Published on the 18/07/2016 | Written by Beverley Head
Listed development tools provider adds cloud monitoring service as another string to its bow…
StatusPage is a three year old US based company that monitors cloud services and issues alerts when there’s a problem. It can also act as a frontline customer information service.
Atlassian co-founder and co-CEO, Scott Farquhar announced the purchase of StatusPage in a blog noting also how the service works; “In June of this year, StatusPage customer FiveStars Loyalty experienced a serious production incident. Overwhelmed by phone calls to their support centre, they redirected on-hold customers to their public status page. Their status page received 10,000 visits over two days while call volumes dropped to manageable levels. The support team, freed up from potentially thousands of phone calls and emails, doubled their service performance levels and resolved 98 percent of caller’s issues.”
Atlassian itself uses the service to telegraph its service status to employees and users, and also to underpin the Bitbucket and Hipchat services.
With a $US5.8 billion Nasdaq valuation at time of writing, Atlassian is cash rich with strong revenue growth and global users. When the company floated last December it was valued at $US4.4 billion.
While investors clearly like the company, Atlassian’s revenues are, however, still dominated by its Confluence and Jira products, which has some stock analysts concerned at the concentration.
Buying StatusPage adds a new string to the company’s bow and takes it into a new marketplace.
The company has not revealed how much it paid for the business or the terms of the arrangement. While StatusPage will continue as a standalone service in the Atlassian portfolio, the team will move from Denver to Atlassian’s San Francisco offices and tighter integration between Atlassian products and StatusPage is planned.
Atlassian will announce its full year financial results on 4 August, though StatusPage is not expected to have any material impact on financial results in fiscal 2017, according to the company.
The guidance the company has provided suggests Atlassian’s full year revenues will be in the range $US452-$454 million with free cash flow of up to $US90 million.
