Databricks raises $4 billion at $134 billion valuation

Databricks has secured more than $4 billion in new funding, lifting its valuation to $134 billion and reinforcing investor confidence in companies positioned at the center of enterprise data and artificial intelligence spending. The Series L round marks a sharp increase from the company’s $100 billion valuation announced in August, according to disclosures from the company.

The San Francisco-based data analytics firm said the latest funding comes as it surpassed a $4.8 billion revenue run rate during its third quarter, representing growth of more than 55% year over year. Revenue from artificial intelligence products and data warehousing each exceeded a $1 billion annualized run rate, while the company reported positive free cash flow over the past 12 months.

The round was led by Insight Partners, Fidelity Management & Research Company and J.P. Morgan Asset Management, with participation from a broad group of existing and new investors. Databricks said the capital will be used to expand research and development, grow go-to-market teams and support employee retention, including providing liquidity through secondary share sales.

Databricks has increasingly positioned itself around what it calls “data intelligence applications,” targeting enterprises that want to build AI agents and applications on proprietary data. Recent investments include Lakebase, a database designed for AI workloads, Databricks Apps as an application layer, and Agent Bricks, a framework for deploying multi-agent systems. The company’s strategy emphasizes flexibility in model choice, allowing customers to work with large language models from providers such as OpenAI, Anthropic and Google, as well as open-source alternatives.

Chief executive Ali Ghodsi told Reuters that the company is focused on maintaining momentum in a competitive market where rivals are also scaling investment. He added that while Databricks is not ruling out an initial public offering in 2026, timing will depend on broader market conditions.

The latest raise places Databricks among a small group of private technology companies with valuations above $100 billion, reflecting continued investor appetite for firms seen as core infrastructure providers in the AI economy.