Databricks is raising $4 billion at $134 billion valuation

"Databricks is raising over $4 billion in a new funding round that values the software firm at $134 billion, another example of how some tech companies are achieving massive scale without going public. The new financing is being led by Insight Partners, Fidelity Management & Research Co. and JP Morgan Asset Management, with participation from Andreessen Horowitz, it said in a statement Tuesday."

"Unlike other large AI firms, like OpenAI and Anthropic, Databricks doesn't build chatbots or consumer products. Instead, it has focused on helping businesses make the most of the rush of features, apps and autonomous agents. That includes helping clients analyze and build AI apps and services with data from a variety of sources. Databricks plans to use the funds in part to allow its employees to conduct secondary share sales, according to the statement."

"It also expects to add thousands of new jobs, including AI researchers, expanding an AI lab that currently only employs about 100 people, Chief Executive Officer Ali Ghodsi told the Journal. The company passed $4.8 billion in revenue run-rate, which is up 55% year over year, it said in the statement. In September, it had touted a revenue run rate of $4 billion."

Databricks raised more than $4 billion in a financing round that values the company at $134 billion. The round was led by Insight Partners, Fidelity Management & Research Co. and JP Morgan Asset Management, with participation from Andreessen Horowitz, BlackRock and Blackstone. The company focuses on enterprise data software that enables businesses to analyze and build AI applications and services rather than consumer chatbots. Proceeds will fund employee secondary share sales and hiring, including thousands of new roles and expansion of an AI lab currently employing about 100 people. Revenue run rate reached $4.8 billion, up 55% year-over-year.

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