Databricks intended to raise $1 billion but closed a $5 billion round at a $190 billion valuation after investor demand hit $15 billion, CEO Ali Ghodsi told TechCrunch. The fundraising snowballed when The Information reported on a potential raise during Databricks‘ June conference, triggering a flood of inbound interest. Ghodsi described the timing as terrible but conceded that telling long-term backers no would have created hard feelings, so the company issued more stock. The round was led by Coatue, Blackstone, MGX, T. Rowe Price accounts, and Sixth Street Growth, with roughly two dozen VC participants.

Databricks now has $7 billion in annualized run-rate revenue growing at 80%, is cash-flow positive, and its cloud data warehouse contributes $1.5 billion of that run-rate growing at 100% year-over-year. Its AI database for agents, Lakebase, launched in June 2025 and has reached a $100 million revenue run-rate. The AI chatbot Genie is described as “insanely popular.”

Despite the strong business metrics, Databricks continues to raise heavily — over $20 billion in the past 20 months — because AI is expensive. Ghodsi cited multi-billion dollar cloud commitments with all three major hyperscalers, a 100-person AI research team, and ongoing M&A activity. The company recently acquired Electric, maker of the PGlite Postgres database, and earlier bought AI cybersecurity firm Panther and two other startups in March.

Ghodsi reiterated to CNBC that an IPO remains a future goal, noting the large investor base will eventually need liquidity. For now, he prefers to invest in AI outside the public eye, especially when he can command $15 billion in interest on his own terms.