Databricks Lands $15B as Meta Joins AI Bet, IPO Buzz Grows

Databricks raises $15B to accelerate AI growth, expand globally, and strengthen its position ahead of a possible IPO

Jan 22, 2025

Summary

Databricks secures $15B in funding, including Meta as an investor, fueling AI expansion and a potential IPO by 2026.

Databricks strengthened its position in the AI and data cloud space Thursday after raising $15 billion through a mix of Series J funding and debt financing. The round brought in Meta Platforms (META, Financial) as a strategic investor, alongside the Qatar Investment Authority, Temasek, and Macquarie Capital.

The company secured $10 billion in funding and a $5.25 billion credit facility led by JPMorgan Chase, Barclays, Citi, Goldman Sachs, and Morgan Stanley. With a $62 billion valuation, Databricks plans to use the funds for AI product development, acquisitions, and international expansion while also providing liquidity for employees. CEO Ali Ghodsi highlighted strong investor interest in the round, citing growing demand for AI-driven data intelligence.

Separately, Databricks announced an expansion in the Asia Pacific region through Amazon Web Services (AMZN, Financial), with a focus on Indonesia. While no IPO timeline has been confirmed, analysts expect a potential listing in late 2025 or early 2026. The company posted 60% year-over-year revenue growth and projects a $3 billion revenue run rate with positive free cash flow for the quarter ending January 31.

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