• Free CIO-level whitepapers



    [ad] Check out these whitepapers published by IDC and HP to help you make tough decisions about your IT environment.

    Leveraging the Always On support experience for IT transformation: This IDC whitepaper outlines the importance of support services in IT environments. IT organisations are now required to support everything from legacy systems and storage to virtualised configurations and cloud-based computing in complex, heterogeneous environments. The increasingly critical role of vendor-supplied external support services is discussed and highlighted in addressing these emerging IT environments going forward.

    Conquering the challenges of data center complexity: Virtualisation and cloud are two popular IT trends that lower costs and make computing more secure and efficient. However, they also add complexity. Read this thought leadership paper and learn new ways to conquer your data center complexity challenges.

  • Great articles on other sites
  • RSS Delicious/delimiterau


  • Save $200 on HP ProLiant Servers


    [ad] The HP ProLiant ML110 G7 is the ideal server for a growing business. These servers are preinstalled with Microsoft SBS 2011 Standard Edition so you can hit the ground running. Grab this coupon and save $200 each on each server, up to a value of $1,000 per company.

  • 5 months FREE on phone system rental



    [ad] Rent a new phone system and connect your phone lines with Commander to receive 5 months rent free. Why rent with Commander?

    -Tailored complete solutions
    -Great offers from leading phone system brands
    -Rental & communication on a single bill
    -Renting systems conserves cash flow

    Hurry – act before 30 June!

  • HTC One X launch special


    [ad] Vodafone has launched HTC's new flagship One X phone in Australia with a launch special of up to two months' free access fees -- a total saving of up to $118 off. The One X is available starting at zero dollars upfront on a $59 a month plan. Click here to check out the details.
  • Enterprise IT, News - Written by on Tuesday, January 17, 2012 13:18 - 0 Comments

    Atlassian doubles staff, revenues in 18 months

    news Australian enterprise software group Atlassian overnight revealed it had approximately doubled its headcount and revenues over the past 18 months, as it rapidly expands its operations internationally on the back of the $60 million in venture capital investment it took in mid-2010.

    When the company took the investment from US-based firm Accel Partners, Atlassian stated that it had some 220 employees globally, with two offices outside Australia and revenues of $58 million. However, in a video interview with TechCrunch yesterday (embedded above), Atlassian co-founder Scott Farquhar revealed the company had grown extremely fast since that time.

    “We’re about 450 staff in a whole bunch of offices around the world,” Farquhar said. “We’ve got about 200 people in Sydney and we’ve just expanded our offices in San Francisco, we’ve got about 120 people here and looking for about another 70 if anyone is out there and interested. In the calendar year just finished, we did about $102 milion in sales — it’s up about 35 percent.”

    Atlassian is a private company, and so not required to disclose much detail about its finances. In addition, it’s not clear how much of its revenues the company discloses in Australia and if any is disclosed internationally.

    However, the last time the company filed its financial results with the Australian Securities and Investments Commission, in mid-2010, it listed total revenues of $63.4 million for the year ended 30 June 2010, a figure which was up 23.1 percent on the previous year. In that year, the company made profits of $6.9 million (up from $2.1 million in 2009), with its major expenses being employee costs ($34 million) and the cost of sales ($19.5 million). “We’ve had 40 straight quarters of profitability,” said Farquhar yesterday. At the time, Atlassian said it had 155 staff.

    In its mid-2010 report the company said it had seen organic growth from all of its products in the year, with “strong dollar growth” coming from its two main products, JIRA and Confluence, while new products such as Crucible, FishEye, Bamboo, Crowd and Clover had “excellent growth rates”. In its TechCrunch interview, Farquhar said 85 percent of its revenues still came from on-premises deployments of its products, but its products offered on a software as a service basis were seeing the fastest rates of growth.

    One of the angles focused on by TechCrunch in its article associated with the video was Farquhar’s statement that Atlassian employed no sales staff to sell its products.

    “We have no sales people, no one at all,” he said. “We spend a lot of time on marketing and making sure that people have a great experience with the Atlassian brand … instead of a sales guy calling them up and saying ‘when are you going to buy’, this week, next week, the week after, we allow all our customers to evaluate the product themselves. We don’t badger them to get them across the line.”

    Farquhar’s statement is consistent with comments in a speech given by his co-founder, Mike Cannon-Brookers, in April 2011. At the time, Cannon-Brookes highlighted a variety of guerrilla or non-traditional marketing activities the company had undertaken in its early years to get ahead without spending money on customer acquisition. In Atlassian’s ASIC statements, the company stated that in 2010 it spend just $109,200 on marketing activities. It spent double that on finance costs alone.

    However, as one TechCrunch commenter pointed out, a search of business social network LinkedIn today revealed that Atlassian does employ a number of staff focused on sales, with employees holding titles such as ‘director of global sales’, ‘sales & marketing manager’, ‘VP of product marketing & sales’, ‘sales engineer’, sales & customer service representative’, ‘technical sales’ or just ‘sales’. According to his LinkedIn profile, Atlassian president Jay Simons, also present in the TechCrunch interview, previously held the title of ‘vice president, sales and marketing’ at the company, after joining from a marketing role at similar firm BEA in mid-2008.

    “If you call us, we have people standing by the phone to answer your questions,” Farquhar responded in the comments under the TechCrunch article. “We then spend time to work out why they called us, and update our products and documentation to ensure that we don’t get that same call again. But we don’t have any commissioned sales people in that process of buying products from Atlassian.”

    “We aren’t going to rule out sales people, at some time in the future. Never say never. But here’s the way we think about it: You can be a sales-led company, or an engineering-led company. The money we save on sales people can instead be put back into making our products incredible, with more features, improving ease of use (a never-ending challenge), and making a moat between us and our competitors.”

    “Having sales people (in the traditional sense) changes the company. They want to obscure price lists, so that they can extract higher prices. They want to hoard information, because that information helps them close deals. They want every lead to be handled by a human, which includes leads that were going to purchase without hand-holding. For companies that have commissioned sales teams, they will never migrate to a self-serve model. There’s too much momentum. Too much inertia.”

    According to Farquhar, Atlassian is still aiming to become a public company through listing; an aim which it had espoused when it took the venture capital investment in 2010. However, he noted that becoming a public company was only “one step in a long process”, with the executive noting he wanted Atlassian to “be around in 50 years”.

    Related posts:

    1. Marketing the key for startups, says Atlassian
    2. Growing Atlassian still looking for CTO
    3. Atlassian plugs security hole
    4. Atlassian sends graduates to beach house
    5. Atlassian buys HipChat
    submit to reddit Print Friendly and PDF

    Leave a Comment

    Comment

    Get our daily newsletter

    Get our new articles every day by signing up to our daily newsletter.

    Email address:



  • Anonymous tips

    Got some inside information on something that should be made public? Use our anonymous tips form. Even Delimiter won't have a clue as to your real identity.

  • Most Popular Content


  • Three lessons ING's private cloud teaches us
    sponsored post ING Direct recently implemented a private cloud solution to virtualise its entire banking platform, allowing it to provision a new copy of itself -- a so-called 'bank in a box' -- within minutes. Here's three things other organisations can learn from this interesting deployment.
  • Enterprise IT news & views

    • SAP’s SuccessFactors deploys Aussie datacentre successfactors

      SAP subsidiary SuccessFactors has opened a datacentre located in Australia from which it will sell its software as a service-based human resource management and business execution software to local customers, in one of the first known deployments of such dedicated Australian infrastructure by a global SaaS vendor.

    • Govt pushes ahead with cloud-sharing approach clouds1

      The Federal Government today revealed a standardised approach to sharing computing workloads between agencies, in a so-called ‘community cloud’ strategy that will attempt to leverage existing infrastructure operated by major departments such as the Department of Human Services to provide services to smaller agencies.

    • The ABC didn’t sack Bitcoin miner dollar-coin

      The Australian Broadcasting Corporation didn’t fire an un-named IT worker who attempted to use the broadcaster’s vast server infrastructure to make himself a fortune through the Bitcoin virtual currency system, it has emerged, with the employee merely being disciplined and having their access to certain IT systems restricted.

    • Victoria dumps HealthSMART e-health project pills-2

      The Victorian State Government has reportedly decided to walk away from its troubled central electronic health project HealthSMART, which has reached only a limited number of its goals over the past decade since it was initiated, despite soaking up several hundred million dollars worth of government funding.

    • HP completes giant new NSW datacentre 1

      Global technology giant HP has finished building its colossal $119 million new datacentre in Western Sydney and will launch the “world-class” facility next month, with a speech slated to be given by Communications Minister Stephen Conroy.

    • Microsoft beats Salesforce to utility CRM deal microsoft1

      Energy retailer Australian Power & Gas has picked Microsoft’s Dynamics CRM system over rivals Salesforce.com and Right CRM as the base platform for a customer relationship management overhaul to tackle incoming email complaints.

    • NSW finalises colossal datacentre consolidation cableguy

      The New South Wales State Government this week announced the Leighton subsidiary Metronode as the winner of its long-running and wide-ranging datacentre overhaul project, with the company to construct two new substantial facilities which will allow the state to consolidate its IT operations drastically.

    • Two good Australian CIO interviews IT-manager-cio

      There have been a couple of good interviews with Australian chief information officers done by various media outlets over the past couple of days — good enough that we thought them worth highlighting to readers on Delimiter.

  • Enterprise IT, Featured, News - May 23, 2012 12:54 - 0 Comments

    SAP’s SuccessFactors deploys Aussie datacentre

    More In Enterprise IT


    Analysis, Telecommunications - May 23, 2012 11:08 - 7 Comments

    The NBN, service providers and you … what could go wrong?

    More In Telecommunications


    Gadgets, News - May 21, 2012 12:32 - 5 Comments

    Galaxy S III listed for Telstra, Optus and Vodafone

    More In Gadgets


    Reviews - May 7, 2012 18:16 - 2 Comments

    Telstra Mobile Wi-Fi 4G: Review

    More In Reviews