Databricks, the data and AI tools provider, is in advanced talks to raise fresh capital at a valuation exceeding $130 billion, according to industry sources. The figure represents a 30% jump from its $100 billion valuation just two months ago, underscoring investor confidence in the company’s rapid expansion and AI-focused strategy.
Financial Performance
Founded in 2013, Databricks has recently reported $4 billion in annualised sales, marking a 50% year-over-year increase. The company also achieved free cash flow positivity, a milestone that strengthens its appeal to investors amid heightened scrutiny of tech sector profitability.
Competitive Landscape
Databricks offers a suite of AI-powered tools for data analysis, agent-building, and enterprise intelligence, positioning itself as a direct competitor to publicly traded Snowflake. Its platform is widely used by businesses seeking to integrate machine learning and generative AI into operations, making it a central player in the evolving data infrastructure market.
Scale and Investment History
The company has raised more than $15 billion to date and is approaching 10,000 employees worldwide. Analysts note that its scale, combined with strong revenue growth, places Databricks among the most valuable private technology firms globally.
Outlook
If the capital raise succeeds, Databricks will cement its status as a cornerstone of the AI economy, with a valuation rivaling some of the largest publicly traded software companies. The move highlights investor appetite for firms that can deliver both AI innovation and financial discipline, as the race to dominate enterprise AI intensifies.
Databricks Offices – London Picture by Peter Ghobrial Photography
