Databricks Snags Mammoth $4 Billion Investment

<p><strong>SAN FRANCISCO — <&sol;strong>Data and AI company <a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;" data-external-link&equals;"true">Databricks<&sol;a> has snagged a massive &dollar;4 billion-plus Series L investment&comma; valuing the company at &dollar;134 billion&period; Additionally&comma; the company said it crossed a &dollar;4&period;8 billion revenue run-rate during its third quarter&comma; growing &gt&semi;55&percnt; year over year&comma; including &gt&semi;&dollar;1 billion revenue run-rate from its Data Warehousing business and &gt&semi;&dollar;1 billion revenue run-rate from its AI products — all while delivering positive free cash flow over the last 12 months&period;<&sol;p>&NewLine;<p>The round was led by Insight Partners&comma; Fidelity Management &amp&semi; Research Company&comma; and J&period;P&period; Morgan Asset Management with additional participation from Andreessen Horowitz&comma; funds and accounts managed by BlackRock&comma; funds managed by Blackstone &lpar;&OpenCurlyDoubleQuote;Blackstone”&rpar;&comma; Coatue&comma; GIC&comma; MGX&comma; NEA&comma; Ontario Teachers Pension Plan&comma; Robinhood Ventures&comma; accounts advised by T&period; Rowe Price Associates&comma; Inc&period;&comma; Temasek&comma; Thrive Capital and Winslow Capital&period; This new investment builds on Databricks’ accelerating financial results and underscores the company’s vision to make data and AI accessible to all organizations&period;<&sol;p>&NewLine;<p>The parallel rise of vibe coding and generative AI is accelerating the development of Data Intelligent Applications in the enterprise&period; Databricks will use this new capital to help customers build AI apps and agents on their proprietary data&comma; leveraging Lakebase as the system of record&comma; Databricks Apps as the user experience layer&comma; and Agent Bricks to power multi-agent systems&period;<&sol;p>&NewLine;<p>This massive funding&comma; according to the company&comma; follows continued strong momentum across its business&comma; including&colon;<&sol;p>&NewLine;<ul>&NewLine;<li>Surpassing &dollar;4&period;8 billion revenue run-rate&comma; growing &gt&semi;55&percnt; year over year&period;<&sol;li>&NewLine;<li>Continuing to achieve positive free cash flow over the last 12 months&period;<&sol;li>&NewLine;<li>Achieving &gt&semi;&dollar;1 billion revenue run-rate for its AI products&period;<&sol;li>&NewLine;<li>In its first six months&comma; Lakebase already has thousands of customers and is growing revenue at twice the pace of its Data Warehousing product&period;<&sol;li>&NewLine;<li>Achieving &gt&semi;&dollar;1 billion revenue run-rate for its Data Warehousing product in less than four years from general availability&period;<&sol;li>&NewLine;<li>Net retention rate sustaining &gt&semi;140&percnt;&period;<&sol;li>&NewLine;<li>&gt&semi;700 customers consuming at over &dollar;1 million annual revenue run-rate&period;<&sol;li>&NewLine;<&sol;ul>&NewLine;<p>Databricks’ Series L funding will advance product development across three strategic products&comma; helping customers build Data Intelligent Applications&period;<&sol;p>&NewLine;<ul>&NewLine;<li><a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;lakebase" data-external-link&equals;"true">Lakebase<&sol;a> is the first serverless Postgres database purpose-built for the age of AI&period;<&sol;li>&NewLine;<li><a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;databricks-apps" data-external-link&equals;"true">Databricks Apps<&sol;a> offers world-class speed and security to build and deploy data and AI applications&period;<&sol;li>&NewLine;<li><a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;artificial-intelligence&sol;agent-bricks" data-external-link&equals;"true">Agent Bricks<&sol;a> makes it easy for organizations to build and scale high-quality agents on their data&period;<&sol;li>&NewLine;<&sol;ul>&NewLine;<p>In addition to fueling its growth&comma; this capital is expected to be used to provide liquidity for employees&period; The investment is also expected to support future AI acquisitions and deepen AI research&period;<&sol;p>&NewLine;<p>&&num;8220&semi;Enterprises are rapidly reimagining how they build intelligent applications&comma; and the convergence of generative AI with new coding paradigms is opening the door to entirely new workloads&period; With this investment&comma; we’re deepening our commitment to help every organization innovate with AI on their own data&comma;” said Ali Ghodsi&comma; co-founder and CEO of Databricks&period; &OpenCurlyDoubleQuote;By anchoring transactional data in Lakebase&comma; delivering intuitive experiences through Databricks Apps&comma; and enabling advanced multi-agent systems with Agent Bricks&comma; we’re giving customers a unified foundation to build trusted&comma; high-performance Data Intelligent Applications at scale&period;&&num;8221&semi;<&sol;p>&NewLine;<p>More than 20&comma;000 organizations worldwide — including adidas&comma; AT&amp&semi;T&comma; Bayer&comma; Block&comma; Mastercard&comma; Rivian&comma; Unilever&comma; and over 60&percnt; of the Fortune 500 — rely on Databricks to build and scale data and AI apps&comma; analytics and agents&period; Databricks is headquartered in San Francisco with 30&plus; offices around the globe&period;<&sol;p>&NewLine;

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