Databricks plans over $4 billion Series L at $134 billion valuation

Databricks plans over  billion Series L at 4 billion valuation
Databricks plans over  billion Series L at 4 billion valuation

Databricks has announced plans to raise more than $4 billion in a Series L funding round that values ​​the company at $134 billion.

The San Francisco-based data and artificial intelligence company surpassed $4.8 billion in revenue during its third quarter, with year-over-year growth of more than 55%.

The run figure includes more than $1 billion from its data storage business and more than $1 billion from its artificial intelligence products. The company has generated positive free cash flow for the 12 months from December 2024.

Insight Partners, Fidelity Management & Research Company and JP Morgan Asset Management lead the Series L investment.

Additional investors in the round include Andreessen Horowitz, funds and accounts managed by BlackRock, funds managed by Blackstone, Robinhood Ventures and Thrive Capital.

The funding will support product development in three strategic areas: Lakebase, Databricks Apps and Agent Bricks.

The funding will be used to help customers develop AI applications and agent-based tools using their own proprietary data. The approach will position Lakebase as the system of record, Databricks Apps as the user-facing experience layer, and Agent Bricks as the engine for multi-agent workflows.

He linked this approach to what he called the parallel rise of “vibe coding” and generative AI (gen AI), which is accelerating the development of intelligent data applications in enterprises.

Databricks Apps enables organizations to create and deploy data and AI applications quickly and securely. Agent Bricks is designed to simplify the creation and scaling of high-quality agents using an organization’s own data.

According to Databricks, Lakebase is a serverless PostgreSQL database designed specifically to support AI-era workloads.

Databricks co-founder and CEO Ali Ghodsi said: “Enterprises are rapidly reinventing how they build intelligent applications, and the convergence of generative AI with new coding paradigms is opening the door to entirely new workloads.

“With this investment, we are deepening our commitment to helping every organization innovate with AI in their own data.”

In its first six months, Lakebase has attracted thousands of customers and is generating revenue growth at twice the pace of its data storage product.

The Data Warehousing product reached a revenue rate of over $1 billion in less than four years of general availability.

Databricks’ AI products have achieved a revenue rate of more than $1 billion. Its net retention rate remains above 140% and more than 700 customers consume at an annual revenue rate of more than $1 million.

Databricks expects the new capital to support its growth and be used to provide liquidity to employees. The company also said the investment is expected to support future AI acquisitions and deepen its AI research.

“Databricks Plans Over $4 Billion Series L at $134 Billion Valuation” was created and originally published by Verdict, a brand owned by GlobalData.


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