9621 Agnes Crossing, Lake Suzanneview, New Mexico Island 84604-9295.
Databricks has announced that it has closed an investment round that raised $500 million. This brings the software company’s value to an impressive $43 billion. Two weeks ago,
Databricks has announced that it has closed an investment round that raised $500 million. This brings the software company’s value to an impressive $43 billion.
Two weeks ago, Databricks was still looking for further investments, but now it seems to have succeeded. The software company has raised half a billion dollars from various investors. With this new capital injection, Databricks increases its value to a whopping $43 billion.
The main investor is the American investment fund T. Rowe Price Associates, with which Databricks reportedly negotiated two weeks ago. However, there are two names that stand out a little more: Nvidia and Capital One Ventures. The latter is particularly noticeable because it is an important customer of Snowflake, Databrick’s biggest competitor.
From a purely financial perspective, Morgan Stanley and ClearBridge Investments are two big names now pumping money into Databricks. However, these are undoubtedly institutions that are speculating on a public IPO, which does not seem to be happening for the time being.
Speaking to VentureBeat, Ali Ghodsi, CEO of Databricks, emphasized that this investment round was more strategic in nature. The partnership with Nvidia is particularly important for Ghodsi as both companies can now work together on numerous AI applications.
AI is an increasingly important building block for Databricks. Examples include the Lakehouse IQ platform, where LLMs derive business relevance from technical data, and the recent acquisition of MosaicML to build a new platform for generative AI applications.
According to Ghodsi, the business world is at the beginning of an AI boom that is comparable to the commercial growth that the technology has experienced over the past year. He is confident that Databricks is now well positioned to benefit from this. With Dolly 2.0, the company already has an open source AI model that companies can use. Databricks says its customer base now includes more than ten thousand organizations.
The question now is what Microsoft thinks about this development. There are persistent rumors that the tech giant wants to offer AI from Databricks via Azure Cloud. The partnership with Nvidia could now make this prospect even more interesting.
Source: IT Daily
As an experienced journalist and author, Mary has been reporting on the latest news and trends for over 5 years. With a passion for uncovering the stories behind the headlines, Mary has earned a reputation as a trusted voice in the world of journalism. Her writing style is insightful, engaging and thought-provoking, as she takes a deep dive into the most pressing issues of our time.
