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Databricks Raises $5 Billion at $190 Billion Valuation as AI Demand Surges

Databricks has raised $5 billion in a funding round at a $190 billion valuation, with revenue surpassing a $7 billion run rate.

Databricks has raised $5 billion in a funding round at a $190 billion valuation, up from $134 billion six months ago. The company has surpassed a $7 billion revenue run rate and plans to expand investments in AI agent products.

Data and AI software company Databricks has closed a 5billion∗∗strategicfundingroundata∗∗5 billion** strategic funding round at a **190 billion valuation, according to a company announcement on August 13.[reference:75][reference:76] The valuation is up significantly from $134 billion just six months ago.[reference:77]

Strong Financial Performance

Databricks has surpassed a $7 billion revenue run rate, with more than 80% year-over-year growth in the second quarter.[reference:78] The company's rapid growth reflects surging demand for data analytics and AI infrastructure as businesses increasingly adopt AI technologies.

The company has raised approximately 25billioninfundingoverits13−yearhistory,startingwitha25 billion in funding over its 13-year history, starting with a 13 million Series A in 2013.[reference:79]

Investment in AI Agents

The funding round was led by MGX, with participation from existing investors.[reference:80][reference:81] Databricks plans to use the new capital to expand investments in products that help businesses build and manage AI applications, particularly AI agents.[reference:82][reference:83]

Competitive Landscape

Databricks competes with Snowflake and other data platform providers in the rapidly growing AI infrastructure market.[reference:84] The company's ability to raise such a large round at a premium valuation underscores investor confidence in its AI strategy and market position.

The funding comes amid a wave of large AI investments, as companies across industries seek to capitalize on the AI boom. Databricks' focus on helping businesses build and manage AI applications positions it well to capture a significant share of this growing market.