Databricks, the data and artificial intelligence software company, has raised $5 billion in a new strategic funding round at a valuation of $190 billion, one of the biggest private technology funding deals of 2026.
The recent funding round demonstrates the huge investor appetite for companies building the infrastructure behind enterprise AI and AI agents.
Databricks Valuation Jumps
The company’s new $190 billion valuation is a far cry from its $134 billion valuation just six months ago.
The round was led by Coatue and also included Blackstone, MGX, T. Rowe Price-advised accounts and Sixth Street Growth as a new investor. Other investors participated in the financing as well.
Revenue Run Rate Crosses $7 Billion
The funding comes at the time Databricks is experiencing exceptional business growth, the company said.
The company said its annualised revenue run rate has surpassed $7 billion, with revenue up more than 80% year-on-year in the second quarter. Databricks’ adjusted cash-flow has also been positive in the past 12 months.
Its core Lakehouse data platform has reached a $1.5 billion per year revenue run rate, and its newer Lakebase database product has already crossed a revenue run rate of $100 million.
Money to Power Enterprise AI
Databricks plans to use the new capital to accelerate development of AI and data products.
Key areas include:
Lakebase -- a serverless PostgreSQL database for AI agents. Genie -- AI tools that allow businesses to interact with their data. Unity AI Gateway -- tools for AI governance, model management and cost controls. Enterprise AI infrastructure and agent development.
The business is focused, in turn, on helping companies go from just experimenting with AI to implementing AI agents that can perform all the tasks of their organisation.
More than 1,000 Large Customers
Databricks reported that more than 1,000 organisations produce more than $1 million a year in revenue for the company and around 100 customers generate more than $10 million annually.
The company has massive global corporations among its customers and competes with Snowflake, Oracle and other enterprise data and cloud providers in areas that overlap.
Why the Funding Matters
This investment shows investors continue to place huge value on AI infrastructure, not only consumer-facing AI applications.
Databricks is at the intersection of two rapidly expanding markets: enterprise data management and artificial intelligence.
The company’s ability to combine a large existing enterprise customer base with rapidly growing AI products would make it a big player in the enterprise AI market.
Databricks IPO Plans
Despite reaching a $190 billion private valuation, Databricks is still privately held.
The company’s enormous valuation has probably increased speculation about a future IPO as a whole. But the timing of any IPO is not certain, and the company has not said when it will go public. Databricks is a potential IPO candidate, Reuters reports.
Bottom Line
Databricks has raised $5 billion at a $190 billion valuation, while its annualised revenue has crossed $7 billion and growth remains above 80%.
This latest round provides Databricks with significant financial firepower to expand Lakebase, Genie and Unity AI Gateway and compete for a central role in the rapidly growing enterprise AI market.
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