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		<title>Atlassian Data Center stops multiyear license renewals</title>
		<link>https://easysam.co.uk/news/atlassian-data-center-stops-multiyear-license-renewals/</link>
		
		<dc:creator><![CDATA[Mike Varney]]></dc:creator>
		<pubDate>Mon, 14 Apr 2025 12:31:55 +0000</pubDate>
				<category><![CDATA[News]]></category>
		<category><![CDATA[Atlassian]]></category>
		<category><![CDATA[Licensing]]></category>
		<category><![CDATA[Renewal]]></category>
		<guid isPermaLink="false">https://easysam.co.uk/?p=34939</guid>

					<description><![CDATA[<p>The company has confirmed that new on-premises product licenses are now limited to one year, as it adds high-security cloud offerings.</p>
<p>The post <a href="https://easysam.co.uk/news/atlassian-data-center-stops-multiyear-license-renewals/">Atlassian Data Center stops multiyear license renewals</a> appeared first on <a href="https://easysam.co.uk">EasySAM</a>.</p>
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									<p>Atlassian Data Center customers no longer have the option of multiyear license renewals as the company disclosed plans to add high-security Government Cloud and Isolated Cloud offerings by 2026.</p><p>Tiffany To, senior vice president and general manager of enterprise and platform at Atlassian, confirmed this week that the one-year limitation applies to all on-premises software editions. The confirmation comes after multiple users mentioned that they&#8217;d encountered the limit over the last year.</p><p>&#8220;We&#8217;re working with partners to qualify why customers haven&#8217;t moved to the cloud and how we can help them build the business case,&#8221; To said. &#8220;That&#8217;s partially why we have reduced the amount of years that they can renew, because if they do three years, then we don&#8217;t end up in a conversation with them again for three more years. [Given] the speed at which we&#8217;re unblocking the things that prevent them from moving to the cloud, we feel like the majority of them should be able to do it at this point.&#8221;</p><p>The products, which include Jira Software, Jira Service Management and Confluence, have received security, performance and scalability updates, along with a built-in connector to Rovo Search as of this week, but otherwise haven&#8217;t been part of the many feature updates Atlassian has introduced for its cloud platform. Atlassian already stopped supporting the low-end, on-premises Server editions of its products in 2024 and hasn&#8217;t made a secret of its cloud push, especially over the last two years.</p><p>However, the company softened its cloud-first messaging in October, replacing it with &#8220;enterprise-first.&#8221;</p><p>According to To, the shift to enterprise-first was a part of ongoing negotiations with Atlassian Data Center customers behind the scenes, as the company sought to sell on-premises holdouts on the business case for moving to the cloud.</p><p>&#8220;It shows a maturation in our growth as a technology vendor, where, yes, we&#8217;ve had these customers for a long time on Data Center, but to be their partner in the cloud takes another level of care,&#8221; To said. &#8220;We&#8217;re saying, &#8216;We&#8217;re not just shipping you bits. We&#8217;re going to take care of your stuff in the cloud,&#8217; which means we have to fully understand their business needs and what we&#8217;re building for them.&#8221;</p><p>During these discussions in late 2024 and early 2025, Atlassian gauged interest in Government Cloud, based on its recent FedRAMP Moderate authorization, and Isolated Cloud, an Atlassian-managed virtual private cloud on dedicated infrastructure now slated for availability in 2026. Enough Atlassian Data Center customers indicated that they would invest that it led to this week&#8217;s official launch, To said.</p><p>&#8220;There are all these segments where 100% public cloud isn&#8217;t going to work, and we spent a lot of time thinking about how much we want to invest in Government and Isolated Cloud,&#8221; she said. &#8220;If we&#8217;re going to make those investments, we need to know that customers are going to adopt them.&#8221;</p>								</div>
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									<p>With the addition of new cloud options and the new license renewal limit, rumors have swirled in recent months about an end-of-life date for Data Center within the next five years. To stopped short of confirming any end-of-life plans, but Data Center customers see the writing on the wall.</p><p>&#8220;With the two additional clouds, clearly all the signals are there,&#8221; said Frederick Ros, head of digital workplace services at Amadeus IT Group, a global travel and tourism company headquartered in Madrid.</p><p>Amadeus already decided to move away from Bitbucket on-premises to Microsoft GitHub and from Jira Service Management Data Center to ServiceNow&#8217;s IT service management platform based on a seven-year relationship with ServiceNow, which also offers agentic AI tools.</p><p>However, the company is exploring Confluence Cloud and Atlassian&#8217;s Loom video conferencing app. Ros said the new Rovo AI features are compelling, especially now that they&#8217;re built into all cloud products and have connectors to Data Center deployments.</p><p>&#8220;If Atlassian had developed all this two to three years earlier, our choice would have been simpler,&#8221; he said. &#8220;We wanted to evaluate Rovo in some very specific use cases &#8212; in knowledge management, for example, so we&#8217;re buying a couple of licenses and giving them to one team to detect Confluence pages that are not used very often. Now that it&#8217;s becoming part of the product, I think there will be quite an interest. It will probably also help us to better articulate the value of Confluence.&#8221;</p><p>Another large-scale Atlassian Data Center customer, Charter Communications, plans to begin a transition to a hybrid cloud, and according to a presenter during a Q&amp;A at the Team &#8217;25 conference, Atlassian&#8217;s new Rovo AI features sealed the deal.</p><p>&#8220;There are a number of factors with cloud,&#8221; said Andrew Morin, director of engineering for technology delivery and Agile management at the telecom. &#8220;One is infrastructure &#8212; managing a data center is a lot of work. [But] a lot of the feature development available in the cloud, that they can&#8217;t do in Data Center &#8230; We&#8217;d like to take advantage of [it], and Rovo AI is a big piece of that.&#8221;</p><p>One analyst predicted an &#8220;end state&#8221; for Atlassian that is primarily public cloud, some virtual private cloud and a few on-premises distributed cloud deployments, similar to AWS Outposts.</p><p>&#8220;There are two big issues: There&#8217;s data sovereignty, and then there&#8217;s the issue of capitalization [where] it comes down to some of the finances of who owns the stuff and who&#8217;s taking the capital hit and amortization,&#8221; said Charles Betz, an analyst at Forrester Research. &#8220;Amazon, I think, was very sensible, saying, &#8216;Look, if you want to own the capital, amortize it, and manage the racks and stuff, do so to our specs.'&#8221;</p>								</div>
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			<p>&#8220;The challenge is not a lack of technology, but a lack of alignment with the realities of work&#8221; was the summary from Mitel.</p>
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			<a href="https://easysam.co.uk/news/quit-vmware-and-youll-emerge-with-more-complex-and-less-capable-infrastructure/" >
				Quit VMware and you’ll emerge with more complex and less capable infrastructure			</a>
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			<p>That&#8217;s the view of one Gartner analyst, who says modernising applications is probably a better use of your time than hypervisor migration.</p>
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		<p>The post <a href="https://easysam.co.uk/news/atlassian-data-center-stops-multiyear-license-renewals/">Atlassian Data Center stops multiyear license renewals</a> appeared first on <a href="https://easysam.co.uk">EasySAM</a>.</p>
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