What is Databricks' current revenue run-rate?

Databricks has announced a revenue run-rate of $5.4 billion.

How much revenue is Databricks generating from AI products?

More than $1.4 billion of Databricks' revenue is coming from its AI products.

What is the valuation of Databricks after its recent funding round?

Databricks recently closed a funding round at a valuation of $134 billion.

Home / Technology / Databricks Skyrockets: $5.4B Revenue Run-Rate Achieved

Databricks Skyrockets: $5.4B Revenue Run-Rate Achieved

10 Feb

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Summary

Databricks reached a $5.4 billion revenue run-rate.
Over $1.4 billion revenue came from its AI products.
The company secured a $5 billion funding round at $134 billion valuation.

Databricks Skyrockets: $5.4B Revenue Run-Rate Achieved

Databricks has announced a significant financial achievement, reporting a revenue run-rate of $5.4 billion. This figure represents a 65% growth compared to the previous year, with a notable $1.4 billion stemming directly from its AI products. This performance counters the notion that AI might undermine Software as a Service (SaaS) businesses, with CEO Ali Ghodsi emphasizing AI's role in increasing usage.

The company also recently closed a substantial $5 billion funding round, establishing a valuation of $134 billion, and secured a $2 billion loan facility. While Databricks is known as a cloud data warehouse provider, its AI innovations like the LLM interface Genie are driving usage and revenue, showcasing a new way for users to interact with data.

Ghodsi explained that AI's threat to SaaS lies not in replacing core business data systems, but in transforming user interfaces to natural language. This shift could diminish the value of specialized product expertise. However, companies embracing LLM interfaces, like Databricks with its Lakebase database for agents, are poised for growth.