San Francisco — Data engineering firm Databricks has raised $10 billion in non-dilutive financing under the Series J funding round. The company, which has already raised $8.6 billion, stated that the new funding round values it at $62 billion.
Thrive Capital led the round, with co-lead participation from Andreessen Horowitz, DST Global, GIC, Insight Partners, and WCM Investment Management. New investors such as ICONIQ Growth, MGX, Sands Capital, and Wellington Management joined the round, alongside existing investor Ontario Teachers’ Pension Plan.
According to the company, the capital will be utilised to push investments in AI products, acquisitions, and the international expansion of its go-to-market operations. Databricks also said that a portion of the funds would provide liquidity to current and former employees while covering associated tax obligations.
Databricks co-founder and CEO Ali Ghodsi said that the company’s ability to secure significant funding in an oversubscribed round reflected strong confidence in its mission.
“These are still the early days of AI. We are positioning the Databricks Data Intelligence Platform to deliver long-term value for our customers, and our team is committed to helping companies across every industry build data intelligence,” Ghodsi said in a statement.
The company attributed its growth—reported at over 60% year-over-year—to the high level of interest in artificial intelligence. The US-based firm claimed it is on track to achieve a $3 billion revenue run-rate and positive free cash flow by the fourth quarter ending January 31, 2025.
In addition, the company said it has continued to maintain non-GAAP subscription gross margins above 80% and has over 500 customers generating more than $1 million in annual revenue each.
Databricks has also emphasised the growing adoption of its products, particularly Databricks SQL, an intelligent data warehousing product. The company stated that this product achieved a $600 million revenue run-rate, marking a 150% year-over-year increase.
Ghodsi reiterated Databricks’ commitment to advancing the democratisation of data and AI, highlighting the platform’s potential to drive innovations in fields such as healthcare, climate change, financial fraud detection, and more.
The company said its international expansion efforts include establishing regional hubs in London and Singapore, along with an expanded presence in Latin America and the Middle East.
These efforts, Databricks claimed, are aimed at better serving its global customer base, which includes more than 10,000 organisations worldwide, spanning industries from technology to healthcare and finance. Among these are Block, Comcast, Condé Nast, and Shell, as well as over 60% of the Fortune 500 companies.
Founded by the creators of Lakehouse, Apache Spark, Delta Lake, and MLflow, Databricks said its platform is designed to help organisations harness the power of data for analytics, machine learning, and AI applications. It remains headquartered in San Francisco, with offices globally.
