New Delhi, India, December 17, 2025 - Databricks has reached a $134 billion valuation after securing more than $4 billion in its latest funding round. The company confirmed this milestone on its official site, marking one of the largest valuations in the tech industry today. This achievement highlights the growing demand for artificial intelligence and data platforms worldwide.
The San Francisco-based firm said the Series L round was led by Insight Partners, Fidelity Management & Research Company, and J.P. Morgan Asset Management. Other major investors included Andreessen Horowitz, BlackRock, and Blackstone. This fresh capital gives Databricks a strong position to accelerate innovation and maintain its lead in the competitive AI market.
Databricks plans to use the funds for research and development, expanding its go-to-market teams, and retaining top talent. The company also intends to provide liquidity to employees through secondary share sales. These steps aim to strengthen its workforce and keep pace with rapid industry changes.
CEO Ali Ghodsi emphasized that the investment will help Databricks stay ahead in the race to build advanced AI solutions. He noted that the company has consistently raised capital to fuel growth and innovation. “We don’t want to fall behind,” Ghodsi said, stressing the importance of continued investment in technology and talent.
The company’s financial performance has been impressive. Databricks reported a revenue run rate of $4.8 billion in the third quarter, up more than 55 percent from last year. Revenue from AI products and data warehousing each crossed the $1 billion mark. In addition, the company delivered positive free cash flow over the past 12 months, signaling strong operational health.
Databricks serves more than 20,000 customers globally, including major corporations such as Shell, Adobe, and the NBA. Its platform helps businesses manage large volumes of data and build AI models securely. The company has positioned itself as a neutral and secure option for enterprises, offering governance tools that keep sensitive data within a protected cloud environment.
Looking ahead, Databricks is focusing on building “data intelligence apps.” These include a database designed for AI agents and a new product called Agentbricks, which embeds intelligence into software. Customers will be able to use various AI models from providers like OpenAI, Anthropic, and Google, as well as open-source alternatives. This flexibility is expected to attract businesses seeking customized and secure AI solutions.
Ghodsi believes large language models are becoming commoditized, which increases the value of Databricks’ platform. By enabling companies to tailor and deploy AI models securely, Databricks aims to remain a key player in the evolving AI landscape.
While the company is not ruling out an initial public offering in 2026, however, Ghodsi said Databricks will proceed cautiously. At the same time, he pointed to lessons learned from the 2022 market downturn. During that period, many companies faced layoffs and sharp losses. As a result, Databricks wants to avoid similar challenges as a public entity. For this reason, the leadership plans to move step by step. In addition, Ghodsi said careful timing remains critical. Overall, the company prefers stability before taking any major market decision.
This funding round underscores investor confidence in Databricks and its vision for the future of AI. With strong financial results, a growing customer base, and ambitious plans for innovation, Databricks is well-positioned to shape the next chapter of data and artificial intelligence.
