Databricks has only just joined the ranks of the world’s most valuable privately held companies.
San Francisco-based data analytics software giant Databricks confirmed that its latest funding round bumped its valuation over $100 billion, joining an elite group of privately held businesses including SpaceX, ByteDance, and OpenAI.
The new funding round, which is set to exceed $1 billion, arrives less than a year since Databricks’ last raise when investors valued its worth at $62 billion. CEO Ali Ghodsi said in an interview with CNBC that investor demand increased after design software company Figma’s blockbuster IPO, which almost tripled on its New York Stock Exchange listing before closing at about $70 a share.
The financial traction of Databricks has been central to the staggering valuation. In June, it was revealed in internal projections that were presented to investors that the company anticipated generating a July annualized revenue run rate of $3.7 billion, which would be a whopping 50% year-over-year growth rate. This growth rate positions Databricks as a direct competitor with Snowflake, its data warehousing and analytics equivalent. Snowflake is projected to bring in $4.5 billion in revenues for the current fiscal year but at a decelerating 25% rate of growth.
Even while directly competing with hyperscale cloud companies like Amazon and Microsoft, Databricks also has significant partnerships with them. This enables the company to establish its platform as a fundamental piece of technology for enterprises handling artificial intelligence and machine learning workloads at scale. In light of accelerating AI adoption in industry sectors, the new funding provides Databricks with added oomph to create products that enable customers to better integrate AI into their businesses.
Founded in 2013 from the University of California, Berkeley, Databricks quickly became one of the tech sector’s most disruptive companies. Third on CNBC’s 2025 Disruptor 50 list, the firm has more than 8,000 employees today across the globe. Its most recent milestone not only testifies to the robust demand for data software but also marks a resurgence of investor confidence in high-growth technology companies amidst a slowly reviving IPO market.
With the new capital, Databricks will likely double down on AI science, beef up its enterprise product, and set the stage for a possible public offering in the near term. In the meantime, its $100 billion-plus valuation seals its status as one of the most influential private companies in Silicon Valley.
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