Databricks hits $188B valuation, extending its run as AI’s favorite second act
Databricks has secured a new funding round valuing the company at $188 billion, reinforcing its successful pivot from a big data firm to an AI-focused enterprise. The company has maintained a rapid fundraising pace, leveraging its vast data repositories to integrate AI tools like Lakebase and Unity.
Why it matters
The valuation highlights the massive capital flowing into AI infrastructure providers and signals continued investor confidence in enterprise-grade AI software.
Databricks on Thursday announced a new round of funding that values the company at $188 billion . The round was led by Coatue.
Databricks didn’t disclose exactly how much it raised; it said the money isn’t in its hands yet and that the round will close later in this summer. (Other outlets have since reported the raise is roughly $3 billion .) While it’s unusual for a company to announce before it gets the money, a VC tells TechCrunch that the deal is solid, with so many firms wanting in that the company had no reason to keep its shiny new valuation a secret.
In fact, Databricks has been on a year-and-a-half fundraising tear as it successfully transitioned its image into an AI provider and not just a yesteryear SaaS sensation. Yesteryear being back in the BC times (Before ChatGPT).
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