Databricks Closes $10B Equity Round and $5.25B Debt Deal
Databricks officially closes a massive $10 billion Series J funding round led by Thrive Capital and adds $5.25 billion in new debt financing. The investments feature participation from major tech and financial players like Meta Platforms and JPMorgan Chase.
Databricks officially completes its massive $10 billion Series J funding round alongside a new $5.25 billion debt raise. JPMorgan Chase leads the debt financing with participation from Barclays, Citi, and other institutions, while Thrive Capital heads the equity round. Notable participants in the funding round include the Qatar Investment Authority, Temasek, Macquarie Capital, and Meta Platforms.
The investment from Meta deepens the existing artificial intelligence collaboration between the two companies, which centers on Meta's Llama series of large language models. Databricks provides a popular cloud-based data lakehouse platform that allows companies to store structured and unstructured data, run SQL queries, and execute AI analytics tasks. The platform also supports ACID compliance to ensure data reliability by preventing simultaneous modifications from interfering with one another.
Following its 2023 acquisition of MosaicML for $1.3 billion, Databricks significantly expands its AI capabilities to serve thousands of customers currently running Llama models. The company enables enterprises to fine-tune AI models using their own proprietary data and utilizes an open-source tool called DSPy to automate prompt tuning. This machine learning technique improves AI model outputs by providing optimized instructions.