Databricks raises $5 billion in latest funding amid IPO expectations
#Databricks #IPO #Funding round #Generative AI #Data management #Venture capital #Lakehouse #Enterprise software
📌 Key Takeaways
- Databricks raised $5 billion in a funding round led by Alkeon Capital, reaching a valuation of $43 billion.
- The primary goal of the funding is to provide employee liquidity and fuel expansion into generative AI technologies.
- The company has seen massive financial growth, exceeding $1.6 billion in annualized revenue.
- This capital raise is widely viewed as a precursor to a major initial public offering (IPO) expected in the near future.
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🏷️ Themes
Technology, Finance, Artificial Intelligence
📚 Related People & Topics
Securities offering
Discrete round of investment
A securities offering (or funding round or investment round) is a discrete round of investment, by which a business or other raises money to fund operations, expansion, a capital project, an acquisition, or some other business purpose.
Data management
Disciplines of managing data as a resource
Data management comprises all disciplines related to handling data as a valuable resource, it is the practice of managing an organization's data so it can be analyzed for decision making.
Databricks
San Francisco-based software company
# Databricks, Inc. **Databricks, Inc.** is an American enterprise software company headquartered in San Francisco, California. Established as a leader in the data and artificial intelligence landscape, the company is best known for pioneering the "Lakehouse" architecture. ### History and Origins D...
Generative artificial intelligence
Subset of AI using generative models
# Generative Artificial Intelligence (GenAI) **Generative artificial intelligence** (also referred to as **generative AI** or **GenAI**) is a specialized subfield of artificial intelligence focused on the creation of original content. Utilizing advanced generative models, these systems are capable ...
Initial public offering
Type of securities offering in which a private company becomes a public company
An initial public offering (IPO) or stock launch is a public offering in which shares of a company are sold to institutional investors and usually also to retail investors. An IPO is typically underwritten by one or more investment banks, who also arrange for the shares to be listed on one or more s...
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try{ var _=i o; . if(!_||_&&typeof _==="object"&&_.expiry As Claude disrupts stock market, Anthropic researcher warns ’world is in peril’ Gold, silver prices rise amid U.S.-Iran tensions, blowout January payrolls data Dow halts three-day win streak as blowout jobs data curbs rate cut bets Citi pushes back Fed rate cuts to May after blowout January jobs report (South Africa Philippines Nigeria) Databricks raises $5 billion in latest funding, defying software selloff Stock Markets Published 02/09/2026, 10:15 AM Updated 02/09/2026, 08:24 PM Databricks raises $5 billion in latest funding, defying software selloff 0 JPM -2.34% SNOW -2.05% By Jaspreet Singh, Pritam Biswas and Krystal Hu Feb 9 - Databricks said on Monday it has completed a fundraising of about $5 billion at a $134 billion valuation, as the data analytics software company bolsters its balance sheet to invest in artificial intelligence products focusing on enterprise customers. One of the most valuable privately held companies, Databricks also announced about $2 billion in new debt capacity, as its annualized revenue run-rate rose 65% to $5.4 billion in the fourth quarter. The $7 billion capital injection makes the company "really well capitalized, in case there’s a winter coming", CEO Ali Ghodsi said in an interview with Reuters. While widely viewed as a public market candidate, Ghodsi said that by staying private, the firm is able to continue to invest in growth while not getting distracted by the swings in the public market. The company is planning on providing liquidity options using its balance sheet for employees later this year. The outsized funding round was completed amid a public market selloff on software stocks around the globe over mounting worries from investors that fast-advancing AI tools could upend the industry instead of aiding them. "I think one of the reasons this round was oversubscribed is that investors look at the numbers that we have, and it’s realized that we are an AI beneficiary....