Databricks Raises $5 billion at a $190 Billion Valuation
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US data and AI company Databricks has closed a strategic funding round of five billion US dollars at a valuation of 190 billion dollars. At the same time, the company says it crossed a revenue run-rate of seven billion dollars in its second quarter, growing more than 80 percent year-over-year. That’s according to a company announcement.
The round was led by Coatue, joined by Blackstone, MGX, funds advised by T. Rowe Price, and new investor Sixth Street Growth. Also new on the cap table: BOND, Clearlake Capital, Point72, Premji Invest and TPG. Existing backers taking part include Andreessen Horowitz, Dragoneer, Fidelity, Franklin Templeton, GIC, Goldman Sachs Alternatives, Insight Partners, J.P. Morgan Private Capital, Morgan Stanley Investment Management, NEA, Ontario Teachers’ Pension Plan, Temasek, Thrive Capital and WCM Investment Management.
It is the company’s second round within six months. In February 2026, Databricks raised about five billion dollars in equity at a 134 billion dollar valuation, then at a run-rate of 5.4 billion dollars and 65 percent growth. The new valuation is therefore roughly 42 percent higher than half a year ago, as Bloomberg calculates. Measured against the current run-rate, that works out to a multiple of about 27.
Where the growth is coming from
The single biggest driver is not the AI business but classic data warehousing. According to the company, its “Lakehouse” product is at a revenue run-rate of more than 1.5 billion dollars and growing at over 100 percent year-over-year – considerably faster than the business overall. That puts Databricks squarely in the segment where listed rival Snowflake has its core. Snowflake booked around five billion dollars in revenue over the trailing twelve months at roughly 31 percent growth (as of the quarter ending April 2026).
The second factor is expansion within the existing customer base. More than 1,000 customers now spend over one million dollars a year, and more than 100 of them over ten million – roughly a tenth of the million-dollar accounts. Databricks counts over 20,000 organizations as customers worldwide, including 70 percent of the Fortune 500. For new products, that amounts to a built-in cross-selling channel.
The third block is the agent business, where the fresh capital is meant to go. It includes Lakebase, a serverless Postgres database for AI agents that has passed the 100 million dollar run-rate mark; Genie, an AI “coworker” that turns enterprise data into answers; and Unity AI Gateway for governance and cost control across multiple AI models.
Notable is the argument CEO Ali Ghodsi uses to explain demand: not AI euphoria, but AI cost pressure. Rising token prices are driving demand for cost-control tooling and open-source alternatives, he told CNBC, adding that customers who previously ruled out Chinese models are becoming more open to them. Enterprises don’t just want AI that talks, Ghodsi is quoted as saying in the announcement – what they want are agents that remember context, deliver accurate answers and get work done without blowing through budgets.
No IPO in sight
Despite its size, Databricks is staying private for now. Ghodsi still describes a listing as the goal, but sees “too much distraction” in public markets at the moment. That places the company, founded in 2013, among the highly valued tech firms pushing their IPO ever further out and using private rounds instead – not least to provide liquidity for employees.
Some context on the numbers: the seven billion dollars cited is a run-rate, meaning a snapshot annualized over twelve months rather than audited annual revenue. The cash flow statement likewise refers to adjusted free cash flow over the past twelve months, not net profit. As a private company, Databricks does not publish audited figures. Beyond Snowflake, it competes with Google’s BigQuery and Microsoft’s Fabric, as Reuters notes.
