Databricks closes $5B funding at $190B valuation
On Aug 13 Databricks announced a $5B strategic funding at $190B valuation, crossing $7B annualized revenue run-rate with over 80% YoY growth.
On August 13, data and AI company Databricks announced the closing of a $5 billion strategic funding round at a $190 billion post-money valuation, a significant increase from its previous $134 billion valuation in February. The round was led by Coatue with Blackstone, MGX, and accounts advised by T. Rowe Price, alongside new investor Sixth Street Growth. New investors BOND, Clearlake Capital, Point72, Premji Invest, and TPG also participated, alongside existing backers a16z, Dragoneer, Fidelity, Franklin Templeton, GIC, Goldman Sachs Alternatives, Insight Partners, JPM Private Capital, Kinetic, Morgan Stanley Investment Management, NEA, Ontario Teachers' Pension Plan, Temasek, Thrive Capital, and WCM.
The company also disclosed Q2 revenue grew over 80% year-over-year, crossing a $7 billion annualized revenue run-rate with positive adjusted free cash flow over the trailing 12 months. Lakebase, its serverless Postgres database for AI agents, surpassed a $100 million revenue run-rate; Lakehouse, its data warehousing product, exceeded $1.5 billion in annualized revenue with over 100% YoY growth; more than 1,000 customers spend over $1 million annually and more than 100 spend over $10 million.
The capital will continue funding Lakebase (AI agent database), Genie (AI coworker), and Unity AI Gateway (multi-model governance and cost control). Databricks CEO Ali Ghodsi said businesses no longer want AI that just talks; they want agents that remember context, deliver accurate answers, and execute work without burning through budgets—the capabilities underpinned by Lakebase, Genie, and Unity AI Gateway together. In a CNBC interview, Ghodsi noted that as token costs rise, some customers who previously ruled out Chinese AI models are growing more open to them.