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Chronicles

The story behind the story

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Hasura, a service that helps developers access databases via its open source GraphQL API, raised $25M Series B led by Lightspeed Venture Partners

Frederic Lardinois / TechCrunch :

TechCrunch Frederic Lardinois

Context & Ripple Effects

In 2020, Hasura's $25M Series B was a bet on the same playbook Grafana Labs used months earlier when Lightspeed backed its open source analytics platform: give away the core engine, charge for the managed service around it. The bet paid forward fast — within two years Hasura returned with a $100M Series C at a $1B valuation led by Greenoaks.

The round also landed in a GraphQL tooling market that investors were already funding on both sides of the stack. Apollo had raised an early $22M round co-led by Andreessen Horowitz and Matrix Partners in 2019 before scaling to a $130M Series D at a $1.5B+ valuation, making Hasura's database-facing API layer part of a broader capital cycle around GraphQL infrastructure.

First-order effects

  • Hasura gains the capital to scale its open source GraphQL engine into a commercial product, while Lightspeed adds another open source developer-tools company to a portfolio strategy it applied to Grafana Labs the year before.

Second-order effects

  • Apollo's grip on GraphQL developer tools pressures Hasura to differentiate on the data layer rather than the client side, and the successive rounds signal to adjacent players like Hevo Data and Prisma that data-access infrastructure can command top-tier valuations — Prisma's own $40M Series B followed within two years.

Third-order effects

  • If the pattern holds, open source infrastructure companies keep converting free developer adoption into venture-scale outcomes, with monetization shifting from licenses to hosted services layered over community-built engines — the arc Hasura itself traced from this Series B to unicorn pricing.

The trend: Venture capital is systematically underwriting open source developer infrastructure, betting that free API and data-access layers monetize through managed services rather than software licenses.

Discussion

  • @httpjunkie Eric Bishard on x
    I knew MySQL had to be next, so happy for @hasura! I suspect this should open up there possibility to support more databases! https://techcrunch.com/...