Databricks has raised $5 billion in a strategic funding round at a $190 billion valuation, marking a major increase in the company’s value as demand for data and AI infrastructure continues to grow.
The round was led by Coatue and included new and existing investors. New participants included Blackstone, MGX, accounts advised by T. Rowe Price Associates, and Sixth Street Growth.
Existing investors including Andreessen Horowitz, Thrive Capital, Goldman Sachs Alternatives, and Temasek also participated in the round.
Databricks Revenue Crosses $7B Run-Rate
Along with the funding announcement, Databricks said it crossed a $7 billion annualized revenue run-rate in Q2 2026, with revenue growing by more than 80% year over year.
The latest funding valuation is a significant increase from the $134 billion valuation Databricks reached after its December 2024 funding round. The company raised $4 billion at that time and had an annualized recurring revenue of around $5.4 billion with 65% growth.
The latest figures highlight the rapid expansion of Databricks as enterprises increase spending on data platforms, artificial intelligence, and AI agents.
Databricks Acquires ElectricSQL
Databricks also announced the acquisition of ElectricSQL, the team behind PGlite, a WebAssembly-based Postgres database.
PGlite’s weekly downloads increased from around 1 million to 13 million over the past year, according to reports.
Databricks plans to use the technology to improve the performance of Lakebase, its database technology designed for AI applications and agents that require extremely fast database reads and writes.
The financial terms of the acquisition were not disclosed.
Databricks CEO Ali Ghodsi said AI agents need very fast Postgres databases and highlighted ElectricSQL’s WebAssembly implementation, which can run in a browser and synchronize with Postgres databases.
“Enterprises don’t just want AI that talks,” said Ali Ghodsi, Databricks’ co-founder and CEO. “They want agents working across their business that remember context, deliver accurate answers, and execute work without blowing through their budgets.” Ghodsi said the capital will fund three core products: Lakebase, its serverless Postgres database built for AI agents; Genie, an AI coworker that surfaces answers from enterprise data; and Unity AI Gateway, which handles multi-AI governance and cost controls.
Thomas Laffont, co-founder of Coatue, framed the investment in unusually direct terms. “Databricks has spent a decade being early to where AI was headed,” he said via the Databricks newsroom. “What stands out most is the pace: they’ve compressed R&D timelines that used to take years into months, more like a research lab than a typical software company.”
Databricks is positioning itself as a key infrastructure provider for enterprise AI as companies move from traditional analytics toward AI-powered applications and autonomous agents.
The company’s growing revenue and latest funding round reflect increasing investor interest in the enterprise AI market.
At the current $190 billion valuation, Databricks is valued at roughly 27 times its $7 billion revenue run-rate. The valuation represents a substantial increase from its previous funding round.
IPO Remains a Key Question
Databricks has previously indicated that it plans to go public but has not announced a specific IPO timeline.
With a valuation of $190 billion, a future Databricks IPO could rank among the largest technology listings in the US.
For now, the latest funding gives the company additional capital to expand its data and AI platform while continuing to grow in the private market.
