Will the partnership lead to new pricing models or jointâsell agreements that could influence ARR forecasts?
Answer
Based on the information provided in the announcement, there is no explicit statement that the AtlassianâŻââŻGoogle Cloud partnership will introduce new pricing models or jointâsell agreements. The press release focuses on three main pillars:
- Accelerating cloud transformation for Atlassian customers by running its AIâpowered suite (Jira, Confluence, Loom, etc.) on Google Cloudâs AIâoptimized infrastructure.
- Delivering advanced AI capabilities that will be embedded in Atlassianâs teamwork platform.
- Deepening the technical integration (âfuel deep iâŠâ, the sentence is cut off but clearly points to tighter productâlevel collaboration).
Because the release does not mention any of the following, we cannot definitively say that the partnership will affect pricing or sales structures:
- New subscription tiers, usageâbased pricing, or bundled offers that combine Atlassian SaaS licenses with Google Cloud services.
- Jointâsell or coâselling agreements (e.g., shared sales teams, joint marketing campaigns that include a âsellâthroughâ component, or revenueâshare arrangements).
- Specific ARR (Annual Recurring Revenue) guidance or forecasts tied to the partnership.
Why a partnership could eventually affect pricing or ARRâthough it isnât confirmed here
| Potential Mechanism | How it Might Work | Why It Could Impact ARR |
|---|---|---|
| Coâselling / Marketplace integration | Atlassian apps could be listed on Google Cloud Marketplace with a unified checkout flow, possibly offering a discount when both products are purchased together. | Bundled sales can boost license volume and create crossâsell opportunities, raising the topâline ARR. |
| Jointâmarketing or referral incentives | Google Cloud sales reps might receive incentives for closing AtlassianâAI workloads, or viceâversa. | Incentivized referrals can accelerate adoption, especially among enterprise accounts that are already on Google Cloud. |
| Hybrid pricing models | Introducing âAIâaddâonsâ priced per compute usage on Google Cloud (e.g., perâtoken or perâmodel inference) could shift some revenue from flatârate SaaS fees to usageâbased charges. | Usageâbased pricing often leads to higher ARR as customers scale up AI workloads. |
| Strategic discounts for migration | Companies moving existing onâprem or thirdâparty SaaS workloads to Atlassian on Google Cloud might receive migrationâdiscounts. | Discounted migration can convert nonârecurring or âshadowâITâ spend into recurring SaaS revenue. |
These are common outcomes in similar largeâtech alliances (e.g., SalesforceâŻââŻMicrosoft, SnowflakeâŻââŻAWS), but the current press release does not confirm any of them for Atlassian and Google Cloud.
Bottomâline assessment
- What the news does confirm: A multiâyear technical and product partnership that will place Atlassianâs AIâenhanced collaboration suite on Google Cloudâs infrastructure.
- What the news does not confirm: Any new pricing structures, jointâsell programs, or explicit ARRâimpact statements.
Therefore, we cannot assert that the partnership will lead to new pricing models or jointâsell agreements that will influence ARR forecasts based solely on the information provided. Any such effects would be speculative until Atlassian or Google Cloud releases further details (e.g., a followâup announcement, a jointâsell playbook, or revised subscription pricing guidelines).