Databricks raises over $500M from investors including Nvidia at $43B valuation
Just_Super
Databricks on Thursday said it had raised over $500M in a new funding round that valued the artificial intelligence-powered data analytics startup at $43B.
The series I investment was led by funds and accounts advised by T. Rowe Price, and included new investors Nvidia (NVDA) and Capital One Ventures.
San Francisco, Calif.-based Databricks was founded in 2013 and counts Microsoft (MSFT), BlackRock (BLK) and Tiger Global among its existing investors. According to its website, the company combines aspects of data warehouses and data lakes to offer an open and unified platform for data, analytics and artificial intelligence (AI).
"The commitment from long-term focused strategic and financial partners reflects Databricksâ continued momentum, the rapid customer adoption of the Databricks Lakehouse, and the success customers are seeing from moving to a unified data and AI platform," the company's co-founder and top boss Ali Ghodsi said in a statement.
Databricks' latest announcement is another showcase of the frenzied interest in the AI space, which has helped the overall technology sector scale massive gains. Nvidia (NVDA) alone has participated in funding rounds for chatbot startup Inflection AI and large language models-developer Cohere earlier this year.
"Databricks is doing incredible work with NVIDIA technology to accelerate data processing and generative AI models,â NVDA CEO Jensen Huang said, adding that enterprise data was a "goldmine" for generative AI.
Databricks said the latest funding round valued the company at $43B and established its price per share at $73.50.
Databricks also disclosed some metrics for its Q2 ended July 31, 2023: the company crossed $1.5B revenue run rate at over 50% revenue Y/Y growth; achieved its highest ever non-GAAP subscription gross margins of 85%; and ended the quarter with more than 10K global customers, including over 300 customers with $1M+ in annual revenue run-rate.
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