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Database startup Neo4j embraces AI to supercharge growth | TechCrunch

Nov 19, 2024 - techcrunch.com
Neo4j, a leading vendor in graph database management, has seen significant growth due to its focus on AI-supporting capabilities. The company's software enables the creation, orchestration, and deployment of graph databases, which store data as nodes, relationships, and properties, mirroring real-world connections. This structure, known as a "knowledge graph," provides context for AI, improving its performance. Neo4j has also introduced vector search features, useful for AI searching for similar text or files. The company's revenue has surpassed $200 million, double from three years ago, and it commands 44% of the graph database market.

Neo4j, valued at $2.2 billion, has plans to go public eventually, but is currently focused on growth. It recently secured $50 million from Neotus Partners, bringing its total venture capital to around $550 million. The future of the graph database sector looks promising, with Grand View Research predicting the market for graph technology will be worth $15.8 billion by 2030, and Gartner forecasting that 80% of data and analytics innovations will use graph technology by 2025.

Key takeaways:

  • Neo4j, a major vendor in graph database management software, enables companies to build, orchestrate, and deploy graph databases, which are crucial for AI as they handle fast-changing, interconnected data more adeptly than traditional databases.
  • The company has introduced new features like "GraphRAG" and vector search to improve AI's performance and has seen its revenue double to over $200 million in the last three years due to its increased focus on AI-supporting capabilities.
  • Neo4j, valued at $2.2 billion, commands 44% of the graph database market and counts 84% of the Fortune 100 as customers. It plans to add more AI features to its platform next year and aims to go public eventually.
  • The market for graph technology is expected to be worth $15.8 billion by 2030, with Gartner forecasting that 80% of data and analytics innovations will be made using graph technology by 2025.
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