Comment by robertlagrant
8 months ago
On the other hand, if they're pouring money into a project that doesn't make them enough money to make it worthwhile, that does seem unsustainable. Maybe NATS should get less popular but become an option in EKS/AKS/GKE that Synadia runs.
The sustainability of open source doesn't seem to come down to whether the product is open source or not.
As an example, Elastic was a $10B company in 2021 — the year they went dual license — with revenue of around $500-600m. They showed that you can build a huge business on something that's given away for free. I don't know anything about Synadia's financials. It's possible they're successful, but simply want more. It's possible they've not been able to build a sustainable business on NATS. Their commercial offering is basically support plus a closed-source control plane, which isn't exactly a big carrot when the alternative is $0.
I also wonder if there's any VC pressure happening here that could explain the sudden shift. Synadia raised $25m in 2024, and it may be that, one year later, the investors just aren't seeing the progress they were expecting.
Maybe - I wasn't making a point about open source particularly. But you can also have a few unusual examples in times of zero interest rates and they don't necessarily make useful reference points. Only the people in charge will know the whole story and how it relates to their company.