Nikita Shamgunov, Co-founder and CEO of Neon, shares insights from his journey in tech, starting with his background at Microsoft and Facebook. He discusses the creation of Neon, a serverless Postgres platform, highlighting its unique architecture and challenges faced in an AWS-dominated market. Nikita emphasizes the importance of forming the right founding team with diverse skills, innovative strategies for scalability, and adapting to evolving tech landscapes. His advice for aspiring entrepreneurs centers on self-belief and leveraging supportive relationships.
Nikita Shamgunov highlights the importance of team composition and remote work in building a successful startup, especially in tech innovation.
The strategic pivot towards AI integration and the adaptation to user growth challenges positions Neon as a contender in innovative database solutions.
Deep dives
Kinsta: Streamlining Website Management
Kinsta offers managed hosting for WordPress, focusing on enhancing website security and performance. It ensures lightning-fast load times and provides enterprise-grade security, such as SOC 2 certifications, which guarantees the highest level of protection for websites. Migration to Kinsta is seamless with unlimited expert-led migrations, resulting in significant performance improvements, with some customers experiencing 200% faster load times. This makes it an ideal solution for business owners and developers who want to focus on their core operations without the technical stress of website management.
The Launch of Neon: A New Approach to Postgres
The concept behind Neon was to create an open-source alternative to AWS Aurora, focused on the separation of storage and compute. After a year of development and enthusiastic initial traffic, the project gained momentum when it leaked on hacker forums, validating the interest in the product. As the GitHub repository for Neon became increasingly popular, the team adopted a strategy of building in public, which allowed for clear market fit signals and rapid iteration based on user feedback. Leveraging the trending interest in Rust, which Neon was built upon, further propelled the project’s visibility and credibility in the developer community.
Building Teams for Success
Nikita Shambhanov emphasizes the critical nature of team composition in achieving startup success, particularly his belief that the team you build significantly influences the company you create. His approach involved bringing in top-tier talent from the Postgres community, ensuring that those who understand the technology and ecosystem were at the forefront. Furthermore, the company's structure was designed to support remote work, which helped attract a diverse and highly skilled engineering team. With a focus on the right blend of talent, the company adapted its hiring processes to be more rapid while maintaining high standards for performance and culture.
Evolving Towards AI and Future Scalability
As Neon continues to grow, there has been an intentional shift towards embracing AI technologies and leveraging them for future scalability. The company witnessed rapid user growth, leading to challenges in service stability, but responded by restructuring its team and enhancing leadership to improve operations. Recognizing the need for adaptability, Neon prioritized discovering market opportunities, particularly in serverless and agentic platforms, to stay ahead in a saturated market. This strategic pivot aims to position Neon as a leader in innovative database solutions, anticipating a future with an expanded developer base and the integration of AI agents into workflow efficiencies.
Nikita Shamgunov is a native of Russia, coming to the US for grad school in 2005. Eventually he worked at Microsoft on the SQL Server product. A fun fact - Nikita quit business school on the first day, and decided to join Facebook and find his future co-founder. All of this worked out, and he and his co-founder built SingleStore, which is one of the highest valued companies at YC. Outside of tech, he was a semi-professional athlete in Ping Pong, achieving the status of Top 10 in Washington State back when he was at Microsoft.
Nikita completed his "tour of duty" at SingleStore, and post that, he joined a venture fund. He pitched incubating an idea of his at the fund, which was rolling up all Postgres instances in the world. He started to engineer an approach, the team, and the architecture - and did so in some very unique, and deliberate ways.