Category Visionaries Florian Forster, CEO & Co-Founder of ZITADEL: $11.5 Million Raised to Build the Future of Developer-First Identity Infrastructure
ZITADEL is pioneering the next generation of identity infrastructure, providing a developer-first platform that handles everything from basic authentication to complex multi-tenant B2B scenarios. With $11.5 million in funding and a unique open-source approach, ZITADEL has positioned itself as the "GitLab for identity" - offering both self-hosted and SaaS deployment options while maintaining flexibility through comprehensive APIs. In a recent episode of Category Visionaries, I sat down with Florian Forster, CEO and Co-Founder of ZITADEL, who recently relocated from Switzerland to the Bay Area to accelerate the company's go-to-market efforts and tap into the massive US opportunity.
Topics Discussed:
- ZITADEL's comprehensive identity platform covering authentication, authorization, and multi-tenant scenarios
- The company's innovative dual-licensing approach combining AGPL open source with commercial offerings
- Florian's strategic decision to relocate his entire family from Switzerland to the Bay Area
- The evolution from per-user pricing to capability-based pricing models
- Building a global team across three regions: Europe for engineering, US for go-to-market, and Argentina for customer success
- Marketing strategy focused 80/20 on developers versus buyers
- Cultural differences between European and American go-to-market approaches
- Future vision for AI risk mitigation and behavioral analytics in identity management
GTM Lessons For B2B Founders:
- Embrace "cash or code" open source strategy: Florian introduced the concept of "cash or code" - users either pay for commercial features or contribute meaningfully to the open source project. ZITADEL's shift from Apache to AGPL licensing ensures that free users contribute back to the community while commercial customers get enterprise features and SLAs. This dual-licensing approach creates sustainable economics while building a strong community foundation.
- Rethink pricing to align with customer value creation: ZITADEL is moving away from per-user pricing because, as Florian explains, "we are the system that makes users useful. So if we hinder our customers on creating users in the first place, it kind of defeats the whole idea." Instead, they're shifting to capability-based pricing where customers pay for specific features like compliance notifications rather than user seats. This removes friction from customer growth and better aligns pricing with actual value delivered.
- Focus marketing efforts on developers, not just buyers: ZITADEL discovered that an 80/20 split between developer-focused and buyer-focused marketing works best. Florian notes that "targeting the developer ultimately leads to us being in the debate when somebody procures a system like ours." Developers do the initial evaluation and recommendation, so winning them over is crucial for getting into procurement discussions with buyers.
- Leverage geographic arbitrage strategically: ZITADEL operates across three regions - Europe for core engineering (quality engineers at $100-250K vs $250-500K in Bay Area), US for go-to-market, and Argentina for customer success and sales engineering. This approach optimizes for both cost efficiency and timezone coverage while maintaining quality across all functions.
- Adapt messaging for cultural differences: Moving from Switzerland to the US taught Florian that "in US marketing, things get overinflated quite severely, but the buyer knows that and automatically deducts some of it." Europeans tend to under-market solid products, while US buyers expect and discount for marketing inflation. B2B founders must calibrate their messaging appropriately for different markets and buyer expectations.
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