Your Company May Soon Pay More for This Key Software
While these Atlassian (TEAM) products—like Jira for tracking bugs and Confluence collaboration software—may not be name brands to non-IT pros, they are a big deal to software developers. And because most companies now build and maintain at least some of their own custom software, this price change is worth noting.
An example: Right now, a team of 26 to 50 people pays $3,000 per year for a cloud version of Jira. Starting July 31, 2017, that same team will be on the hook for $3,500 per year. Under the current plan, once a team hits the 51-user mark, it paid $4,500 per year. Now that bill will be $7,000.
With these changes, Atlassian, which went public two years ago, will offer what tech news site The Register called a “mind-muddling” 17 tiers of annual pricing. It is hardly the only software company to offer a dizzying array of price points. As cynics often point out, there is often money to be made in complexity.
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For those paying on a monthly basis, Atlassian is moving to per-user pricing at least after the first 10 users which can use the product for $10 per month flat fee. But once an 11th person is aboard, the price will jump to $77 per month (at $7 per user per month).
In its post, Atlassian characterized that $10 flat fee for up to ten users as its introductory rate. The company’s Jira Service Desk price will still carry a $10 flat fee covering three agents, the people assigned to handle support tickets. Atlassian also offers versions of all these products that can run on a customer’s own servers.
Atlassian claims many name-brand customers including Cerner (CERN), DocuSign (DOCUSIGN), Rockwell Collins (COL), and NASA.
Atlassian became a bit more familiar to workers outside software development early this year when it announced plans to purchase Trello, a popular workforce collaboration application, for $435 million. There were no price changes listed for that product.
Fortune contacted Atlassian for comment and will update this story as needed.
Note: (July 10, 2017 11:11 a.m. ET) This story was updated to note that the Atlassian blog outlining the price changes posted in late June and that the company also offers on-premises versions of these software product. The prices of those on-site products did not change.