diff --git a/examples/graphql/src/__tests__/acceptance/graphql-tests.ts b/examples/graphql/src/__tests__/acceptance/graphql-tests.ts
index e82b3919a9e9..47ea205cbc73 100644
--- a/examples/graphql/src/__tests__/acceptance/graphql-tests.ts
+++ b/examples/graphql/src/__tests__/acceptance/graphql-tests.ts
@@ -125,4 +125,13 @@ mutation AddRecipe {
     numberInCollection
     creationDate
   }
-}`;
+}
+
+subscription AllNotifications {
+  recipeCreated {
+    id
+    numberInCollection
+    creationDate
+  }
+}
+`;
diff --git a/examples/graphql/src/__tests__/acceptance/graphql.acceptance.ts b/examples/graphql/src/__tests__/acceptance/graphql.acceptance.ts
index b48247e63f63..840b3bdc4f77 100644
--- a/examples/graphql/src/__tests__/acceptance/graphql.acceptance.ts
+++ b/examples/graphql/src/__tests__/acceptance/graphql.acceptance.ts
@@ -28,7 +28,11 @@ describe('GraphQL server', () => {
   runTests(() => supertest(server.httpServer?.url));
 
   async function givenServer() {
-    server = new GraphQLServer({host: '127.0.0.1', port: 0});
+    server = new GraphQLServer({
+      host: '127.0.0.1',
+      port: 0,
+      apollo: {subscriptions: '/subscriptions'},
+    });
     server.resolver(RecipeResolver);
 
     server.bind('recipes').to([...sampleRecipes]);
diff --git a/examples/graphql/src/application.ts b/examples/graphql/src/application.ts
index 90a1da6ed5fc..cdef25bbf11a 100644
--- a/examples/graphql/src/application.ts
+++ b/examples/graphql/src/application.ts
@@ -22,9 +22,6 @@ export class GraphqlDemoApplication extends BootMixin(
     this.component(GraphQLComponent);
     const server = this.getSync(GraphQLBindings.GRAPHQL_SERVER);
     this.expressMiddleware('middleware.express.GraphQL', server.expressApp);
-    this.configure(GraphQLBindings.GRAPHQL_SERVER).to({
-      asMiddlewareOnly: true,
-    });
 
     // It's possible to register a graphql context resolver
     this.bind(GraphQLBindings.GRAPHQL_CONTEXT_RESOLVER).to(context => {
diff --git a/examples/graphql/src/graphql-resolvers/recipe-resolver.ts b/examples/graphql/src/graphql-resolvers/recipe-resolver.ts
index b3d9bb9a305f..b267b5139336 100644
--- a/examples/graphql/src/graphql-resolvers/recipe-resolver.ts
+++ b/examples/graphql/src/graphql-resolvers/recipe-resolver.ts
@@ -11,11 +11,14 @@ import {
   GraphQLBindings,
   Int,
   mutation,
+  Publisher,
+  pubSub,
   query,
   resolver,
   ResolverData,
   ResolverInterface,
   root,
+  subscription,
 } from '@loopback/graphql';
 import {repository} from '@loopback/repository';
 import {RecipeInput} from '../graphql-types/recipe-input';
@@ -46,8 +49,18 @@ export class RecipeResolver implements ResolverInterface<Recipe> {
   }
 
   @mutation(returns => Recipe)
-  async addRecipe(@arg('recipe') recipe: RecipeInput): Promise<Recipe> {
-    return this.recipeRepo.add(recipe);
+  async addRecipe(
+    @arg('recipe') recipe: RecipeInput,
+    @pubSub('recipeCreated') publish: Publisher<Recipe>,
+  ): Promise<Recipe> {
+    const result = await this.recipeRepo.add(recipe);
+    await publish(result);
+    return result;
+  }
+
+  @subscription(returns => Recipe, {topics: 'recipeCreated'})
+  async recipeCreated(@root() recipe: Recipe) {
+    return recipe;
   }
 
   @fieldResolver()
diff --git a/examples/graphql/src/index.ts b/examples/graphql/src/index.ts
index 06d5e9a4f49e..68a7ecb9d21f 100644
--- a/examples/graphql/src/index.ts
+++ b/examples/graphql/src/index.ts
@@ -1,8 +1,8 @@
+import {GraphQLServerOptions} from '@loopback/graphql';
 // Copyright IBM Corp. 2020. All Rights Reserved.
 // Node module: @loopback/example-graphql
 // This file is licensed under the MIT License.
 // License text available at https://opensource.org/licenses/MIT
-
 import {ApplicationConfig, GraphqlDemoApplication} from './application';
 
 export * from './application';
@@ -20,6 +20,12 @@ export async function main(options: ApplicationConfig = {}) {
 }
 
 if (require.main === module) {
+  const graphqlCfg: GraphQLServerOptions = {
+    apollo: {
+      subscriptions: '/subscriptions',
+    },
+    asMiddlewareOnly: true,
+  };
   // Run the application
   const config = {
     rest: {
@@ -36,6 +42,7 @@ if (require.main === module) {
         setServersFromRequest: true,
       },
     },
+    graphql: graphqlCfg,
   };
   main(config).catch(err => {
     console.error('Cannot start the application.', err);
diff --git a/extensions/graphql/README.md b/extensions/graphql/README.md
index 0e8b8afa6e23..8ee20d508650 100644
--- a/extensions/graphql/README.md
+++ b/extensions/graphql/README.md
@@ -68,11 +68,11 @@ export class GraphqlDemoApplication extends BootMixin(
     super(options);
 
     this.component(GraphQLComponent);
-    const server = this.getSync(GraphQLBindings.GRAPHQL_SERVER);
-    this.expressMiddleware('middleware.express.GraphQL', server.expressApp);
     this.configure(GraphQLBindings.GRAPHQL_SERVER).to({
       asMiddlewareOnly: true,
     });
+    const server = this.getSync(GraphQLBindings.GRAPHQL_SERVER);
+    this.expressMiddleware('middleware.express.GraphQL', server.expressApp);
 
     // ...
 
@@ -89,6 +89,17 @@ export class GraphqlDemoApplication extends BootMixin(
 }
 ```
 
+The GraphQLServer configuration can also be passed in from the application
+config, such as:
+
+```ts
+const app = new Application({
+  graphql: {
+    asMiddlewareOnly: true,
+  },
+});
+```
+
 ## Add GraphQL types
 
 The `@loopback/graphql` packages supports GraphQL schemas to be defined using
diff --git a/extensions/graphql/src/__tests__/unit/graphql.component.unit.ts b/extensions/graphql/src/__tests__/unit/graphql.component.unit.ts
index b9de6ce4f1a9..832cdb6c7667 100644
--- a/extensions/graphql/src/__tests__/unit/graphql.component.unit.ts
+++ b/extensions/graphql/src/__tests__/unit/graphql.component.unit.ts
@@ -5,14 +5,38 @@
 
 import {Application} from '@loopback/core';
 import {expect} from '@loopback/testlab';
-import {GraphQLComponent} from '../../graphql.component';
-import {GraphQLBindings} from '../../keys';
+import {GraphQLBindings, GraphQLComponent} from '../..';
 
 describe('GraphQL component', () => {
-  it('binds server and booter bindings;', () => {
+  it('binds server and booter bindings', () => {
     const app = new Application();
     app.component(GraphQLComponent);
     expect(app.isBound(GraphQLBindings.COMPONENT)).to.be.true();
     expect(app.isBound('booters.GraphQLResolverBooter')).to.be.true();
   });
+
+  it('configures GraphQL server from app config', () => {
+    const app = new Application({
+      graphql: {
+        asMiddlewareOnly: true,
+      },
+    });
+    app.component(GraphQLComponent);
+    expect(app.getConfigSync(GraphQLBindings.GRAPHQL_SERVER)).to.eql({
+      asMiddlewareOnly: true,
+    });
+  });
+
+  it('configures GraphQL server to override app config', () => {
+    const app = new Application({
+      graphql: {
+        asMiddlewareOnly: true,
+      },
+    });
+    app.component(GraphQLComponent);
+    app.configure(GraphQLBindings.GRAPHQL_SERVER).to({asMiddlewareOnly: false});
+    expect(app.getConfigSync(GraphQLBindings.GRAPHQL_SERVER)).to.eql({
+      asMiddlewareOnly: false,
+    });
+  });
 });
diff --git a/extensions/graphql/src/__tests__/unit/graphql.server.unit.ts b/extensions/graphql/src/__tests__/unit/graphql.server.unit.ts
index ef5e1860ca1f..578e10d67157 100644
--- a/extensions/graphql/src/__tests__/unit/graphql.server.unit.ts
+++ b/extensions/graphql/src/__tests__/unit/graphql.server.unit.ts
@@ -23,7 +23,7 @@ describe('GraphQL server', () => {
 
   it('registers resolver classes', () => {
     server.resolver(RecipeResolver);
-    expect(server.getResolvers()).to.containEql(RecipeResolver);
+    expect(server.getResolverClasses()).to.containEql(RecipeResolver);
   });
 
   it('registers resolver classes with name', () => {
@@ -39,10 +39,29 @@ describe('GraphQL server', () => {
       return next();
     };
     server.middleware(middleware);
-    const middlewareList = await server.getMiddleware();
+    const middlewareList = await server.getMiddlewareList();
     expect(middlewareList).to.containEql(middleware);
   });
 
+  it('fails to start without resolvers', async () => {
+    await expect(server.start()).to.be.rejectedWith(
+      /Empty `resolvers` array property found in `buildSchema` options/,
+    );
+  });
+
+  it('starts and stops', async () => {
+    server.resolver(RecipeResolver);
+    await server.start();
+    expect(server.listening).to.be.true();
+    await server.stop();
+    expect(server.listening).to.be.false();
+  });
+
+  it('does not create http server with asMiddlewareOnly option', async () => {
+    server = new GraphQLServer({asMiddlewareOnly: true});
+    expect(server.httpServer).to.be.undefined();
+  });
+
   function givenServer() {
     server = new GraphQLServer();
   }
diff --git a/extensions/graphql/src/decorators/index.ts b/extensions/graphql/src/decorators/index.ts
index cd0762e4d546..b345e5f2c025 100644
--- a/extensions/graphql/src/decorators/index.ts
+++ b/extensions/graphql/src/decorators/index.ts
@@ -15,9 +15,11 @@ import {
   InputType,
   Mutation,
   ObjectType,
+  PubSub,
   Query,
   Resolver,
   Root,
+  Subscription,
 } from 'type-graphql';
 
 /**
@@ -38,3 +40,5 @@ export const field = Field;
 export const inputType = InputType;
 export const objectType = ObjectType;
 export const authorized = Authorized;
+export const subscription = Subscription;
+export const pubSub = PubSub;
diff --git a/extensions/graphql/src/graphql.component.ts b/extensions/graphql/src/graphql.component.ts
index 86d92d4f52c7..8c3b195dd8b6 100644
--- a/extensions/graphql/src/graphql.component.ts
+++ b/extensions/graphql/src/graphql.component.ts
@@ -4,14 +4,16 @@
 // License text available at https://opensource.org/licenses/MIT
 
 import {
+  Application,
   Binding,
   Component,
-  config,
+  CoreBindings,
   createBindingFromClass,
+  inject,
 } from '@loopback/core';
 import {GraphQLResolverBooter} from './booters/resolver.booter';
 import {GraphQLServer} from './graphql.server';
-import {GraphQLComponentOptions} from './types';
+import {GraphQLBindings} from './keys';
 
 /**
  * Component for GraphQL
@@ -22,5 +24,9 @@ export class GraphQLComponent implements Component {
     createBindingFromClass(GraphQLResolverBooter),
   ];
 
-  constructor(@config() private options: GraphQLComponentOptions = {}) {}
+  constructor(@inject(CoreBindings.APPLICATION_INSTANCE) app: Application) {
+    app
+      .configure(GraphQLBindings.GRAPHQL_SERVER)
+      .toAlias(GraphQLBindings.CONFIG);
+  }
 }
diff --git a/extensions/graphql/src/graphql.server.ts b/extensions/graphql/src/graphql.server.ts
index b0edf1d59041..6c5512b7dadf 100644
--- a/extensions/graphql/src/graphql.server.ts
+++ b/extensions/graphql/src/graphql.server.ts
@@ -18,9 +18,14 @@ import {
   lifeCycleObserver,
   Server,
 } from '@loopback/core';
-import {HttpOptions, HttpServer} from '@loopback/http-server';
+import {HttpServer} from '@loopback/http-server';
 import {ContextFunction} from 'apollo-server-core';
-import {ApolloServer, ApolloServerExpressConfig} from 'apollo-server-express';
+import {
+  ApolloServer,
+  ApolloServerExpressConfig,
+  PubSub,
+  PubSubEngine,
+} from 'apollo-server-express';
 import {ExpressContext} from 'apollo-server-express/dist/ApolloServer';
 import express from 'express';
 import {
@@ -32,29 +37,7 @@ import {
 import {Middleware} from 'type-graphql/dist/interfaces/Middleware';
 import {LoopBackContainer} from './graphql.container';
 import {GraphQLBindings, GraphQLTags} from './keys';
-
-export {ContextFunction} from 'apollo-server-core';
-export {ApolloServerExpressConfig} from 'apollo-server-express';
-export {ExpressContext} from 'apollo-server-express/dist/ApolloServer';
-export {Middleware as GraphQLMiddleware} from 'type-graphql/dist/interfaces/Middleware';
-
-/**
- * Options for GraphQL server
- */
-export interface GraphQLServerOptions extends HttpOptions {
-  /**
-   * GraphQL related configuration
-   */
-  graphql?: ApolloServerExpressConfig;
-  /**
-   * Express settings
-   */
-  express?: Record<string, unknown>;
-  /**
-   * Use as a middleware for RestServer instead of a standalone server
-   */
-  asMiddlewareOnly?: boolean;
-}
+import {GraphQLServerOptions} from './types';
 
 /**
  * GraphQL Server
@@ -73,13 +56,17 @@ export class GraphQLServer extends Context implements Server {
     parent?: Context,
   ) {
     super(parent, 'graphql-server');
+
+    // An internal express application for GraphQL only
     this.expressApp = express();
-    if (options.express) {
-      for (const p in options.express) {
-        this.expressApp.set(p, options.express[p]);
+    if (options.expressSettings) {
+      for (const p in options.expressSettings) {
+        this.expressApp.set(p, options.expressSettings[p]);
       }
     }
 
+    // Create a standalone http server if GraphQL is mounted as an Express
+    // middleware to a RestServer from `@loopback/rest`
     if (!options.asMiddlewareOnly) {
       this.httpServer = new HttpServer(this.expressApp, this.options);
     }
@@ -88,7 +75,7 @@ export class GraphQLServer extends Context implements Server {
   /**
    * Get a list of resolver classes
    */
-  getResolvers(): Constructor<ResolverInterface<object>>[] {
+  getResolverClasses(): Constructor<ResolverInterface<object>>[] {
     const view = this.createView(filterByTag(GraphQLTags.RESOLVER));
     return view.bindings
       .filter(b => b.valueConstructor != null)
@@ -98,7 +85,7 @@ export class GraphQLServer extends Context implements Server {
   /**
    * Get a list of middleware
    */
-  async getMiddleware(): Promise<Middleware<unknown>[]> {
+  async getMiddlewareList(): Promise<Middleware<unknown>[]> {
     const view = this.createView<Middleware<unknown>>(
       filterByTag(GraphQLTags.MIDDLEWARE),
     );
@@ -128,15 +115,21 @@ export class GraphQLServer extends Context implements Server {
   }
 
   async start() {
-    const resolverClasses = (this.getResolvers() as unknown) as NonEmptyArray<
+    const resolverClasses = (this.getResolverClasses() as unknown) as NonEmptyArray<
       Function
     >;
 
+    // Get the configured auth checker
     const authChecker: AuthChecker =
       (await this.get(GraphQLBindings.GRAPHQL_AUTH_CHECKER, {
         optional: true,
       })) ?? ((resolverData, roles) => true);
 
+    const pubSub: PubSubEngine | undefined =
+      (await this.get(GraphQLBindings.PUB_SUB_ENGINE, {
+        optional: true,
+      })) ?? new PubSub();
+
     // build TypeGraphQL executable schema
     const schema = await buildSchema({
       // See https://github.com/MichalLytek/type-graphql/issues/150#issuecomment-420181526
@@ -146,7 +139,8 @@ export class GraphQLServer extends Context implements Server {
       // emitSchemaFile: path.resolve(__dirname, 'schema.gql'),
       container: new LoopBackContainer(this),
       authChecker,
-      globalMiddlewares: await this.getMiddleware(),
+      pubSub,
+      globalMiddlewares: await this.getMiddlewareList(),
     });
 
     // Allow a graphql context resolver to be bound to GRAPHQL_CONTEXT_RESOLVER
@@ -155,25 +149,35 @@ export class GraphQLServer extends Context implements Server {
         optional: true,
       })) ?? (context => context);
 
+    // Create ApolloServerExpress GraphQL server
     const serverConfig: ApolloServerExpressConfig = {
       // enable GraphQL Playground
       playground: true,
       context: graphqlContextResolver,
-      ...this.options.graphql,
+      subscriptions: false,
+      ...this.options.apollo,
       schema,
     };
-    // Create GraphQL server
     const graphQLServer = new ApolloServer(serverConfig);
-
     graphQLServer.applyMiddleware({app: this.expressApp});
 
+    // Set up subscription handlers
+    if (this.httpServer && serverConfig.subscriptions) {
+      graphQLServer.installSubscriptionHandlers(this.httpServer?.server);
+    }
+
+    // Start the http server if created
     await this.httpServer?.start();
   }
 
   async stop() {
+    // Stop the http server if created
     await this.httpServer?.stop();
   }
 
+  /**
+   * Is the GraphQL listening
+   */
   get listening() {
     return !!this.httpServer?.listening;
   }
diff --git a/extensions/graphql/src/keys.ts b/extensions/graphql/src/keys.ts
index 82c8d8367630..a620c85c60b6 100644
--- a/extensions/graphql/src/keys.ts
+++ b/extensions/graphql/src/keys.ts
@@ -3,15 +3,23 @@
 // This file is licensed under the MIT License.
 // License text available at https://opensource.org/licenses/MIT
 
-import {BindingKey, Constructor} from '@loopback/core';
-import {AuthChecker, ResolverData} from 'type-graphql';
+import {BindingKey, Constructor, CoreBindings} from '@loopback/core';
+import {AuthChecker, PubSubEngine, ResolverData} from 'type-graphql';
 import {GraphQLComponent} from './graphql.component';
-import {ContextFunction, ExpressContext, GraphQLServer} from './graphql.server';
+import {GraphQLServer} from './graphql.server';
+import {ContextFunction, ExpressContext, GraphQLServerOptions} from './types';
 
 /**
  * Namespace for GraphQL related bindings
  */
 export namespace GraphQLBindings {
+  /**
+   * Binding key for setting and injecting GraphQLServerConfig
+   */
+  export const CONFIG: BindingKey<GraphQLServerOptions> = CoreBindings.APPLICATION_CONFIG.deepProperty(
+    'graphql',
+  );
+
   /**
    * Binding key for the GraphQL server
    */
@@ -40,6 +48,13 @@ export namespace GraphQLBindings {
     'graphql.authChecker',
   );
 
+  /**
+   * Binding key for the GraphQL pub/sub engine
+   */
+  export const PUB_SUB_ENGINE = BindingKey.create<PubSubEngine>(
+    'graphql.pubSubEngine',
+  );
+
   /**
    * Binding key for the GraphQL resolver data - which is bound per request
    */
diff --git a/extensions/graphql/src/types.ts b/extensions/graphql/src/types.ts
index 89d4eef7c427..41b3b2cd03ad 100644
--- a/extensions/graphql/src/types.ts
+++ b/extensions/graphql/src/types.ts
@@ -3,7 +3,14 @@
 // This file is licensed under the MIT License.
 // License text available at https://opensource.org/licenses/MIT
 
+import {HttpOptions} from '@loopback/http-server';
+import {ApolloServerExpressConfig} from 'apollo-server-express';
+
+export {ContextFunction} from 'apollo-server-core';
+export {ApolloServerExpressConfig} from 'apollo-server-express';
+export {ExpressContext} from 'apollo-server-express/dist/ApolloServer';
 export {Float, ID, Int, ResolverInterface} from 'type-graphql';
+export {Middleware as GraphQLMiddleware} from 'type-graphql/dist/interfaces/Middleware';
 
 /**
  * Options for GraphQL component
@@ -11,3 +18,21 @@ export {Float, ID, Int, ResolverInterface} from 'type-graphql';
 export interface GraphQLComponentOptions {
   // To be added
 }
+
+/**
+ * Options for GraphQL server
+ */
+export interface GraphQLServerOptions extends HttpOptions {
+  /**
+   * ApolloServerExpress related configuration
+   */
+  apollo?: ApolloServerExpressConfig;
+  /**
+   * Express settings
+   */
+  expressSettings?: Record<string, unknown>;
+  /**
+   * Use as a middleware for RestServer instead of a standalone server
+   */
+  asMiddlewareOnly?: boolean;
+}