Grafana Labs, the open-source company that probably powers at least a few operational dashboards in your company, today announced the completion of a primary and secondary transaction worth about $270 million, with the proceeds going to the company and some of its stockholders. The company describes this as an extension to its $240 Series D round in 2022. The extension was led by existing investor Lightspeed Venture Partners, with participation from its existing institutional investors.
The company is now valued at over $6 billion, up from $3 billion in 2022.
In addition to this new funding event, Grafana also announced that it has now moved past $250 million in annual recurring revenue and has over 5,000 paying customers, up from 2,000 in 2022.
“We’ve accomplished so much in the almost 10 years since Grafana Labs was established. The open source side project my co-founder Torkel Ödegaard created now has 20 million users worldwide and has become the foundation of a sustainable business and market leader in observability,” said Grafana Labs CEO and co-founder Raj Dutt. “Beyond the impressive numbers, what I’m most proud of is that we have stayed true to our roots, while diversifying our revenue sources. We believe with the right strategy, open source will win and we’re just getting started.”
While Grafana offers the ability to visualize all kinds of data, Grafana Labs is squarely focused on helping enterprises visualize and analyze data from their various infrastructure services, either as a hosted service through Grafana Cloud or self-hosted through Grafana Enterprise. Its products these days also include tracing systems for tracking application performance, user monitoring, and incident response and management tooling.
“When Lightspeed first invested in Grafana Labs’ Series A in 2019, we were confident in the company’s strategy,” said Gaurav Gupta, partner at Lightspeed Venture Partners. “We knew that open source companies were rewriting the narrative, transitioning from merely free alternatives to releasing technology that rivals or surpasses proprietary solutions. Grafana exemplifies this shift—there’s nothing that compares to their capabilities in operational dashboarding. They’ve been on a tear releasing so many new products and building what clearly is the strongest open source observability platform in the market.”