Databricks’ $250 Million Funding Supports Explosive Growth and Global Demand for Unified Analytics; Brings Valuation to $2.75 Billion
Company Exceeds $100 Million Annual Recurring Revenue and Experienced Approximately 3X Growth in Subscription Revenue; Andreessen Horowitz Leads the Round and Microsoft Becomes an Investor
San Francisco — February 5, 2019 – Databricks, the leader in unified analytics and founded by the original creators of Apache Spark™, today announced it has secured $250 million in a Series E funding round led by Andreessen Horowitz. Coatue Management, Microsoft, and New Enterprise Associates (NEA) also participated. This most recent round of funding brings Databricks’ total amount raised to $498.5 million and raises the company’s valuation to $2.75 billion. The rapidly growing global demand for Databricks’ Unified Analytics Platform led the company to exceed $100 million in annual recurring revenue during 2018 and experience approximately 3x year-over-year growth in subscription revenue during the last quarter of 2018.
“Databricks has gone from almost no revenue to over $100 million in annual recurring revenue in just three years, putting us among the fastest growing enterprise software companies,” said Ali Ghodsi, CEO and co-founder of Databricks. “What’s driving this incredible growth is the market’s massive appetite for Unified Analytics. Organizations need to achieve success with their AI initiatives and this requires a Unified Analytics Platform that bridges the divide between big data and machine learning.”
“Databricks is the clear winner in the big data platform race,” said Ben Horowitz, co-founder and general partner at Andreessen Horowitz. “In addition, they have created a new category atop their world-beating Apache Spark platform called Unified Analytics that is growing even faster. As a result, we are thrilled to invest in this round.”
Unified Analytics makes it easier for enterprises to build data pipelines across various siloed data storage systems and to prepare labelled datasets for model building — this allows organizations to do data science on massive data sets. In addition to eliminating the challenges of data silos and the gap between data processing and machine learning platforms, Unified Analytics also addresses the lack of communication between data scientists and engineers. Because it provides a common and collaborative platform for data science and engineering, the Databricks Unified Analytics Platform helps organizations accelerate innovation and achieve AI success faster.
Over 2,000 organizations globally, such as Nielsen, Hotels.
