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Atlassian Cloud Licensing: Jira and Confluence Cost Control

How Atlassian cloud licensing works for Jira and Confluence, why user tiers and Marketplace apps drive cost, and how to keep both under control.

By the MI Solutions SAM team9 min read2 exhibits

Atlassian's cloud products, Jira and Confluence above all, are priced by user tiers and plans, and extended by Marketplace apps that are themselves priced by the number of users on the site. That structure creates two cost drivers that are easy to miss: users who are no longer active but still count, and apps priced for the whole user base even when few people use them.

The two cost drivers

Exhibit 1
Users and apps drive Atlassian costWhere to look first (indicative)EASY, SMALLERDO FIRSTHARDER, SMALLERPLAN AHEADShare of Atlassian spend →Ease of saving →Inactive usersUnused Marketplace appsDuplicate sitesPlan tier choiceOverlapping PM toolsPositions are indicative.

Users

Every user with product access counts toward your tier. Deactivate leavers promptly, review users without recent activity, and remove product access from people who only need to view a page occasionally where your plan allows lighter access.

Marketplace apps

Apps add functionality but are usually charged for the full user tier of the product they extend. An app used by one team can cost as much as if everyone used it.

Exhibit 2
Apps priced on the whole user tier can cost far more per real userAnnual app cost per licensed user vs per actual app user, $, illustrative 1,000-user Jira sitePer licensed userPer actual user$0$50$100$150$200$250Test management app$150$30Time tracking app$48$24Diagram app$90$18Roadmap app$250$15Illustrative. An app used by 60 people on a 1,000-user site still bills for the full tier.

Sites and duplicates

Organizations that grew through acquisitions or team-led buying often have several Atlassian sites, or Jira alongside another project-management tool. Consolidation reduces both license cost and administration. See application rationalization.

Atlassian pre-renewal review

How MI One helps

Frequently asked questions

Does a deactivated user still count?

Generally, users without product access do not count toward billing. Check your plan's current rules.

Are Marketplace apps priced per user who uses them?

Usually they are priced on the user tier of the product they extend. Check each app's pricing.

Who should approve new Marketplace apps?

The site administrator, with a short check of cost on the full user tier and an owner for each app.

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