Databricks is in discussions to raise funds in a new round expected to begin next month, aiming for a valuation between $165 billion and $175 billion, according to multiple sources [1, 2, 3]. This follows an earlier funding round completed in early 2026 that raised about $5 billion at a $134 billion valuation [1, 3].
The company has seen strong growth, surpassing a $5.4 billion revenue run rate in February 2026, reflecting a 65% increase compared to the prior year [1]. The sharp rise in valuation is attributed to heightened investor demand fueled by the adoption of artificial intelligence and increasing needs in data governance and AI workflow platforms [3].
Databricks CEO Ali Ghodsi has indicated the firm remains on track for an initial public offering, potentially as early as 2027. He said, "The company is still IPO-bound, potentially as soon as next year" [1]. The Chinese-language source echoed this, noting the IPO could occur next year, making the new fundraising round a significant pre-IPO valuation calibration [3].
The fundraising talks come amid an environment where AI adoption continues to drive strong interest in data and analytics companies. The upcoming round aims to build on the company’s prior momentum and position it for a public market debut.
Databricks’ next concrete timeline event is the expected kickoff of this new funding round next month, which will clarify investor appetite and final valuation levels.
