- Databricks announced a $5 billion funding round at a $190 billion valuation, led by Coatue, Blackstone, MGX, T. Rowe Price, and Sixth Street Growth.
- The company reported over 80% year-over-year growth and surpassed a $7 billion revenue run-rate in its second quarter.
- Lakebase has exceeded a $100 million revenue run-rate, while the Lakehouse data warehousing business surpassed a $1.5 billion revenue run-rate.
- This funding round comes six months after Databricks raised $5 billion at a $134 billion valuation.
- Founded in 2013, Databricks provides software that helps companies store, manage, and analyze data, as well as develop AI applications.
- The company competes with Snowflake and is viewed as a candidate for a future stock market listing.
- CEO Ali Ghodsi stated that the demand for AI products is crazy and highlighted the strength of their AI software offerings.
Databricks has successfully raised $5 billion at a $190 billion valuation, marking a significant increase from its previous valuation of $134 billion. This funding round, led by Coatue, Blackstone, MGX, T. Rowe Price, and Sixth Street Growth, aims to enhance its AI product offerings.127
The company reported that it has surpassed a $7 billion annualized revenue run-rate and achieved over 80% year-over-year revenue growth in the second quarter. CEO Ali Ghodsi emphasized the strong demand for AI solutions, stating, "demand is crazy" and highlighting the need for businesses to utilize AI agents effectively.1011
Databricks plans to invest the new funds into products like its Lakebase database, which has exceeded a $100 million revenue run-rate, and its Lakehouse data warehousing business, which surpassed $1.5 billion. Ghodsi noted that the rising costs associated with AI are driving demand for their AI Gateway platform and open-source tools.56
The funding round follows a previous $5 billion raise and reflects the ongoing investor interest in AI-driven companies. Ghodsi remarked, "Enterprises don't just want AI that talks. They want agents working across their business that remember context, deliver accurate answers, and execute work without blowing through their budgets."
As Databricks continues to innovate, it positions itself as a leader in the AI infrastructure space, with a growing customer base and a strong financial outlook.
“The funding round follows a $134 billion valuation six months ago, with investor demand for AI companies remaining strong. CEO Ali Ghodsi said 'demand is crazy,' citing skyrocketing AI costs boosting demand for its AI Gateway platform and open-source tools.”
CNBC
Databricks
