Upwork expands into corporate staffing with Bubty, Ascen acquisitions
CALIFORNIA, UNITED STATES — Online talent platform Upwork is moving beyond its core freelance marketplace with two acquisitions aimed at capturing a larger share of the corporate staffing market.
The San Francisco-based company has acquired Bubty, a freelancer management system (FMS) and staffing platform. Upwork also signed a definitive agreement to acquire Ascen, a global compliance and employer-of-record (EOR) provider.
The acquisitions will form the backbone of a new stand-alone enterprise-focused business under the Upwork umbrella, offering corporate clients expanded contract types, including agent of record, employer of record, and staff augmentation.
“Most providers force customers to choose between flexibility and compliance, or speed and scale,” said Upwork President and CEO Hayden Brown.
“With this new capability, we’re refusing to compromise. We’re giving our customers the singular solution they’ve been asking for.”
Acquisition details of Bubty and Ascen
Upwork purchased 100% of Bubty on June 27 for $20.4 million in cash. Bubty, headquartered in The Hague, Netherlands, provides workforce management technology along with global freelancer classification, misclassification indemnification, and payments in more than 190 countries.
Ascen, meanwhile, specializes in contingent workforce compliance and EOR services. The company will bring in-house capabilities that Upwork previously outsourced to partner firms. The acquisition deal, signed August 5, is expected to close in the second half of 2025.
Brown said Upwork evaluated over 100 potential targets before selecting Bubty and Ascen, piloting each individually and together.
Financial impact and growth outlook
Upwork’s existing enterprise segment currently generates about $100 million of its $750 million annual revenue. Brown said the new stand-alone entity will allow better branding and operational focus for large corporate clients with complex compliance and integration needs.
The acquisitions were announced alongside Upwork’s second-quarter earnings. Revenue rose 0.9% year over year to $194.9 million, driven by AI-enhanced platform features, increased hiring for AI-related projects, and growth in its Business Plus offering. AI-related job postings jumped 38% from last year.
Upwork raised its 2025 full-year revenue forecast to $765 million–$775 million, up from $740 million–$760 million, and expects meaningful revenue contributions from Bubty and Ascen starting in late 2026.
