August 3, 2021

Moving towards a cloud-only strategy, Atlassian will stop selling server licenses as of February 2, 2021 But promises three years of maintenance for existing server licenses

Atlassian is a software publisher based in Australia that develops products for development and project management including Jira (a bug tracking system, an incident management system and a project management system), Confluence (a teamwork space where knowledge and collaboration come together), Bitbucket (a freemium web hosting and software development management service using Git version management software) and Trello (a project management tool online which is based on an organization of projects in boards listing cards, each representing tasks).

The publisher has decided to move towards cloud-only. The reason ? He said the majority of his customers are already enjoying the benefits of the cloud today, with more server and data center customers making the switch every day. So, to ensure that we provide them with the best possible cloud experience, Atlassian has decided to strengthen its focus as a cloud-based company and has decided to make changes to its self-managed offerings.

This is what Scott Farquhar, co-founder and co-CEO of Atlassian, explained:

As an Atlassian customer, you are an important member of our community. Some of you have been with us for over a decade, and as your needs have changed, so have we. Today, the majority of you are already enjoying the benefits of the cloud, such as streamlined administration, instant scalability, and faster return on investment. In fact, over 90% of you are getting started with Atlassian cloud products, and more and more server clients are making the switch every day.

Whether it is to stay ahead of the latest regulatory and safety requirements, to extend our ecosystem with a new development platform and to introduce flexible plans, we have continuously invested in our cloud tools so that your teams can work flexibly and effectively. innovate quickly.

We’ve also taken our cloud offerings to the next level by creating a modern, intuitive, and unified experience across all of our products to transform the way your teams collaborate. We take advantage of automation and machine learning to reduce the time spent on repetitive tasks and improve our integrations to foster seamless workflows in your teams.

But when it comes to our mission to unleash the potential of every team including yours you need us to go faster and go further. In response, we are announcing changes to our server and data center offerings to focus as a cloud-based business. While these changes will serve the long term success of your organization, we know that the transition will be difficult for some of you.

What changes are coming?

Changes to Atlassian Server Products

  • On February 2, 2021 Pacific Time (PT), the following changes will take effect:
    • End of sales of new server licenses: you will no longer be able to purchase or request a quote for a new server product.
    • Server price updates: Atlassian will apply new prices for server renewals and upgrades.
    • Three years of maintenance: If you have existing server licenses, you can continue to purchase maintenance and support services for your licenses for up to three years.

  • On February 2, 2024 PT, the following change will take effect:
    • End of support for all server products: this means that support and bug fixes will no longer be available for your server products.

To facilitate a smooth transition, Atlassian will offer three years of support and maintenance for your server products and will offer loyalty discounts to eligible customers to downgrade their cloud or data center products. For those ready to explore the cloud, the publisher has created the Atlassian Migration Program (AMP) which provides you with step-by-step guides, free migration tools, a dedicated migration support team, and a free migration trial. the cloud for the duration of your remaining server maintenance up to 12 months.

Changes to Atlassian Data Center Products

Even with three years to prepare for these changes, Atlassian understands that not all of its customers will be ready to switch from its server products to cloud products. And some of them have job requirements that might prevent them from working in the cloud.

For these customers, Atlassian will continue to offer its self-managed enterprise edition, Atlassian Data Center. This will include new features and integrations that make it easier to use our cloud and data center products together, such as unifying the administration experience for areas such as user management.

The publisher will also strengthen Atlassian Data Center by making some of its most powerful applications available natively and by providing priority support with Data Center subscriptions for most user levels. To support this continued innovation, Atlassian will update the pricing of data center subscriptions on February 2, 2021 PT.

I understand that these changes can seem overwhelming and can disrupt your business. Whether you choose our cloud or Atlassian Data Center solutions, I want to assure you that our Atlassian teams and our network of solution partners are here to help you achieve a successful migration and lay the groundwork for a bright new future.

I would like to end by thanking the nearly 175,000 client organizations who trust us every day. I also want to especially thank those of you who have worked with Atlassian for over a decade. We appreciate your continued support and we are committed to your success.

COVID-19 Crisis Accelerates Shift to Hosted and Cloud Collaboration Solutions

Atlassian’s strategic decision to move to the cloud is not trivial. Indeed, second quarter data from the Synergy Research Group shows that spending on UC collaboration tools increased 7% from the second quarter of 2019, to more than $ 12 billion. In particular, spending for host and cloud solutions increased 18%, while spending for on-premises products decreased 18%. Hosted and cloud solutions now represent more than three-quarters of the market. While most of the hosting and cloud segments are expanding, growth has been particularly strong in SaaS teams, SaaS and CPaaS conferences. As a result, Zoom, Twilio, Vonage and Slack now all feature prominently in the top ten collaboration providers rankings.

Among the on-premises products, the most important segments are IP telephony, video conferencing, on-premises e-mail and content management. While total on-site expenses are declining, some growth has been observed for video conferencing equipment. The fastest growing segments in host and cloud solutions are Teams, Conferences and CPaaS, but the largest segments remain Hosted PBXs and UCaaS, Hosted Contact Centers, and Hosted / Cloud Email.

It is in this context that IBM has indicated its intention to focus on the promising market of cloud and artificial intelligence. One hundred and nine years after its birth (IBM was created in 1911), the structure made the decision to separate its Managed Infrastructure Services unit from its Global Technology Services division into a new public company known for the time being under the name NewCo. The American group explains its decision by the acceleration of its hybrid cloud strategy, relying in particular on the technology acquired with the Red Hat OpenShift platform, to support the digital transformation of its customers. Moreover, in this regard, the company declared:

IBM is focusing on the $ 1 trillion hybrid cloud opportunity, said Arvind Krishna, CEO of IBM. Customer purchasing needs for application and infrastructure services diverge as adoption of our hybrid cloud platform accelerates. Now is the time to create two market-leading companies focused on what they do best. IBM will focus on its open hybrid cloud platform and artificial intelligence capabilities. NewCo will have greater agility to design, manage and modernize the infrastructure of the world’s most important organizations. Both companies will be on an improved growth trajectory with greater ability to partner and seize new opportunities – creating value for customers and shareholders.

We have positioned IBM for the new era of hybrid cloud, said Ginni Rometty, CEO of IBM. Our multi-year transformation laid the foundation for the open hybrid cloud platform, which we then accelerated with the acquisition of Red Hat. At the same time, our managed infrastructure services business has established itself as the industry leader, with unparalleled expertise in critical infrastructure works and works. As two independent companies, IBM and NewCo will capitalize on their respective strengths. IBM will accelerate the digital transformation of its customers, and NewCo will accelerate efforts to modernize its customers’ infrastructure. This goal will translate into greater value, increased innovation and faster execution for our customers.

Source : Atlassian