SAN FRANCISCO, CA - Aug 20, 2025 - Databricks, the leading Data and AI company, today announced it has signed a term sheet for its Series K funding round, expected to close soon with backing from existing investors. This landmark financing values the company at over $100 billion, a 61% increase from its $62 billion valuation in December 2024. The round, already oversubscribed, reflects unprecedented investor confidence in Databricks’ leadership in the AI and data analytics market.
The new capital will accelerate Databricks’ AI strategy, including the expansion of its Agent Bricks platform, investment in its new Lakebase database, and fueling global growth. This follows a year of strong momentum, with Databricks serving over 15,000 customers worldwide and achieving a $3.7 billion revenue run-rate with 50% year-over-year growth.
Funding Details
The Series K funding round, while not disclosing the exact amount, is expected to be one of the largest late-stage financings in the AI sector in 2025. The round values Databricks at over $100 billion and is supported by existing investors, including Thrive Capital and Andreessen Horowitz, with additional co-leads to be finalized. The oversubscribed nature of the round underscores strong investor demand for Databricks’ Data Intelligence Platform and its AI-driven innovations.
Strategic Goals and Use of Funds
Databricks plans to allocate the Series K capital to advance its strategic objectives:
- AI Product Expansion: Enhance Agent Bricks, a platform for building production-grade AI agents optimized for enterprise data, introduced at the June 2025 Data + AI Summit.
- Database Innovation: Invest in Lakebase, a new operational database (OLTP) built on open-source Postgres, designed for AI-driven applications.
- AI Acquisitions: Pursue strategic acquisitions to bolster AI capabilities and expand the Data Intelligence Platform.
- Global Expansion: Accelerate go-to-market operations in key regions, including India, where Databricks plans to invest $250 million over three years for research, skilling, and hiring.
- AI Research: Deepen investment in AI research to maintain leadership in generative AI and data analytics.
Historical Funding and Growth
Databricks has raised a total of $14.7 billion over 14 rounds, reflecting its rapid ascent in the AI and data analytics space. Below is a summary of its funding history:
| Round | Year | Amount Raised | Valuation | Lead Investors |
|---|---|---|---|---|
| Series A | 2013 | $13.9M | Not disclosed | Andreessen Horowitz |
| Series B | 2014 | $33M | Not disclosed | New Enterprise Associates |
| Series C | 2016 | $60M | Not disclosed | New Enterprise Associates |
| Series D | 2017 | $140M | Not disclosed | Andreessen Horowitz |
| Series E | 2019 | $250M | $2.75B | Andreessen Horowitz |
| Series F | 2019 | $400M | $6.2B | Andreessen Horowitz |
| Series G | 2021 | $1B | $28B | Franklin Templeton |
| Series H | 2021 | $1.6B | $38B | Not disclosed |
| Series I | 2023 | $500M | $43B | T. Rowe Price |
| Series J | 2024 | $10B | $62B | Thrive Capital |
| Series K | 2025 | Undisclosed | >$100B | Thrive Capital, Andreessen Horowitz |
Databricks has achieved a $3.7 billion revenue run-rate with 50% year-over-year growth in Q1 2025, serving over 15,000 customers, including 60% of the Fortune 500. The company has 8,000 employees globally and 50 customers spending over $10 million annually.
Databricks’ Technology
Databricks’ Data Intelligence Platform unifies data, analytics, and AI, enabling organizations to manage structured and unstructured data through its innovative “data lakehouse” architecture. Built on open-source Apache Spark, Delta Lake, MLflow, and Unity Catalog, the platform supports advanced analytics and AI workloads. Recent innovations include Agent Bricks, which builds enterprise-grade AI agents, and Lakebase, an AI-optimized operational database based on Postgres. The company’s open-source DBRX model further strengthens its generative AI offerings.
Industry Impact and Challenges
Databricks’ platform empowers enterprises like Block, Shell, and Rivian to harness data for AI-driven innovation, with over 15,000 customers globally. Its open-source foundation has cultivated a robust ecosystem, but competition from Snowflake and cloud giants like Microsoft and Google Cloud poses challenges. Scaling AI solutions across diverse industries, ensuring data security, and managing complex integrations remain key hurdles.
Market Context and Industry Trends
The Series K round positions Databricks among the top-valued private AI companies, following its $10 billion Series J in 2024, one of the largest venture deals ever. The AI sector continues to attract massive investment, with global AI revenue expected to surpass $50 billion by 2026. Databricks’ focus on AI agents and operational databases aligns with the growing demand for enterprise AI solutions, while its partnerships with Microsoft, Google Cloud, Anthropic, SAP, and Palantir enhance its market reach.
Stakeholder Perspectives
- Ali Ghodsi, CEO of Databricks: “We’re seeing tremendous investor interest because of the momentum behind our AI products, which power the world’s largest businesses and AI services. Every company can securely turn its enterprise data into AI apps and agents to grow revenue faster and operate more efficiently.”
- Derek Hernandez, PitchBook: “This valuation level indicates a concentration of late-stage capital into companies identified as market leaders in foundational technology sectors.”
Stakeholder Insights
Investors see Databricks as a opportunity of the AI infrastructure boom, with its $100 billion valuation reflecting confidence in its ability to dominate the data and AI market. The oversubscribed Series K round signals strong demand for private market investments in AI leaders. Analysts highlight Databricks’ strategic acquisitions, such as MosaicML and Tabular, as key to its AI expansion, positioning it to outpace competitors like Snowflake, which has a $66 billion market cap.
About Databricks
Founded in 2013 by the creators of Apache Spark, Databricks is a global leader in data and AI, headquartered in San Francisco. Its Data Intelligence Platform serves over 15,000 organizations, including 60% of the Fortune 500, across industries like Healthcare, Financial Services, and Automotive. Backed by investors like Thrive Capital, Andreessen Horowitz, and QIA, Databricks drives innovation through open-source contributions like Delta Lake, MLflow, and DBRX.
Future Outlook
Databricks is well-positioned to lead the AI and data analytics market, leveraging its Series K capital to scale Agent Bricks, Lakebase, and global operations. With a $3.7 billion revenue run-rate and 50% growth, the company aims to maintain non-GAAP subscription gross margins above 80% and pursue further AI acquisitions. Its focus on India, with a new R&D facility in Bengaluru and a $250 million investment, underscores its commitment to emerging markets. As AI demand surges, Databricks is poised to redefine enterprise data intelligence.
Media Contact
For more information, please contact:
Email: press@databricks.com
Website: www.databricks.com
