Databricks, founded in 2013 by University of California, Berkeley researchers, has rapidly become a significant player in data analytics and artificial intelligence (AI). The company’s flagship offering, the Databricks Data Intelligence Platform, integrates data engineering, data science, and machine learning to assist organizations in processing and analyzing vast datasets. This platform has attracted high-profile clients, including Apple, HSBC, and Shell.
In recent years, Databricks has demonstrated impressive financial growth. As of mid-2024, the company reported an annualized revenue of $2.4 billion, reflecting a 60% year-over-year increase. Projections indicate that Databricks aims to achieve $3 billion in annual revenue and positive cash flow by the fourth quarter. These robust financials have led to substantial private funding rounds, with the latest Series J round in January 2025 raising $10 billion and valuing the company at $62 billion.
Despite being well-positioned for an initial public offering (IPO), Databricks has opted to remain private, leveraging significant private capital to fuel its growth. This strategy aligns with a broader trend among prominent tech companies like SpaceX and OpenAI, which have also secured substantial private funding to delay public listings. CEO Ali Ghodsi has emphasized that while the company is prepared for an IPO, it is waiting for favorable market conditions before proceeding.
As Databricks continues to expand, it has attracted strategic investments from major players, including Meta, which joined as a strategic investor in January 2025. The company’s innovative “lakehouse” architecture, which combines the strengths of data warehouses and data lakes, positions it uniquely in the data analytics and AI sectors. As the demand for advanced data processing and AI solutions grows, Databricks is poised to maintain its trajectory of rapid growth and market leadership.