Data this morning AI giant Databricks said it has raised a new $500 million funding round from venture capitalists, cross-cap funds and strategic investors. The new cash valuation values Databricks at $43 billion, a material increase from the last private valuation set in 2021, when the company was valued at $38 billion.
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It’s not entirely surprising to see Databricks raise more capital for the company has been reported To be in the market for nine figures lately. The new money is also not surprising given the excitement for all things AI, a part of the technology market that Databricks has embraced, especially this year.
The company may be known for its work in data and analytics, but it is developing more AI tools, and recently purchased MosaicML to continue building its AI muscle.
However, the funding round was more than just a cash infusion. It included several strategic investors, including Nvidia, which has seen demand for AI-related computing power significantly boost its growth and profitability in recent quarters.
To better understand the company’s perspective, TechCrunch+ interviewed Ali Ghodsi, CEO of Databricks, about the investment, its plans for AI, growth, the current market, and more.
Artificial intelligence means all in
What exactly is Databricks doing to secure this type of investment at this value in this market? It’s a combination of a few things, really. For starters, data is the fuel for AI, and Databricks, in essence, stores data in its system Data lake – Consider integrating your data lake and data warehouse together, providing the best of both worlds.