Databricks closes $5 billion funding round at a $190 billion valuation

Databricks closed a $5 billion funding round on August 13, 2026, pushing its valuation to $190 billion as the company disclosed it has crossed $7 billion in annualized run-rate revenue.

The company originally set out to raise far less. Per TechCrunch's reporting on the deal, Databricks co-founder and CEO Ali Ghodsi said: "We wanted to raise $1 billion, but then The Information printed this article saying that Databricks is doing a big fundraise." That report triggered a wave of inbound investor interest — "Just from this select group of investors that we looked at, there was $15 billion of interest" — and the company ultimately settled on $5 billion.

What's new

TechCrunch reports: "The $5 billion round was led by Coatue and several others, including Blackstone, MGX," alongside accounts advised by T. Rowe Price and new investors including Sixth Street Growth. The resulting valuation, per the same reporting, saw "its valuation pushed higher to a nice round $190 billion" — up 42% from the $134 billion mark Databricks held in February.

On the business itself, Ghodsi "said his company has hit $7 billion of annualized run rate revenue, which is currently growing at 80%." The company's original cloud data warehouse product remains a major contributor: "Its core product, a cloud data warehouse, is $1.5 billion of that run rate, and still growing at 100% year-over-year." Databricks says it will direct new capital toward Lakebase, a serverless Postgres database built for AI agents; Genie, an AI assistant that draws on business data; and Unity AI Gateway, a platform for managing model usage and costs.

Context

The raise comes roughly six months after Databricks' $134 billion valuation in February, meaning the company has added tens of billions of dollars in paper value in half a year without going public. It places Databricks among a small group of private AI-infrastructure companies — alongside OpenAI, Anthropic, and xAI — commanding valuations in the hundreds of billions of dollars ahead of any IPO, and continues a pattern of rapid revaluation for the company: it was valued at $60 billion in December 2024 and roughly doubled in little over a year.

Why it matters

A $5 billion round at $190 billion, alongside a disclosed $7 billion revenue run rate growing 80% year over year, signals that enterprise demand for AI-agent infrastructure is translating into durable, monetizing revenue rather than speculative valuation alone. That investors reportedly offered triple what Databricks sought to raise underscores how much capital is chasing infrastructure plays adjacent to the foundation-model layer. For enterprises evaluating data and AI-agent platforms, the scale of this round reinforces Databricks' position as a default infrastructure layer alongside the major model providers.