Databricks Secures $1 Billion, Boosting Valuation to $100 Billion for AI-Focused Database Expansion

In a significant development, data management platform Databricks has secured an additional $1 billion in funding, bringing its valuation to an impressive $100 billion. This latest fundraising comes just nine months after the company’s initial $15 billion raise, which also included $5 billion in debt.

Initial rumors of this new round emerged last month, with Databricks CEO Ali Ghodsi revealing to media outlets that the funds would be primarily used to invest in a database for AI agents that competes with Supabase.

According to Ghodsi, an increasing number of databases are no longer being created by humans; instead, they are being generated by artificial intelligence agents. Last year, this figure stood at 30%, but it has now risen to an astonishing 80%.

The funding round was jointly led by Thrive and Insight Partners, one of Databricks’ early investors who also co-led the $15 billion raise earlier this year. In a statement emailed to media outlets, John Wolff, managing director at Insight Partners, highlighted how they have witnessed Databricks grow to achieve an annual recurring revenue of $4 billion.

“We have seen numerous companies within our portfolio adopt Databricks,” Wolff stated.