Databricks Closes $5 Billion Funding at $190 Billion Valuation

<p><strong>SAN FRANCISCO —<&sol;strong> <a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;" data-external-link&equals;"true">Databricks<&sol;a>&comma; the Data and AI company&comma; announced it crossed a &dollar;7 billion revenue run-rate&comma; delivering &gt&semi;80&percnt; year-over-year growth during its second quarter&period; Building on this momentum&comma; the company has closed a &dollar;5 billion strategic funding round at a &dollar;190 billion valuation&period; The investment will drive continued innovation across <a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;lakebase" data-external-link&equals;"true">Lakebase<&sol;a>&comma; its serverless Postgres database built for AI agents&comma; <a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;genie&sol;one" data-external-link&equals;"true">Genie<&sol;a>&comma; Databricks’ AI coworker that turns business data into trusted answers and actions&comma; and <a href&equals;"https&colon;&sol;&sol;www&period;databricks&period;com&sol;product&sol;artificial-intelligence&sol;unity-ai-gateway" data-external-link&equals;"true">Unity AI Gateway<&sol;a>&comma; for multi-AI governance and cost controls&period;<&sol;p>&NewLine;<p>The round was led by Coatue&comma; along with Blackstone&comma; MGX&comma; accounts advised by T&period; Rowe Price Associates&comma; Inc&period; and T&period; Rowe Price Investment Management&comma; Inc&period;&comma; and new investor Sixth Street Growth&period; Other new investors included BOND&comma; Clearlake Capital&comma; Point72&comma; Premji Invest&comma; and TPG alongside existing investors Andreessen Horowitz&comma; Dragoneer&comma; Fidelity Management &amp&semi; Research Company&comma; Franklin Templeton&comma; GIC&comma; Growth Equity at Goldman Sachs Alternatives&comma; Insight Partners&comma; J&period;P&period; Morgan Private Capital&comma; Kinetic&comma; Morgan Stanley Investment Management&comma; NEA&comma; Ontario Teachers’ Pension Plan&comma; Temasek&comma; Thrive Capital&comma; and WCM Investment Management&period;<&sol;p>&NewLine;<p>Today&comma; companies have a new set of employees to support&colon; AI agents&period; To do their jobs&comma; agents need a reliable&comma; scalable foundation&comma; clear&comma; accurate answers from enterprise data&comma; and the ability to easily forecast budgets and switch to more cost-effective models to avoid burning through expensive tokens&period; The Databricks Data &plus; AI Platform delivers the foundation with Lakebase&comma; enterprise context with Genie&comma; and smart routing and cost controls with Unity AI Gateway&comma; giving teams a simple way to build AI that actually works&period;<&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 70&percnt; of the Fortune 500 — rely on the Databricks Data &plus; AI Platform to build and scale data and AI apps&comma; analytics&comma; and agents&period;<&sol;p>&NewLine;<p><strong>Databricks’ Financial Momentum<&sol;strong><br &sol;>&NewLine;This funding follows Databricks’ continued business momentum&period; According to the company&comma; this includes&colon;<&sol;p>&NewLine;<ul>&NewLine;<li data-list-item-id&equals;"edf1d5364f2eebc77fa20bc6996c16284">Growing &gt&semi;80&percnt; year over year&comma; surpassing &dollar;7B revenue run-rate<&sol;li>&NewLine;<li data-list-item-id&equals;"efde50da383c21ac63a82109b67a83880">Continuing to deliver positive adjusted free cash flow over the last 12 months<&sol;li>&NewLine;<li data-list-item-id&equals;"e492f00efd57c0ec5a8d641e7fe0ff043">Surpassing &dollar;1&period;5B revenue run-rate for Lakehouse&comma; its data warehousing product&comma; growing over 100&percnt; year over year<&sol;li>&NewLine;<li data-list-item-id&equals;"e0065a80b5e6385b182f58be0943f7a15">Exceeding &dollar;100M revenue run-rate for Lakebase<&sol;li>&NewLine;<li data-list-item-id&equals;"e81de243ae4956c067184f6463082a9c4">&gt&semi;1&comma;000 customers consuming at over &dollar;1 million revenue run-rate<&sol;li>&NewLine;<li data-list-item-id&equals;"e28c9b901255236ea623ced889c3fd27a">&gt&semi;100 customers consuming at over &dollar;10 million revenue run-rate<&sol;li>&NewLine;<&sol;ul>&NewLine;<p>&OpenCurlyDoubleQuote;Enterprises don&&num;8217&semi;t just want AI that talks&period; They want agents working across their business that remember context&comma; deliver accurate answers&comma; and execute work without blowing through their budgets&comma;” said <strong>Ali Ghodsi&comma; Co-founder and CEO of Databricks<&sol;strong>&period; &OpenCurlyDoubleQuote;That requires real-time operational data with Lakebase&comma; context from across the business with Genie&comma; and multi-AI cost controls with Unity AI Gateway&period; The tremendous investor demand for this round shows that our AI strategy is winning the market and building what every business needs to maximize their impact with agents&period;”<&sol;p>&NewLine;

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