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Atlassian (TEAM) Gains From Digital Transformation & Buyouts
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Atlassian (TEAM - Free Report) has been benefiting from the strong adoption of its cloud-based products and solutions as customers are undergoing a major digital transformation amid the ongoing hybrid work environment. Moreover, the cloud-based workflow management software provider’s sustained focus on acquisitions and partnerships is helping it enhance its product offerings and expand across newer markets.
Digital Transformation Aids Atlassian’s Growth
The accelerated digital transformation amid the growing hybrid working trend is spurring demand for Atlassian’s cloud-based solutions. The company’s ability to provide an integrated solution for enterprises’ workflow collaboration and management is the key driver.
Atlassian concluded fiscal 2023 on a high note, demonstrating significant momentum in enterprise cloud migrations. The company achieved revenues of more than $3.5 billion for the year and 250,000 customers have embraced its top-tier cloud platform for their collaborative needs.
Growing traction for core products like Jira Software and Confluence Cloud and the rising adoption of new products like Jira Service Management are acting as key catalysts. An improvement in product quality, coupled with a series of product launches, including Atlassian Intelligence and Jira Product Discovery, are all contributing to the company's improved performance. Additionally, Atlassian is expanding its cloud platform and facilitating its data residency in additional regions, such as Germany and Singapore, to accommodate its worldwide customer base.
Investors believe that the company is poised to grow, given the rising demand for automated and improved communication systems within organizations. Furthermore, TEAM will benefit from ongoing digital transformation initiatives from organizations and the rapid adoption of cloud services.
Portfolio Expansion Through Acquisitions & Partnerships
Atlassian has been strengthening its core competencies by pursuing strategic collaborations and acquisitions.
Since its inception in 2002, the company has completed 19 business acquisitions. Recently, the company acquired the video-messaging startup, Loom, which was once valued as a unicorn, for a substantial sum of $975 million. This represents Atlassian's largest acquisition to date.
With more than 25 million users on its video-messaging platform, Loom stands at the forefront of enterprise video chat and screen recording. Its artificial intelligence (AI)-enabled software lets users simultaneously record their computer screens, cameras and microphones and share them with colleagues. Loom tools are used by companies to implement asynchronous videos that facilitate an alternative real-time conference, which means users can reply to their co-worker’s messages in their own time.
In 2022, TEAM acquired Percept.AI, an AI-powered virtual agent technology provider. The acquisition is believed to enhance the capabilities of its Jira Service Management tools through which IT teams can deliver better services to employees and customers.
In 2021, Atlassian acquired two firms — Charito and ThinkTilt. While Charito provides cloud-based visualization and analytics solutions, ThinkTilt is a maker of ProForma, a no-code/low-code form builder for Jira. These acquisitions have not only expanded Atlassian’s product portfolio but also added to the customer base and incremental revenues.
Additionally, TEAM's partnership agreements with several tech companies have been helping it expand its international operations. As part of its partnership programs, the company has integrated its solutions with applications, such as Dropbox (DBX - Free Report) , Adobe (ADBE - Free Report) and Alphabet’s (GOOGL - Free Report) Google.
Atlassian has integrated Dropbox’s tools into its Trello, Jira and Confluence solutions. The seamless integrations help teams streamline their work, improve collaboration and better organize projects.
Partnering with Adobe, TEAM offers easy access to the former’s XD prototypes and design specs to its Jira software users. The integration of the two companies’ tools streamlines designer developer workflows, communication, notifications on every design update and preview comments on viewed designs.
The partnership with Alphabet’s Google helps Atlassian tool users connect applications for Jira, Confluence, Bitbucket and Trello with the G Suite product. This facilitates better work collaboration between teams in real time.
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Atlassian (TEAM) Gains From Digital Transformation & Buyouts
Atlassian (TEAM - Free Report) has been benefiting from the strong adoption of its cloud-based products and solutions as customers are undergoing a major digital transformation amid the ongoing hybrid work environment. Moreover, the cloud-based workflow management software provider’s sustained focus on acquisitions and partnerships is helping it enhance its product offerings and expand across newer markets.
Digital Transformation Aids Atlassian’s Growth
The accelerated digital transformation amid the growing hybrid working trend is spurring demand for Atlassian’s cloud-based solutions. The company’s ability to provide an integrated solution for enterprises’ workflow collaboration and management is the key driver.
Atlassian concluded fiscal 2023 on a high note, demonstrating significant momentum in enterprise cloud migrations. The company achieved revenues of more than $3.5 billion for the year and 250,000 customers have embraced its top-tier cloud platform for their collaborative needs.
Growing traction for core products like Jira Software and Confluence Cloud and the rising adoption of new products like Jira Service Management are acting as key catalysts. An improvement in product quality, coupled with a series of product launches, including Atlassian Intelligence and Jira Product Discovery, are all contributing to the company's improved performance. Additionally, Atlassian is expanding its cloud platform and facilitating its data residency in additional regions, such as Germany and Singapore, to accommodate its worldwide customer base.
Investors believe that the company is poised to grow, given the rising demand for automated and improved communication systems within organizations. Furthermore, TEAM will benefit from ongoing digital transformation initiatives from organizations and the rapid adoption of cloud services.
Portfolio Expansion Through Acquisitions & Partnerships
Atlassian has been strengthening its core competencies by pursuing strategic collaborations and acquisitions.
Since its inception in 2002, the company has completed 19 business acquisitions. Recently, the company acquired the video-messaging startup, Loom, which was once valued as a unicorn, for a substantial sum of $975 million. This represents Atlassian's largest acquisition to date.
With more than 25 million users on its video-messaging platform, Loom stands at the forefront of enterprise video chat and screen recording. Its artificial intelligence (AI)-enabled software lets users simultaneously record their computer screens, cameras and microphones and share them with colleagues. Loom tools are used by companies to implement asynchronous videos that facilitate an alternative real-time conference, which means users can reply to their co-worker’s messages in their own time.
In 2022, TEAM acquired Percept.AI, an AI-powered virtual agent technology provider. The acquisition is believed to enhance the capabilities of its Jira Service Management tools through which IT teams can deliver better services to employees and customers.
In 2021, Atlassian acquired two firms — Charito and ThinkTilt. While Charito provides cloud-based visualization and analytics solutions, ThinkTilt is a maker of ProForma, a no-code/low-code form builder for Jira. These acquisitions have not only expanded Atlassian’s product portfolio but also added to the customer base and incremental revenues.
Additionally, TEAM's partnership agreements with several tech companies have been helping it expand its international operations. As part of its partnership programs, the company has integrated its solutions with applications, such as Dropbox (DBX - Free Report) , Adobe (ADBE - Free Report) and Alphabet’s (GOOGL - Free Report) Google.
Atlassian has integrated Dropbox’s tools into its Trello, Jira and Confluence solutions. The seamless integrations help teams streamline their work, improve collaboration and better organize projects.
Partnering with Adobe, TEAM offers easy access to the former’s XD prototypes and design specs to its Jira software users. The integration of the two companies’ tools streamlines designer developer workflows, communication, notifications on every design update and preview comments on viewed designs.
The partnership with Alphabet’s Google helps Atlassian tool users connect applications for Jira, Confluence, Bitbucket and Trello with the G Suite product. This facilitates better work collaboration between teams in real time.