Atlassian Corporation (TEAM) Earnings Call Transcript & Summary

Good afternoon, everybody. Thank you for joining us for Day 3 of Baird's Global Consumer, Technology and Services Conference. My name is Rob Oliver. I follow the SaaS sector here at Baird. And it's my distinct pleasure to have Cameron Deatsch, the Chief Revenue Officer from Atlassian here. Cameron, good to see you. Thanks for coming.

Thanks for having me.

For those who don't know, our view of Atlassian is one of the most exciting, if not the most exciting story in software, which I realize is a bold statement. But a product-led growth story, tremendous innovation, an unparalleled partner network and platform that is extensible. But rather than hearing from me, let's talk about -- with the guy who was there when you guys were -- how much in revenue were you doing when you started at Atlassian?

About 500 employees, $150 million in revenue.

Okay. You've seen a lot. So there will be a lot for us to talk about. Before -- I got to ask the question on the macro, just to start, and I feel like you guys are potentially a little less macro-sensitive just because you guys sell software for $15 per user per month in many cases. But maybe just talk a little bit what you're seeing in the macro, Cameron, to start.

Yes, pretty standard question this week, I think. Broadly, if you looked at our entire funnel right now from visits to our website, sign-ups, free usage, conversion, short of Russia, you would not know that there's anything different in our funnel. You would not know that there's any macroeconomic effects based off what we've seen on just all of our standard organic channels and what have you. So that's good that we haven't really seen anything today. I was in Europe a month ago, chatting with our teams in Amsterdam, which is our European HQ. And they cover all the markets, and they largely felt the same. They felt very confident in the last -- next coming months that business is as usual, if not getting stronger. So that's fantastic. Yes.

And just why do you think that is? Because some are feeling it, and you've been at other companies that maybe were more traditional software sales. Is that part of it or what?

Yes. There's a couple of reasons for this. Like one is if people are tightening their budgets, Atlassian's products, like we are -- try to be the value leader. So when you're a CIO trying to cut budget, we're never towards the top of the list. We're usually on Page 3 of things. So that's definitely -- we're not getting scrutinized from the cost. In addition to that, while we serve agile software development market, IT service management market and broader collaboration, the core business was that software development, that software developer. And the broader trend is, regardless of macroeconomic, I don't think there's any unemployment lines filled with developers anytime soon. And as people continue to hire developers and all the people around the organization to support developers be productive in their businesses, that's largely that core kind of Jira software user base, that feeds a lot of our business.

You mentioned some of the products that you guys are focused on. Jira is really the legacy of the company, not a legacy product, but really kind of you guys became a global phenomenon really on the back of Jira kind of revolutionizing the way software development is done. Really, I mean, Rally is just an old example. That would be like comparing Jive to Slack, I guess, right? But so talk a little bit about the products today. You mentioned IT service management, some of the product focus coming out of your user event. Where are you guys focused right now? And then I want to kind of use that general question to drill down a little bit in some of the product lines.

Yes, and the way we describe this is we have one big transformation going on, which is our cloud transformation, where we obviously started in 2002, shipping on-premises software. 2009, we started -- we offered our first cloud offering. And now we're very much cloud-first, cloud future and have a big initiative to get as many, if not all, of our on-premises customers to our cloud offerings. So that's a major driver of our business broadly. As we look to the market as a whole, we really slice it into 3 different markets: agile DevOps like core software development, and that's where Jira Software plays, Bitbucket plays, a later product that we just announced called Compass. And I can talk about that. And our whole strategy for agile DevOps is the software development tool chain is an exceedingly complex thing. An average developer uses between 25 and 40 applications to get their job done. And we -- our core hypothesis is that developers will always want to use the latest and greatest thing. So our Open DevOps strategy is to continue to integrate with all of the latest tools in the market, either integrations we build or incentivize other people to come build to have access to our customer base. And what we want to own or be the source of truth of is the status of work across that development tool chain so that when companies are spending millions of dollars on their expensive development resources, they know what they're getting for that investment. Next to the agile DevOps market, strong adjacency and IT service management. We have an offering there called Jira Service Management based off the same Jira offering core workflow capabilities, but obviously a variety of bespoke features, both built as well as acquired, to provide a comprehensive IT service management offering. And there, we are -- it's largely a cross-sell expansion within -- to our 220,000 customers. We have 40,000 Jira Service Management customers today. We continue to grow rapidly in our SMB space. And in the enterprise space, we're replacing large legacy vendors or coexisting with other corporate IT standards. So that's our big Jira Service Management space. And then the last category we look at is what we call work management for all. Our company mission is to unleash the potential of all teams. Our goal there is that every single knowledge worker in the world wakes up and uses one or multiple Atlassian products to work with their team and get work done. And there, we have a variety of offerings, Confluence, Trello, Jira Work Management. We're consciously attacking that enormous market category simply for the fact that we believe teamwork is so complex that different teams, different individuals, different cultures, different businesses all work and track and manage work in different ways. And that actually requires different tools, different offerings to handle that different complexity. Our latest offering that we just launched to kind of glue that all together is a product called Atlas. We brought a new product to market, knowing that it won't be just Atlassian products, but many different products that solve this thing called how do we manage work. But what is the common thing across all those teams, what is the one commonality, and we saw kind of 3 common things. One was every team has to tell someone else what work they did, like the status of their work. They have to tell someone else are they achieving their goals for that work. And the last is, they largely have to say is, who's working on this stuff? And that's -- those 3 things are the only common -- real common thing across all project management tools. And we feel it's like let teams use whatever they want whether it's an Atlassian product or a competitive offering or heck, they're using like a piece of paper as they're writing down their tasks. But what we can provide is a common layer across everything for those 3 things: status communications, goals and who's working on the team. And with Atlas, we feel that's the offering that glues all of our offerings together, but also all the other offerings in the market.

I think it was about 5 or so years ago, I can't remember exactly when Scott and Mike on the call said, "Hey, we're really going to double down on the IT department," maybe 4, 5. And initially it struck me because I'm like, hey, you guys really own the developer. But then we realized like how much other opportunities that were in there, and you just talked about it with agile DevOps and ITSM. So I want to talk about each of those a little bit. Just so on the agile DevOps side, you alluded to all of the different vendors that are serving that, whether it be Git vendors or whatever. So again, what is the strategy there? Does -- you do have some competitive offerings in some cases, but it doesn't seem like your goal is displacement there. So maybe talk a little bit about that.

Yes. So in the agile DevOps, our strategy there, specifically calls Open DevOps in our core. And if you look to the market, I think there's many different DevOps vendors that I think we can build -- of those 35 to 40 tools, they can build features of every single one of those and put it in a single box and charge $250 per developer for it. We believe that is a flawed approach. We have -- our 2 founders are 2 developers at heart. They always know that developers are going to use the latest and greatest thing, that developers have no problem assembling different pieces into their development tool chain to get their jobs more productive and that there'll always be an assembly of best-of-breed across the board. So whether a customer uses Bitbucket or GitLab or GitHub, that's fine. We integrate it all 3 beautifully. The place that we want to own is one that status of work across that tool chain. And because of Jira's predominance, any new vendor comes to DevOps that is in the developer life cycle will inherently integrate with Jira, will come and build an app in our marketplace. And of course, we have strategic partnerships with other DevOps vendors and monitoring and security and you name it. So we want to own that status of work. And by we have all those integrations, that makes us very sticky. Moreover, development is more than developers. This is where the pricing model is really important. If we charge $250 per user for Jira because that's -- we could command that for a developer, no one's ever going to pay for a product manager or a designer or a program manager of the rest of the business for that really expensive seat. So we consciously priced Jira software very affordably, not to maximize revenue at the developer seat, but to ensure that the entire business can come into Jira Software to collaborate with the development team. We see that's actually part of the magic is that bridge between the dev and the rest of the business organization. So that's largely our strategy. Only other piece on that is increasingly as these development expenses get larger and larger, become a larger slice of the overall organization's pie, companies continue want to see is what am I getting for that investment? What are people working on? How is it tied to our company goals? And more importantly, how is it tied to our business outcomes? And in the enterprise, that's a very difficult thing. When you have thousands and thousands of developers, it's very, very hard to tie shipping code to revenue or any sort of business objective. That's where a product called Jira Align, which was an acquisition we did from a company called AgileCraft, which allows you to add hierarchy to your development structure to tie actual individual tasks and work to your company objectives.

That's great. So that's agile DevOps. Let's talk a little bit about ITSM, IT service management. This is an interesting market from my perspective because most of us probably could name ServiceNow, and we -- both of us probably know a big player in this market. But when you get down market, it's hard to name players. It's hard -- they're not always top of mind -- and it might be because the small- or medium-sized companies really didn't need ITSM traditionally, or maybe they did or maybe there's homegrown solutions. But at the end of the day, it feels to us in our conversations in the market like this is becoming an absolute imperative digital transformation. Everyone has to have it, and this has been a huge success story for you guys. I mean Jira Service Desk, I think, was the fastest-growing product in Atlassian history. And now we feel like you have this opportunity as you move to the cloud with Jira Service Management. So talk a little bit about how you view that opportunity and how that's helped you guys to kind of expand your offerings into that group.

Yes. To think this is like Jira Service Management, which was Jira Services before, is like a Harvard Business Review case study in how to build a -- do multi-products and cross-sell into your base. And I'll just talk about the initial, like, why did we build this thing to begin with? We had a customer problem, and the customer problem was customers were complaining that it was too hard to submit tickets into Jira, right? The form was too complex. I had to log in and out of navigation. Like, I just want to get a ticket in there. We have a quarterly innovation spike called ShipIt, where we have a big competition internally and people -- and a team shipped a very simple form that you can embed in any particular web page as an embeddable form that allowed you to very simply submit tickets into Jira. And then [indiscernible], we just kind of looked at that. We say if we combine that with a core set of SLA capabilities for a few other features. We actually have a pretty good lightweight help desk product. That's what we built. Like as we put that together, we shipped it to our customer base, called it Jira Service Desk, charged very little amount for it and started getting rapid adoption. And over the years, the customer use case would get more sophisticated. We start getting more and more investment behind that. We layer on top of that. And then as you mentioned like 2 or 3 years ago, we said, you know what, we finally have -- we checked 90% of the boxes. We're in the Gartner Magic Quadrant. We're in the Forrester Wave. We're enterprise-grade. Let's double down on all this, both from a go-to-market and R&D investment. We acquired a couple of technologies that closed out the rest of the gaps for asset management, for workflows, reforms, you name it. And now we have this comprehensive IT service management solution that inherently is being adopted by our SMB customer base at high volume. And you got -- like we'll replace them there is e-mail spreadsheets. And for those really small customers, we offer 3 agents for free. So it's like once you just hire your first IT person, use us. It doesn't cost you anything. When you get big enough and you have your fourth IT person, you start paying us so we have that nice seed of a bunch of free usage. And in the large enterprise, there's basically 2 versions of the world out there. There's big legacy vendors that's been around for 20 years, and that's a very easy conversation. We have a much more innovative approach to go to. That's very value-oriented. And then there's obviously another very large player out there who has become the corporate IT standard, and we've run this play forever. We ran it against IBM 15 years ago. It's like we will find small pockets of use where people want to keep their IT teams close to dev. They want to move fast. They don't want to spend a ton of money for customizations and workloads, and we'll get little pockets in those organizations and coexist with whatever the corporate IT standard is. Over time, we'll see more and more usage and more and more usage. And eventually, it forces a conversation of what are we going to standardize on.

When -- we're fortunate to be able to do checks with your partner network, which I want to talk about in a minute. But when I do speak with your partners or go to partner events, it's nice to be back at them now in person. We hear from them, sometimes things that you guys won't necessarily say. So I'll put the words in their mouth, which is that we're coming for those guys. That's -- they -- there's a feeling among some of your partners that we have an opportunity longer term here because of value, because of how light the solution is, because of the innovation and because of the model and all the other costs associated with integration and stuff and then the total cost of ownership, a real opportunity here. And you mentioned enterprise-grade. So maybe rather than just ask the question, hey, how do you compete with ServiceNow? Let me ask it this way. How do you think about those enterprise opportunities? And if there were, like, say, like a large hotel chain today that was like, hey, we want to standardize on Jira Service Management with less things, is that something you guys could do?

Yes, and we do it today. Like there's plenty of big companies out there that are still on 20-year-old legacy vendors that are -- for whatever reason, they haven't innovated, they've come to a decision, they have to make it. And we're already there, right? That big hotel chain already uses Jira Software. Probably already uses Confluence. We already have a relationship, we're already established, and we have a very good value prop: flexibility, inexpensive. And do you believe your development teams and your IT teams are coming closer together in the future or staying in separate departments? Largely, they're coming closer together. If that, we have incredible technology solution for you. But that's -- when it comes to the enterprise, our strategy was never knock on the CIO's door, ask for a $5 million check, right, make a big bet and then come in and deliver. The way we've always done it is start with a small pocket here. I mean most of the customer -- like every Atlassian customer started -- never talked to an Atlassian. They organically adopt us for small use cases here, small use cases here. So by the time that CIO of the big hotel chain needs to come and make a decision, hopefully, if we've done our job right, we already have 10 or 15 internal use cases with very happy users that we never sold to. They picked it themselves. And they go to their users, like, hey, the people want to use this, let's standardize on them. That's our play. It's not about going in and like ripping out whatever is entrenched. The goal there is, hey, what is -- who's the underserved audiences in our customer base within these big corporations, of which there are many, right, and make it as easy as possible for them to see value in our products.

Got it. Super helpful. Yes, please send some questions. I'll try to get to them and not just dominate the Q&A myself here. But -- and let's talk lastly about that work management space. We had Asana here the other day. I think Smartsheet reported last night. When we talk about work management, I mean, there's a long list of names that are -- and everybody is aspiring to own the billion knowledge workers out there but love these large TAMs. So talk about the competitive advantage that you guys have in work management and the success that you've had getting into the nontechnical user, which is sometimes remarkable to investors how well you guys -- it's a bit of an eye opener that you have as much nontechnical usage as you do.

Yes. So there was a Jira Software, we talked about developers so much, but 47% of Jira Software users are nondevelopers, nontechnical, right? And that's because development teams don't live in isolation. Development is more than developers. Development is actually core to how businesses operate today, which means everyone needs to come in and work on those development teams. And that's for Jira Software, which was for software development specifically. Our goal -- our company mission is to unleash the potential of all teams. We -- our goal is to get, once again, have every single knowledge worker in the world wake up and use one of our products, of which we have many to track their work. But yet even in that core software development use cases, tons of nondevelopment use cases. The other approach to this is like you don't see us doing Super Bowl ads. We run the most efficient go-to-market business. That's what -- my goal and job is to continue to build this incredibly efficient sales and marketing machine and do that on the back of a company strategy. It depends on overinvesting in R&D, which allows us to build better products with higher CSAT and higher NPS. Allow those products to be adopted for free or very inexpensively, right, across large amounts of the industry, geography, regions, you name it, to have attract thousands and thousands more customers every single quarter. And we've done that. With every single quarter, we continue to expand that. And then we offer new products. We've offered 4 new products in the last 12 months, all of that goal of to continue to offer this -- go after this super complex thing called teamwork, right? And we realize that actually teamwork needs multiple products. There's going to be multiple opportunities. Layer on top of that, as of 2 years ago, work is forever changed. It's nice being in here and talking to all of you actually in person again, but it's like we're never going back to how things were. Like there will always be -- like there's a massive cultural transformation for how all of us are going to work together and work with our colleagues, which is going to bring in even more opportunities for us to innovate and bring new technology to the market to take on this new massive challenge. And that's what's exciting. That's what Mike and Scott, our CEOs and Founders, spend majority of their time talking about.

You mentioned the -- where you spend your money and with that product led -- leading on R&D. It strikes me in another market with a company that's in a model transition to cloud. That would be understood that the margins would be under pressure a little bit. And you -- but of course, nobody is giving anybody the benefit of doubt in this market, and so your stock is not getting the benefit that say an Autodesk did or that an Adobe did or that others. But that having been said, what -- talk about those costs associated with the transition and where you guys are putting resources right now, clearly, the product but also to other areas as well to support this cloud move.

Yes. I mean the big investment over the last 5 years was building a world-class SaaS platform. Like in -- we, roughly, went public 2016, 2017, we made the conscious strategic decision that we are a cloud-first company, that our goal is that we get all of our customers to our cloud eventually and that we had a -- once we've already been in business 14 years, we had some of the biggest companies in the world using our products, on-premises, managing their hardware. So asking them to move, trust us with your data, with your core infrastructure, with a mission-critical application, it's a big ask. So we invested heavily in our cloud platform. Heavily. We basically built a centralized, lasting cloud platform, provides the infrastructure capabilities, identity, security, [ common ] feature and functionality, I could go on and on, analytics, automation. And that was a multiyear investment with a huge portion of our developer base -- or customer base. We, 2 years ago, made the decision -- conscious decision of, "Hey, you know what, we're actually really ready to start moving customers over. We announced end of life of our server line of products. Gave a 3-year time window and started migrating customers over. Of course, with those customers over, we find new things, new requirements, and we have the majority development effort to make sure we knock down those requirements as soon as possible. Bring your own key encryption, FedRAMP, HIPAA, you name it. Like you name the acronym, we have that list. We're knocking off the acronyms. That said, it's like we're not through all of that. But a lot of the hardest work there is done, which has allowed us to free up more development energy towards those 3 markets I described: how do we continue to lead in agile and DevOps, dig a deeper moat around Jira Software through improved integrations; how do we continue to execute on that massive IT service management opportunity, which is multibillion dollar opportunity; and of course, deliver on that company mission, which is the work management for all. The best part, and like I've been here for 10 years, what I love is like we are the crispest in our strategies that I've ever seen across those 3 markets. Historically with multi-products and we kind of threw it to different markets, different buyers, we really look at the 3 markets. We look at our product suite within each of the 3 markets, our buyers, our competitive differentiation and our road maps. And we're very, very clear on what we need to do in each. And also, like we've done multiproduct for a long time, so we actually can handle that overhead of attacking 3 different massive markets with massive TAM. And that's the place -- that's why we're continuing to invest. We have full belief that any additional investment is going to pay returns.

Got it. Yes. No, that's great. Let's talk a little bit about the cloud migration and the uplift or the change relative to what the customers are paying. So large customers, I think it's 2 to 3x increase over time. Medium customers are also going to see an uptick. Some small customers may pay a little less. So just talk a little bit -- and I think you used to run data. Did you use to run data at DC?

Yes. So before being the CRO, I ran all of our server and data center.

Got it. So you know a lot of those folks really well.

Well, they're my people.

Yes, your people, exactly, and you try to cajole them up, right? But so -- but how -- so talk a little bit about the conversations you're having there. I mean again, that cloud uplift is it's to be expected, right, for these transitions. But you guys are also, as you mentioned, investing in product. I mean there's a lot more value you can deliver your customers when you get them up. I just think even about Jira Service Desk versus Jira Service Management, I think about all the value that the customers can receive for that. So talk about those conversations and how it's impacting the pace of conversion, if you will.

Yes. The -- for every single customer, it's if -- sorry, not an if, it's a when, and when are they going to be ready and when are we going to be ready for them. Like they're all very well aware of our strategy, they're aware of why we're doing these things, and they're also aware of the various carrots we put out there to help them go to cloud as well as the sticks we offer out there to keep them -- that if they're going to pay to stay on, they're going to pay a premium to stay on-prem over the long term. And they understand that. We're very fair across all of that. The best thing we lead with is like for the big customers, there is a significant step-up in price per user. A lot of that comes down to Atlassian's history, where when I started with the company, an unlimited license of Jira was $8,000 with a $4,000 renewal. Unlimited use, right? So they were always anchored, especially in those very large companies that have very low pennies on the dollar price per user. And you go to our cloud, it's going to be $5 or $6. So it's a step change, and it's not like we're fighting the value. People are just like is Jira Software worth $5 per user for your 20,000-person organization? Absolutely. The problem is, well, I've been paying $0.70, right? So it's a budgeting exercise. I'm like, okay, we can have that conversation. And we provide a variety incentives to bring it over, we have ROI models. But the biggest thing is like in the end, even if it's that 6x 7x, like what -- how much do you spend on your developers? We're such a small fraction of the actual spend for the technology team, it's one of just a budgeting exercise that we help people over. More importantly, we have very clear proof that when people move over, they're happier. I have CSAT surveys that show both. Like you're going to have happier people. You're going to use our products more, which means you're getting more value and you're going to expand faster because it's just simply easier in the cloud to use new tech, to use more features and for us to understand what's being used and deliver more delightful experiences. So in the end, everyone is winning. It's largely getting through the technology hurdle of how do we get this data from here up into here, which is something we're good at. And of course, the financial discussion, which is how do we help build a business case, which is not an impossible exercise.

I want to touch -- we're running out of time here. I want to touch briefly on the partner network. As Chief Revenue Officer, you've got this field force that is incredibly powerful and unique in so far as, yes, I mean some of the -- I think, was it Accenture that was at your event? Yes, Accenture was at the user event. But for the most part, if you dig into the Atlassian network, it's 700 companies. And unless you're paying attention, you might not have heard of. And they're doing, in many cases, 100% of their revenue within the Atlassian ecosystem. And so it's extremely unique and powerful, and we often get called for private companies asking to talk about it. They want to know how Atlassian, how you do it because clearly it's something people want to replicate. But -- so talk a little bit about the partner network, how it has contributed -- how it is contributing now towards the cloud move and then the other ways that they drive value and receive value from the Atlassian platform.

Yes. And a lot of this was our first decade in business, we kind of outsource the customer interaction. We basically say go to the website, try it and buy it if you like it. And if you need to talk to someone, go talk to a partner. That's what we did in the first decade, right? Like there was no magic to that. It was -- we're good at building software. We're not good at like doing demos and filling out RFPs. But we have our partners, so we have these great partners. Those partner network, and like some of our biggest partners 10 years ago are still our biggest like they grew with us. They actually all grew faster than us because not only did they ride the license growth, which is what we're tied to, but they're able to offer value-add consulting on top of that. And now we have this guy -- I mean they're the -- when I started, 10-person shop, now we have 300-, 400-person shops. It's amazing to see. You talk to them, their #1 limitation, what's like the #1 thing from keeping you growing faster? And after, they yell at me about, like, more marketing and all that stuff, then they're going to like it, we can't hire fast enough. Like they can't like simply tied to how many people they can hire, and like that's a good constraint to have. So we continue to feed that. They are -- when the cloud transition, when customers can transition themselves, the bigger and more complex customers, I strongly cajole them to say, go get a partner. Like you don't want to do this yourself, get a partner, and we'll bring in the right ones to help you through that because that's a technical exercise. On top of that, there's this thing beyond the technical consulting. It's really how do you help teams work in different ways, the change management, the cultural aspect, the rituals and practices, the business consulting that goes along. And that increasingly, these partners have built up or acquired these incredible firms to come in and help with the actual hard part, which isn't the tech. It's the how do you get people to behave in different ways and I think that's another massive opportunity. And now we're big enough, the global SIs are coming knocking, right, which is fine. But it's -- and I've been like I play with the global SIs. They can provide massive scale and customer relationships. And of course, we're increasing there, but it's one of those where we don't lose sight of these partners that bet their businesses, tied it to Atlassian, deliver a ton of customer value, and like that's something I absolutely just admire with them and love to continue to partner.

Yes, yes. No, that's great. I want to touch briefly also on the marketplace. There's a significant revenue contribution in the marketplace and apps within the marketplace. I mean you talked about how some of these guys are growing faster. It's incredibly robust ecosystem of companies, and that's another way. And you guys have data around like the stickiness that's created around those that use apps on top of Jira core products and other Atlassian products, and maybe talk about that and then particularly as you now are moving to sort of standardize that as you get into the cloud a little bit.

Yes. The -- one of the magical things, we've got a very Atlassian approach. We didn't go set out 15 years ago to build a marketplace. The problem we solved was the road map, the request -- as the customer base got bigger, the feature requests always outpaced our ability to deliver in a road map, right? There was more customers, more requests, inabilities. So how do we solve that problem? Let customers and our partners build their own damn features. And how do we do that? The legend says that Mike, our CEO, on a flight home to Australia wrote the first plug-in framework so that allowed you to customize, build new capabilities on top of Jira and Confluence, okay? I don't know if that legend is true, but we'll reinforce it again. The -- but that [ was simply it ]. And it was like -- it was -- and all of a sudden, these companies started building plug-ins. And they wanted -- and they started sharing plug-ins which they'll e-mail to us. So like, "Oh, we'll build a website." Simple little website where people could publish their plug-ins up to that website, and we're sharing with other customers. And we started realizing that -- start talking to customers. And all -- everyone started to have multiple plug-ins put in. They're like, yes, but we don't trust them. It's hard to find them all the stuff. Like great, we built a marketplace. And while these people to charge for their plug-ins, a bunch of people that were like IT admins building plug-ins at their company for Jira just took their apps, started their own company and are now millionaires, which is like crazy stories. And then that's only grown ever since then. As we go to the cloud, we had to rebuild all of that magic. And in the cloud, it makes it much harder because having someone ship their code into our infrastructure comes with some different technical challenges. The big one there is we're investing in basically platform as a service called Forge, which allows our partners, our customers to actually write custom code, deploy apps. And they host it in our infrastructure, meaning it's secure and gets all the benefits of our cloud platform. So that's our big investment we're putting forward today. We have over 3,000 apps in the marketplace. They continue to grow. It's, like I said, very vibrant. And as long as our customer base continues to grow, the number of people that want to build apps for those customers will continue to grow, and that's been taking care of itself.

Unfortunately, we're out of time. Hopefully, everyone got a sense for the excitement of the Atlassian story. Cameron Deatsch, Chief Revenue Officer. I want to thank you very much. Good to see you. Appreciate you coming to the Baird conference.

Thank you, everyone.

Great. Thank you, everybody.