SAN FRANCISCO: Databricks is in talks to raise a new funding round at a valuation between $165 billion and $175 billion, according to a June 8, 2026 report from The Information. The new round could begin within the next month and would mark a 23% to 31% step up from the $134 billion valuation the data and AI platform set just four months earlier, in February 2026. The terms are still being finalized, and it remains unclear whether the new capital will be counted inside the headline valuation.
The story landed days after CEO Ali Ghodsi sat with Bloomberg Television on June 4 and said the quiet part out loud: “We will be a public company. I just think this is a terrible year to go public.” Ghodsi pointed to a wall of incoming tech offerings, including SpaceX, Anthropic, and OpenAI, that he expects will absorb the bulk of public-market appetite this year. The implication for Databricks is a deliberate decision to stay private a little longer and raise privately at a higher mark instead of fighting for attention on the IPO calendar.
How Databricks Got to a $134 Billion Valuation in Four Months
Databricks closed its Series L round in February 2026 at a $134 billion valuation. The company raised roughly $5 billion in equity, plus about $2 billion in debt, in what was the largest equity round in its history. At the time, Databricks disclosed in a press release that its annualized revenue run rate had surpassed $5.4 billion, growing more than 65% year over year. Its AI-specific products were running at more than $1.4 billion on an annualized basis.
The reported $165 billion to $175 billion mark would represent roughly $31 billion to $41 billion in added enterprise value in the time it takes most companies to close one quarter of new business. The underlying logic is straightforward: Databricks sells the data and AI platform that big enterprises use to store, govern, and feed the data behind their AI workloads. As corporate AI budgets have moved from experiments to line items, the data layer beneath those workloads has been repriced. Snowflake trades publicly at roughly $70 billion. Databricks’s reported private mark would put it at more than twice that.
What Does a $165 Billion Databricks Valuation Mean for the AI Infrastructure Market?
It means investors are paying enterprise-software multiples for the data layer of AI, not data-warehouse multiples. At $165 billion to $175 billion on a $5.4 billion run rate, the implied multiple sits near 30 to 32 times revenue. That is a premium reserved for companies investors believe are structurally embedded in AI workloads, not just adjacent to them. The repricing carries through the rest of the AI infrastructure stack.
For founders building in or around AI infrastructure, the read is less about Databricks specifically and more about which layer of the stack captures the durable margin. Compute, model labs, and applications get the headlines. The data and orchestration layer keeps quietly getting marked up because the workloads have to land somewhere, and switching costs at the enterprise level are steep. Databricks’s mark sets the new reference point for the next data and AI platform company hoping to raise a late-stage round.
The valuation also reads against the IPO backdrop. SpaceX is preparing what would be the largest public offering on record, while OpenAI’s path to public markets and Anthropic’s reported new round both hang over the calendar. Staying private at $175 billion while public peers absorb investor attention is a defensible call. It also requires private capital to keep showing up at these prices, which it has, so far.
What’s Next for the Databricks IPO Timeline
Three things to watch. First, the round itself: The Information reported the round could begin within the next month, so closing terms, lead investors, and the question of whether the new capital sits inside or on top of the $165 billion to $175 billion mark should clarify over the summer. Second, the IPO filing: Ghodsi has told investors an IPO remains possible as early as 2027, and reports point to a possible S-1 filing in the second half of 2026. A confidential filing is the next concrete signal that the public-listing clock is running.
Third, what happens to the broader AI infrastructure trade once SpaceX, Anthropic, and OpenAI clear the IPO pipeline. Ghodsi’s bet is that a quieter 2027 window lets Databricks command a premium rather than price as a warm-up act for the megacaps. If the SpaceX IPO clears at expected terms and the OpenAI and Anthropic listings follow, the next reference point for Databricks is whether the private market still pays $175 billion when there is a public comp two clicks away. And whether the broader pattern holds: a generation of the largest private tech companies that file when others have already absorbed the IPO oxygen, not before.
