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Build a business case

A key part of planning a successful migration is understanding your total cost of ownership and return on investment (ROI)


Steps to build a business case for Data Center

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1. Calculate your server total cost of ownership

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2. Calculate your Data Center total cost of ownership

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3. Calculate the ROI of migration to Data Center

1. Calculate your Server total cost of ownership

Calculate your server TCO by adding together your server maintenance and operational costs.

What are my maintenance costs?

Current

Your current maintenance costs should include both your annual maintenance cost, as well as the any of your app costs. You can use the shopping cart to help you gather these prices, or contact us.

Future

Factor in any future price changes. There will be a moderate price increase upon your next renewal on or after February 2, 2021. Use our pricing guide to help determine your new price.

What are my server operational costs?

Infrastructure

Every organization’s infrastructure is different, but your infrastructure costs should be based on the following:

  • Servers and virtual machines
  • CPU and vCPU
  • RAM
  • Instance size
  • Memory usage

What are some additional server operational cost considerations?

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Downtime

According to 2014 research by Gartner, the average amount a company spends on unplanned downtime is $5,600 per minute. More recent reports put that figure somewhere around $9,000 per minute — and nets out to be over $300,000 per hour! 

While there planned and unplanned downtime, both add to your operational costs.

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User management

Your teams need access to their mission-critical tools. However, with teams relying on more products to work collaboratively, it can be difficult to manage users access to their tools safely and securely, while also ensuring that their productivity doesn’t suffer. Consider all of the resources you’re using, include people and tools, and include them in your costs.

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Security

In the IBM annual report, they found that the average cost of a data breach was $3.86 million USD and took around 280 days to identify and contain the breach. 

To avoid breaches from happening, you and your organization have had to build robust security protocols into your instances to keep them secure, which can add additional cost.

2. Calculate your Data Center total cost of ownership

To calculate your server TCO, you’ll need to add together both the subscription costs and operational costs for your new Data Center environment.

What are my Data Center subscription costs?

Annual subscription and discounts

You annual subscription should include your new Data Center pricing and any loyalty discounts you may be eligible for. These loyalty discounts are meant to ease your transition to Data Center by offering you a multi-year discount on your subscription.

Future price increases

You will also want to factor any future price increases. There will be a moderate price increase upon your next renewal on or after February 2, 2021. Use our pricing guide to find the new price you’ll pay after any pricing changes take effect.

Data Center apps

You’ll need to upgrade your server apps to a Data Center version if one is available. If there isn’t one, you can continue to use your server version at the current price. If one becomes available, you will need to upgrade to a Data Center version and pay the new price.

We recommend running an app assessment to evaluate your existing apps and understand what your app costs will be after you migrate to Data Center. 

Support and services

Your Data Center subscription includes Premier Support - our global team of Senior Support Engineers and Enterprise Managers.* 

You may, however, want to leverage additional resources, such as our global network of Solutions Partners

*Exception: Premier Support will not be included with Bitbucket Data Center for under the 500 user tier.

What are my Data Center operational costs?

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Architecture choice

Data Center can be deployed in two different architectures - clustered or non-clustered. Depending on which architecture you choose, there may be some additional cost considerations.

For non-clustered, you can continue to use your existing server infrastructure, so no new costs.

For clustered, you will need to add additional components, including:

  • Load balancer
  • Application nodes
  • File system
  • ElasticSearch node (Bitbucket)

See our self-guided migration guides to learn more about your architecture choices.

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Hosting method

In addition to different architecture choices, you may have costs related to how your are going to host your Data Center products. You can continue to host your products on your own hardware or leverage a cloud vendor, such as AWS or Azure.

If you plan on hosting Data Center on your own hardware, there won’t be any new additional cost.

If you decide to leverage a cloud vendor, there may be some cost differences. Most cloud vendors offering a pricing calculator that can help you gauge what your hosting costs will be.

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Instance size

You will need to factor the size of your instance into your Data Center costs. However, unlike when you did your server operational cost calculations, you should base this number on your organization’s potential growth.

So, consider the following points and think about your organization’s growth:

  • Servers and virtual machines
  • CPU and vCPU
  • RAM
  • Instance size
  • Memory usage

If you plan on leveraging a cloud vendor, you can use your current server infrastructure to pick your storage node size and change this based on your organization’s needs.

What are my potential operational cost savings?

Downtime

Depending on how you choose to deploy Data Center, you can significantly reduce your planned and unplanned downtime.

As your organization scales, the more teams you have using your products, the more likely it is that your products could become overloaded and you could experience unplanned downtime.

If you deploy Data Center in a clustered architecture, you have multiple application nodes running independently of each other. Anytime someone uses the product, a load balancer distributes the traffic to an available node. Because they aren’t tied to each other, if one goes down, your teams can still access their products while your IT team get the node back up and running.

You can also leverage zero-downtime upgrades, so you can say goodbye to planned downtime too.

Security

Security at scale is more difficult. Between having more people accessing more information and compliance and regulatory requirements changing depending on your industry or geo, it can be challenging for an IT team to manage without the right tools.

To help ensure that you remain in compliance and that your instance remains secure, Data Center has several features designed to support your security needs at scale.

For example, advanced auditing enables your IT team to track different events within your instance. This allows you to quickly identify a potential security concern and resolve it before it becomes an issue.

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You can even use advanced auditing to help you optimize your teams productivity and monitor your instances performance.

User management

Managing teams can be challenging especially when you’re in a self-managed environment at scale. Without the proper tools in place, getting your teams access to their products when they need them isn’t easy.

Data Center products include support for leading authentication protocols to make this process safer and more secure for your IT team, while also making it simpler across the organization.

Data Center products include support for SAML, which allows each application to connect to an IdP to provide single sign-on (SSO).

Data Center also has support for OpenID Connect, which enables single sign-on for your self-hosted Atlassian products.

3. Calculate your return on investment (ROI)

Now that you’ve calculated your server and Data Center total cost of ownership, calculate your return on Investment (ROI)

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In addition to annual subscription and operational costs, make sure that you also evaluate the impact of any investment gains, such as increased productivity or automation.

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(Server TCO - Data Center TCO)
/
Data Center TCO x 100
=
ROI %

Want help presenting a business case for Data Center?

Check out our business toolkits, which includes email templates, slide templates, and much more. We’ve done the heavy-lifting so you don’t have to.