Lessons from Hashicorp S1

Hashicorp has been on The Cloudcast more than any other company. As they prepare for their upcoming IPO, we look back at what makes them successful vs. other OSS-centric companies. SHOW: 566 CLOUD NEWS OF THE WEEK - http://bit.ly/cloudcast-cnotw CHECK OUT OUR NEW PODCAST - "CLOUDCAST BASICS" SHOW SPONSORS: Juniper Networks – Experience-First Networking Learn more about Juniper’s cloud-native solutions BMC Wants to Know if your business is on it's A-Game BMC Autonomous Digital Enterprise Datadog Security Solution: Modern Monitoring and Security Start investigating security threats before it affects your customers with a free 14 day Datadog trial. Listeners of The Cloudcast will also receive a free Datadog T-shirt. SHOW NOTES: Hashicorp (Eps.157) - Automating Data Center Scale Infrastructure Hashicorp (Eps.173) - Atlas Hashicorp (Eps.246) - Quest for 1M containers Hashicorp (Eps.309) - Secrets Management Hashicorp (Eps.387) - Service Mesh Architectures Hashicorp - Benchmarking the S1 Data (Clouded Judgement) WHAT MADE HASHICORP UNIQUE IN THE INFRASTRUCTURE SPACE? Hashicorp was not alone in the Infra-as-Code space, or the Security space, but they have been successful in building a commercial business based on OSS projects. Let’s look at what made them unique and successful. HOW DID HASHICORP GET HERE? Hashicorp Revenue - $295M | Gross Margin 82% | Revenue Growth (LTM) 55% Funding - $350M | NRR 124% | Operating Margin 22% Funding - $350M GitLab - $179M | Gross Margin 88% | Revenue Growth (LTM) 72% | Funding $414M | NRR 152% | Operating Margin 50% Pivotal - $509M | Gross Margin 55% | Revenue Growth (LTM) 22% | $1.7B Pivotal (Subscription/ARR) $300M Always a pragmatic approach, from the perspective of users Abandoned an early approach to building a “stack” (Hashicorp Atlas) Aligned to the public cloud Didn’t try to change the world Didn’t actively fight with their community; weren’t unpleasant Had a single revenue producing product (Vault), and maybe Terraform Good timing (hot market) FEEDBACK? Email: show at the cloudcast dot net Twitter: @thecloudcastnet FEEDBACK? Email: show @ the enterprise ai show dot com Bluesky: @TheEntAIShow.bsky.social Twitter/X: @TheEntAIShow Instagram: @TheEntAIShow