Databricks has announced plans to raise more than $4bn in a Series L funding round that values the company at $134bn.

The San Francisco-based data and AI company surpassed a $4.8bn revenue run-rate during its third quarter, with year-on-year growth of more than 55%.

The run-rate figure includes more than $1bn from its data warehousing business and more than $1bn from its AI products. The company has delivered positive free cash flow over the 12 months since December 2024.

Insight Partners, Fidelity Management & Research Company, and JP Morgan Asset Management are leading the Series L investment.

Additional investors in the round include Andreessen Horowitz, funds and accounts managed by BlackRock, funds managed by Blackstone, Robinhood Ventures and Thrive Capital.

The funding will support product development in three strategic areas: Lakebase, Databricks Apps and Agent Bricks.

The funding will be used to help customers develop AI applications and agent-based tools using their own proprietary data. The approach will position Lakebase as the system of record, Databricks Apps as the user-facing experience layer and Agent Bricks as the engine for multi-agent workflows.

It linked this focus to what it called the parallel rise of “vibe coding” and generative AI (gen AI), which is accelerating the development of data data-intelligent applications in enterprises.

Databricks Apps enables organisations to build and deploy data and AI applications quickly and securely. Agent Bricks is designed to simplify the creation and scaling of high-quality agents using an organisation’s own data.

According to Databricks, Lakebase is a serverless PostgreSQL database designed specifically to support AI-era workloads.

Databricks co-founder and CEO Ali Ghodsi stated: “Enterprises are rapidly reimagining how they build intelligent applications, and the convergence of generative AI with new coding paradigms is opening the door to entirely new workloads. 

“With this investment, we’re deepening our commitment to help every organisation innovate with AI on their own data.”

In its first six months, Lakebase has drawn thousands of customers and is generating revenue growth at twice the pace of its data warehousing product.

The Data Warehousing product reached a revenue run-rate of more than $1bn in less than four years from general availability.

Databricks’ AI products have achieved a revenue run-rate of more than $1bn. Its net retention rate remains above 140% and more than 700 customers are consuming at an annual revenue run-rate of more than $1m.

Databricks expects the new capital to support its growth and to be used to provide liquidity for employees. The company also said the investment is expected to support future AI acquisitions and deepen its AI research.