by over 70,000 teams, with the initial release available to select customers in the US, UK, and Australia and broader availability planned for 2027. The company recently implemented a workforce reduction of 9%, but this acquisition signals a strong commitment to advancing its AI infrastructure and product offerings in an increasingly competitive market for AI-enabled cloud services.