Databricks Secures Over $7 Bn in New Funding as Revenue Growth Accelerates

Databricks said it has secured more than $7 billion in new investments as the data and AI company reported strong growth and outlined plans to expand its AI-focused products. The San Francisco-based firm said it has crossed a $5.4 billion revenue run-rate, posting more than 65% year-over-year growth in the fourth quarter.

The company is completing investments in excess of $7 billion, including roughly $5 billion in equity financing at a $134 billion valuation and about $2 billion in additional debt capacity.

Databricks said the fresh capital will help accelerate development of Lakebase, its serverless Postgres database designed for AI agents, and Genie, a conversational AI assistant that enables employees to interact with company data through chat.

The funding round saw participation from both new and existing investors. JPMorganChase expanded its investment through its Security and Resiliency Initiative’s Strategic Investment Group.

Other investors in the extended Series L financing include Glade Brook Capital, Growth Equity at Goldman Sachs Alternatives, Microsoft, Morgan Stanley, funds affiliated with Neuberger, the Qatar Investment Authority, and funds associated with UBS. Credit facilities were led by JPMorgan Chase Bank alongside Barclays, Citi, Goldman Sachs and Morgan Stanley, with additional financial institutions participating.

Databricks said its AI products have surpassed a $1.4 billion revenue run-rate, while the company maintained a net retention rate above 140% and reported more than 800 customers generating over $1 million in annual revenue run-rate.

“We’re seeing overwhelming investor interest in our next chapter as we go after two new markets,” said Ali Ghodsi, co-founder and CEO of Databricks. “With this new capital, we’ll double down on Lakebase so developers can create operational databases built for AI agents. At the same time, we’re investing in Genie to let every employee chat with their data, driving accurate and actionable insights.”

“Databricks is a generational company that has become a backbone for enterprise data and AI, helping organisations across critical sectors seize opportunities and overcome challenges,” said Todd Combs, Head of the Strategic Investment Group for JPMorganChase’s Security and Resiliency Initiative. “This initial investment reflects the strength of Databricks' secure platform and continues to support their innovative, production-scale applications that serve customers around the world.”