highlight.io
AcquiredYC W23Seattle, US · Founded 2023 · 8 employees · 22 known investors
Acquired by LaunchDarkly April 2025 · terms undisclosed · source ↗
A full-stack monitoring platform that helps developers identify performance issues and bugs in web applications through session replay and error tracking.
Also known as Highlight
Founders & leadership· Y Combinator alumni (W23)
highlight.io was founded in 2023 by Jay Khatri and Vadim Korolik.
Investors · 22
Also in the syndicate · 10
Funding
SEC filings, press & company announcements$40M disclosed across 1 of 6 rounds · 2013–2026
- $40MSeries AMar 2026 · 2 sourcesSource ↗
Source: company announcements and press reports — follow each round's link for the claim.
Company profile
researched Aug 2026Jay Khatri and Vadim Korolik created Highlight after building improvised combinations of session replay and error monitoring at prior companies and concluding that developers lacked enough context to reproduce production bugs. The Seattle-based company began with a lightweight frontend SDK that captured a user's screen, console/network activity and errors, then linked client behavior with backend exceptions. It expanded into an open-source, OpenTelemetry-oriented full-stack observability distribution spanning session replay, error monitoring, logs, distributed traces, metrics/APM, dashboards and alerts. The stack used ClickHouse for high-volume event storage/query, language/framework SDKs, privacy controls and a self-hosted enterprise option. Highlight open-sourced the company/product in 2023 and built a product-led developer community; at its YC launch it reported 2,000+ production developers and 80+ companies, while its August 2023 financing announcement reported hundreds of customers, roughly 1,000 Discord members and 5,000+ GitHub stars. It raised $500k through YC W23 and then an $8m seed co-led by Afore Capital and Craft Ventures, bringing modeled disclosed funding to $8.5m. Seed participants included YC, Neo, Day One Ventures, Worklife Ventures and Fuel Capital, plus angels. LaunchDarkly acquired Highlight in April 2025 for undisclosed terms, bringing the full team and co-founders into its platform organization. The strategic thesis was to join real-time observability with feature flags and Guarded Releases: control who sees a rollout, observe errors/logs/traces/session behavior, and roll back quickly. LaunchDarkly subsequently reproduced Highlight's features in LaunchDarkly Observability; customers were instructed to change SDK snippets and plans before Highlight.io's hosted services ended on February 28, 2026. The open-source repository remains relevant, but the standalone commercial service no longer operates. Historical pricing ranged from a free tier through $50/month pay-as-you-go and $800/month Business, with enterprise/self-hosted contracts. Primary risks included extremely intense competition (Datadog, Sentry, Grafana, New Relic, Honeycomb, FullStory/LogRocket), high ingest/storage costs, sensitive session data and privacy compliance, reliability at observability scale, open-source monetization and customer migration after acquisition.
Founding story
Khatri and Korolik had separately used homegrown replay/error tooling to debug production behavior. They started Highlight to unify the 'why' behind errors—user interactions, network requests, console output and backend context—rather than add another noisy alert stream.
Business model
Open-core/full-stack observability platform offered as hosted usage-based SaaS plus self-hosted enterprise software.
Free developer tier, monthly platform fees plus usage/retention overages, Business subscription, negotiated Enterprise MSAs/SLAs and self-hosted enterprise contracts.
Traction
YC launch: 2,000+ developers using Highlight in production and 80+ companies. August 2023: hundreds of customers ranging from 2 to 2,000 employees, ~1,000 Discord members and 5,000+ GitHub stars. Historical customer logos included Pipe, Portal, Dripos, Knock, Hightouch, Basedash, Blue Cross of Idaho, Mage, Airplane, Secoda, Whop and Aurora.
Latest developments
All core Highlight features became available in LaunchDarkly Observability. Standalone Highlight.io infrastructure and services ended on February 28, 2026; self-service and enterprise customers were migrated to LaunchDarkly accounts, SDK snippets and commercial terms.
▸Full profile — market position, technology, go-to-market, geography, history, ownership, risks & controversies
Market position
Developer-focused open-source challenger at the intersection of session replay, error monitoring and observability; ultimately became LaunchDarkly's observability foundation for guarded releases.
A cohesive timeline connecting what a user saw with browser network/console activity and backend telemetry, delivered as an open-source full-stack alternative to separate replay and APM/error tools.
Technology
Frontend/mobile/backend instrumentation; high-fidelity session replay; error/stack-trace correlation; OpenTelemetry logs, traces and metrics; ClickHouse-based ingestion/query; dashboards/alerts; privacy masking; integrations and self-hosted deployment.
Go-to-market
Open-source GitHub/Discord community, free self-service onboarding and framework SDKs, technical content, transparent pricing, developer-led adoption and enterprise expansion.
Software engineers, SRE/DevOps teams and product developers debugging and operating browser, mobile and backend applications.
Individual developers and startups; growth-stage SaaS engineering teams; security-sensitive and large enterprises requiring SSO, RBAC, audit logs or self-hosting.
Geography
Headquartered/listed in Seattle, with globally distributed open-source and hosted users and a remote developer customer base.
History
Started in 2022; YC W23 and $500k accelerator financing; open-sourced in early 2023; launched full-stack platform and raised $8m in August 2023; expanded from replay/errors into OpenTelemetry logs, traces, metrics/APM and enterprise/self-hosting; acquired by LaunchDarkly in April 2025; migrated customers through 2025; standalone hosted services deprecated February 28, 2026.
Ownership
Wholly owned/integrated by LaunchDarkly (legal parent Catamorphic Co.). Jay Khatri runs the LaunchDarkly Observability business and Vadim Korolik joined the acquirer; transaction price and shareholder consideration were not disclosed.
Risks & controversies
No material public legal controversy found. Inherent risks: captured screens/network bodies can expose personal or regulated data; privacy masking must be configured correctly; observability ingest has high infrastructure cost; OpenTelemetry and open source lower switching barriers; crowded incumbents bundle adjacent features; acquisition required customers to migrate SDK endpoints/accounts and licensing by a hard service-end date.
Compiled by commissioned research from 12 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Competitors · 9
by search overlapCompanies competing with highlight.io for the same Google search keywords, organic and paid, via search-intersection analysis.
Customers & partners
Named customers · 4
Relationships the company or its partners disclosed publicly — case studies, joint announcements, press.
Pricing
as listed Apr 2025Public list pricing as researched from the company's own pricing pages; negotiated and enterprise terms vary.
Timeline · 3
launches, deals, and filingsHosted infrastructure/services were deprecated after customers migrated to LaunchDarkly Observability.
Expanded beyond replay/errors into a cohesive monitoring suite and announced $8m seed.
Company released its full-stack monitoring code and adopted an open operating/community model.
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
Legal entities · 1
corporate structureIn the news
▸Research sources · 12
primary sources listed
- Migrating from Highlight.io to LaunchDarkly ObservabilityHighlight · company announcement
- LaunchDarkly acquires HighlightLaunchDarkly / GlobeNewswire · press release
- Welcome Highlight to LaunchDarklyLaunchDarkly · acquirer announcement
- Highlight launches and raises $8mJay Khatri / LinkedIn · founder announcement
- Highlight open-source announcementJay Khatri / LinkedIn · founder announcement
- highlight.io company profileY Combinator · accelerator profile
- highlight.ioHighlight · company website
- Highlight pricingHighlight · pricing page
- Jay KhatriJay Khatri · founder profile
- highlight/highlightGitHub · code repository
12 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does highlight.io do?
- Open-source full-stack application-observability company combining session replay, errors, logs, traces and metrics; acquired by LaunchDarkly in April 2025 and migrated into LaunchDarkly Observability.
- Who founded highlight.io?
- highlight.io was founded by Jay Khatri, Vadim Korolik in 2023.
- Who are highlight.io's investors?
- highlight.io's investors include Afore Capital, Craft Ventures, Fuel Capital, Neo, Ramtin Naimi, Worklife Ventures, Y Combinator, Benchmark and 4 more.
- How much funding has highlight.io raised?
- highlight.io has disclosed $40M raised across 1 of its 6 known rounds.
- Where is highlight.io headquartered?
- highlight.io is headquartered in Seattle, US.













