Databricks Raises $10B in Funding, IPO on the Horizon

Databricks Secures $10 Billion Funding

Databricks, a leading data analytics platform, has successfully completed a funding round, securing $10 billion in investment.

This new funding elevates the company’s valuation to $62 billion, a significant increase from its previous valuation of $43 billion.

Investment Details

The funding round saw participation from prominent investors including Thrive Capital, Andreessen Horowitz, DST Global, GIC, and Iconiq Growth.

This represents one of the most substantial venture capital rounds recorded to date.

Strategic Allocation of Funds

According to a statement reported by CNBC, the capital infusion will be strategically utilized to facilitate future mergers and acquisitions.

Furthermore, funds will be allocated towards employee stock payouts and the expansion of Databricks’ global presence.

Anticipated IPO and Financial Performance

This “Series J” funding round precedes the highly anticipated initial public offering (IPO) of Databricks.

Established in 2013 by a team of seven PhD candidates originating from UC Berkeley, Databricks provides companies with AI, big data analytics, and cloud-based tools.

These tools empower organizations to develop applications driven by data and artificial intelligence.

Revenue Growth and Cash Flow

Databricks is projecting its first instance of positive free cash flow.

The company anticipates a $3 billion revenue run rate by the end of the quarter concluding on January 31, as reported by CNBC.

Revenue growth in the October quarter exceeded 60% compared to the same period in the previous year.

This demonstrates substantial year-over-year growth for the company.