Since I got in this morning, all I’ve heard from the dev teams is concern about the purchase of Github by Microsoft. Many are thinking of moving their repositories out of Github. Here is an interesting article about this topic in the news today.
https://www.technologyreview.com/the-download/611305/microso…
Atlassian (TEAM) is a company that has long been on my radar, but I’m really looking at it since this purchase of Github by Microsoft.
Atlassian makes a set of modern development tools that speed up Agile dev teams. As you may know, Agile development processes are the only reasonable processes to develop cloud apps. They are also extremely common in off-cloud applications as well. If you are interested in Nutanix, you might remember that they got in trouble with their Xi product because they had trouble moving to an Agile development lifecycle, which is de rigeur in cloud development but not common in development of software supporting hardware and networking. Atlassian could have helped them a lot there.
Anyway, coming back to the point, Atlassian makes many of the top tools for Agile development, such as Jira which is a top project and bug tracker, and Confluence which is a top collaboration environment.
Another of their top products is BitBucket, which is the biggest competitor in the code repository space(in 2nd place) to Github. Online code repositories are where almost every developer and company in the world keep their source code.
Atlassian is a very successful company with tremendous growth, but I’ve been staying away from their nosebleed valuation.
There are 2 things that might play out here, which could make Atlassian a good investment candidate:
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With Github getting such a big buyer, there might be pressure on the price of Atlassian as people worry about whether Microsoft with their money can sink BitBucket and other tools. I don’t think this is a real risk, so price movement based on this “risk” I consider to be a buying opportunity.
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There could well be a significant move of developers away from Github to BitBucket - both individual developers, and companies that may not want to use the product of their competitor. Google, Facebook, IBM, Oracle, and the list goes on… Any of these could take really big revenue to Atlassian all at once.
Any thoughts on this from the community?
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2. There could well be a significant move of developers away from Github to BitBucket - both individual developers, and companies that may not want to use the product of their competitor.
My first thought as well. In general, the Github community is not exactly aligned with Microsoft.
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Google, Facebook, IBM, Oracle, and the list goes on…
All these companies use their competitor’s product, sell their competitor’s product. IBM sells Azure and oracle cloud products.
All these companies are using Office suite today.
For those who are familiar with continuous delivery models, if you have already integrated GitHub, why change because now it is owned by Microsoft?
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All these companies use their competitor’s product, sell their competitor’s product. IBM sells Azure and oracle cloud products.
Everyone uses competitor’s services. This is different - your source code is the crown jewels. Have those in the vault of your competitor, where they (in theory) could do all sorts of things is a whole different story.
For instance, even if they aren’t going to steal the source code itself, what prevents them from using AI to analyze code commits and identify the projects and business solutions that their competitors are working on? I’m not sure that would be illegal or even against policy.
For those who are familiar with continuous delivery models, if you have already integrated GitHub, why change because now it is owned by Microsoft?
Changing from Github to Bitbucket isn’t very difficult - rebase the repository, change the SCM hooks in your CI/CD pipeline to the new repository, and you’re done. For an individual project, you can literally do it in half an hour.
Now I’m not sure it is going to happen on mass, but from the chatter in the office today, it is already happening with some developers, and could happen with some big companies too. I don’t guarantee it will affect business revenue significantly, but I think it would be interesting to see what happens to the growth rate of Bitbucket - they could stand to win from this.
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This is different - your source code is the crown jewels.
Agreed. Even today Oracle’s of the world do not store their source code in GitHub. GitHub’s ownership moving to Microsoft doesn’t increase the threat.
This is more for enterprise customers. Where Oracle’s (or AWS or AZURE) of the world come in is providing support. Today Oracle/ AWS/ Azure clouds have integration with GitHub and they will continue. That was my point.
Actually Microsoft’s ownership means enterprise adoption will increase. Microsoft is able to sell Skype to enterprise customers as communication service, like wise they are able to sell “elevate” enterprise version of linkedin, or Facebook able to sell “Workspace” enterprise version.
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MSFT - Blast from the past.
https://www.youtube.com/watch?v=Vhh_GeBPOhs&feature=yout…
Marketfoolery coverage of the acquisition, Fool analyst and commentator are critical of use of shares instead of cash even while buying back shares. 1st 5 minutes…
https://www.fool.com/podcasts/marketfoolery/2018-06-04-micro…
Joe
TEAM is on my watchlist
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