Databricks Secures $1 Billion Funding at $100 Billion Valuation, Targets AI Database Market

Databricks CEO says fresh $1B will help him attack a new AI database market | TechCrunch

Databricks is in the process of closing a fresh round at a $100 billion valuation, sources confirmed to TechCrunch. The round was originally reported by the Wall Street Journal. A source familiar with the deal tells TechCrunch exclusively the new round is about $1 billion, and was wildly oversubscribed. Databricks, best known for its data analytics products, refrained from selling even more equity because it didn't need cash for operations after its once record-breaking $10 billion raise at a $62B valuation in January, according to the source. (OpenAI has since squashed the record with a $40 billion raise in March.) The round was co-led by both Thrive and one of Databrick's early investors, Insight Partners, TechCrunch has learned. These two firms led the last round, as well. The company has now raised about $20 billion since it was founded in 2013. This was a primary round, meaning it didn't include employees selling their shares. However, sources close to the company say Databricks has already had two secondary rounds for employees in 2025. Those offers allowed employees to sell up to 40%, 50%, or up to 60% of their shares, depending on the size of their holdings. In both cases, the source said, the full funds available for the secondary round were not maxed out, meaning employees held onto more shares than they could have sold. While Databricks clearly isn't in a hurry to IPO, employees have had two recent chances to cash out shares. This new round, however, was raised to pursue two specific projects -- a database for AI agents and its AI agent platform -- Databricks co-founder and CEO Ali Ghodsi told TechCrunch in an interview. The company will invest heavily in its database for AI agents, making it generally available to all customers. It launched the product, known as Lakebase, in June at its annual tech conference. Lakebase, which is based on the open source database Postres, is enterprise-grade and supports corporate developers' vibe coding projects. This makes it a competitor to Supabase. "The database market is $105 billion of TAM, of revenue, sitting there, kind of unaffected in the last 40 years," Ghodsi told TechCrunch, giving a subtle nod to how database giant Oracle has had a lock on the market for decades. TAM refers to the total addressable market. "Here's the interesting statistic nobody's paying attention to: a year ago, we saw in the data that 30% of the databases were not created by humans. For the first time, they were created by AI agents. And this year, the statistic is 80%," he said, adding that he predicts this stat to increase to 99% of new databases within a year. "There's a new user. The user is not human. It's an AI agent, and if we just double down on making that user persona successful, that's the wedge to disrupt that TAM," he said. As for how Lakebase will differentiate from Supabase and others already building Postgres-based databases for agents, Ghodsi said the key is "separated compute and storage." By untying the pricey compute from the lower-cost storage, Databricks can affordably let users create many databases. "Because these agents are super fast. They just spin up lots of databases, much faster than humans can, but you don't want to go bankrupt because you're doing that," he explained. The second project Databricks will be investing heavily in is AI agent platform Agent Bricks, also launched in June. "Everybody's super focused on super intelligence," Ghodsi said. "But that's not what we need in organizations." Rather than artificial general math geniuses or cancer-curing scientists, what companies need are agents that can reliably handle, unaided, mundane tasks like onboarding employees or answering personalized questions about HR benefits. "I think that's a much bigger opportunity, actually, for the worldwide GDP and for organizations," he said. He believes that such focus will give Agent Bricks a competitive advantage. He also raised the extra cash so Databricks can get into the AI poaching wars. "As you know, it's pretty expensive to hire AI talent right now," he smiled.

Databricks valued at over $100 billion in latest fundraising amid AI rush

Aug 19 (Reuters) - Databricks said on Tuesday it was raising new funds that would value the data analytics firm at more than $100 billion, less than a year after its previous round, as investor appetite for artificial intelligence companies remains strong. The company expects to use the funds for AI acquisitions, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology. Databricks' previous fundraising valued it at $62 billion. Reporting by Pritam Biswas and Ateev Bhandari in Bengaluru; Editing by Shilpi Majumdar Our Standards: The Thomson Reuters Trust Principles., opens new tab

Databricks eyes over $100 billion valuation as investors back AI growth plans

Aug 19 (Reuters) - Analytics firm Databricks said on Tuesday its valuation was set to jump 61% to more than $100 billion in a funding round less than a year after its last, underscoring strong investor demand for artificial intelligence startups. The San Francisco, California-based company -- with 15,000 customers, including payments firm Block (XYZ.N), opens new tab, energy giant Shell (SHEL.L), opens new tab and electric-vehicle maker Rivian (RIVN.O), opens new tab -- said it has signed a term sheet for a Series K round, but did not disclose the amount it was raising. Late last year, Databricks had raised $10 billion in one of the largest venture capital funding rounds in history, which valued it at $62 billion. The company expects to use a portion of the latest funds in product development and for mergers and acquisitions in the AI segment, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology. "Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines. We're thrilled this round is already over-subscribed," said Ali Ghodsi, co-founder and CEO. Startups are choosing to stay private for longer amid higher interest rates and unpredictable market appetite for initial public offerings over the past few years. Capital is also available for larger late-stage rounds as private market investors sit on record levels of dry powder. OpenAI is also in talks to close an employee share sale, which would value the ChatGPT parent at around $500 billion, Reuters had reported earlier this month. Reporting by Pritam Biswas and Ateev Bhandari in Bengaluru; Editing by Shilpi Majumdar Our Standards: The Thomson Reuters Trust Principles., opens new tab

Databricks says it's valued at over $100 billion in latest funding round

The data analytics software vendor said Tuesday that it's raising a funding round that values the company at over $100 billion. That would make Databricks just the fourth private company to eclipse the $100 billion mark, following SpaceX, ByteDance and OpenAI, according to data from CB Insights. Databricks CEO Ali Ghodsi told CNBC's Brian Sullivan that the total round will exceed $1 billion. The company was last valued by private investors at $62 billion in a $10 billion financing round late last year. In June, Databricks executives told investors the company was forecasting $3.7 billion in annualized revenue by July, with 50% year-over-year growth. Snowflake, one of Databricks' top rivals, is expected to generate $4.5 billion in revenue for the fiscal year that ends in January, representing annual growth of 25%, according to LSEG. Snowflake currently has a market cap of about $65 billion. Other competitors include cloud providers such as Amazon and Microsoft, which are also Databricks partners. Ghodsi said he heard from a lot of interested investors following Figma's IPO late last month. Shares of the design software company more than tripled in their New York Stock Exchange debut, a sign that public investors are seeking out tech offerings after in extended lull in the IPO market. "My phone was blowing up," Ghodsi said on Tuesday. "So yes, there's definitely been a big push from outside." Figma shares have since retreated from their initial $115.50 closing price. The stock is trading at about $70, still more than double the $33 IPO price. Ghodsi said the round will help Databricks invest in products that clients can tap when using artificial intelligence models. Founded in 2013 and based in San Francisco, Databricks ranked third on CNBC's 2025 Disruptor 50 list. As of June, the company employed 8,000 people. Existing investors Andreessen Horowitz, Insight Partners Thrive Capital and WCM Investment Management are buying shares, a spokesperson said.

Latest raise boosts Databricks' valuation to more than $100bn

The round was co-led by Thrive Capital, Insight Partners and WCM Investment Management, suggest reports. Software giant Databricks is finalising a Series K funding round that would value it at more than $100bn, up around $40bn since its last raise just months ago. The funding round, which is raising more than $1bn, is backed by existing investors, the company said. According to reports, the round is co-led by Thrive Capital, Insight Partners and WCM Investment Management, with Andreessen Horowitz also planning to invest into the company. Founded more than 10 years ago, Databricks provides a data intelligence platform designed to make it easier for organisations to use data through machine learning, analytics and AI applications. Earlier this year, the company launched 'Agent Bricks', a tool which builds AI agents optimised using enterprise data, as well as a new operational database . The company said that the new raise will be used to accelerate its AI strategy by expanding Agent Bricks and invest in 'Lakebase', the database offering. The investment is also expected to support Databricks' future AI acquisitions and deepen AI research. "We're seeing tremendous investor interest because of the momentum behind our AI products, which power the world's largest businesses and AI services," said Ali Ghodsi, the co-founder and CEO of Databricks. "Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines. We're thrilled this round is already over-subscribed and to partner with strategic, long-term investors who share our vision for the future of AI." The company will also use the funds to keep up in the AI talent wares, the CEO told the Wall Street Journal. "I think Databricks has a shot to be a trillion-dollar company," said Ghodsi. "But we have a lot of work ahead of us to get there." Just over the past two quarters Databricks has launched or expanded its partnerships with Microsoft, Google Cloud, Anthropic, SAP and Palantir. The five-year deal with Anthropic, valued at $100m, offers Anthropic's Claude AI models through Databricks' data intelligence platform, which would allow its client companies - ranging at more than 15,000 - to build and deploy AI agents that can reason on their own data. Don't miss out on the knowledge you need to succeed. Sign up for the Daily Brief, Silicon Republic's digest of need-to-know sci-tech news.

Databricks valuation hits $100B with latest funding round - SiliconANGLE

Data analytics and artificial intelligence startup Databricks Inc. said it has reached terms to raise an unspecified amount of venture capital in a Series K round that values the company at more than $100 billion. The funding comes just seven months after the company closed a $10 billion Series J round and $5.25 billion debt instrument that valued it at $62 billion. Databricks was mum about the details, saying only that it expects to use the new capital to "accelerate its AI strategy," and in particular Agent Bricks, a set of tools for automating the building and deployment of autonomous AI agents. It also plans to invest the funds in its new serverless Lakebase database management system, support AI acquisitions and expand globally. Databricks has been locked in a duel with rival Snowflake Inc. for supremacy in AI development. Unlike Snowflake, it has resisted pressure to go public. Chief Executive Ali Ghodsi (pictured) hinted last October that a public offering might be in the company's plans, but Databricks has since raised two giant funding rounds and appears to be in no hurry. Snowflake staged one of the most successful initial public offerings in the history of the software business in 2021 but its stock dropped by two thirds over the next 15 months. However, its stock price has nearly doubled over the past year amid investor enthusiasm for AI, creating a tailwind for Databricks. The company didn't say who participated in this latest round other than to cite "backing from existing investors." The company's list of previous investors includes many of Silicon Valley's largest venture capital firms as well as technology giants and overseas investors. "Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines," Ghodsi said in a statement. "We're thrilled this round is already over-subscribed." Databricks has recently launched or expanded partnerships with Microsoft Corp., Google Cloud, Anthropic PBC, SAP SE and Palantir Technologies Inc. It claims more than 15,000 customers of its Data Intelligence Platform. The company said in July that annualized revenue had reached $3.7 billion on a 50% annual growth rate.

Databricks Valued at $100 Billion as It Prepares for Series K Funding | AIM

The round is backed by existing investors and marks one of the largest late-stage financings in the AI sector this year. Databricks announced that it has signed a term sheet for its Series K funding round, valuing the company at more than $100 billion. The round, which is expected to close soon, is backed by existing investors and marks one of the largest late-stage financings in the AI sector this year. The company said the new capital will accelerate its AI strategy. This includes expanding Agent Bricks, a platform for building enterprise-grade AI agents, further investment in its new operational database Lakebase, and strengthening global growth. Lakebase, announced in June, is built on open-source Postgres and optimised for AI-driven applications, while Agent Bricks is designed to deliver production-ready AI agents fine-tuned on enterprise data. Ali Ghodsi, co-founder and CEO of Databricks, said th

Databricks secures $1B to build AI agent tools

According to The Wall Street Journal, Databricks, a data analytics firm founded in 2013, is finalizing a $1 billion funding round, valuing the company at $100 billion. The funds will support the development of its database for AI agents, Lakebase, its AI agent platform, Agent Bricks, and the acquisition of AI talent. Sources familiar with the deal confirmed to TechCrunch that the new round was significantly oversubscribed. Databricks decided against raising more capital despite the high demand, as the company does not require additional funds for operations. This follows a previous $10 billion funding round in January, which valued Databricks at $62 billion. OpenAI later surpassed this with a $40 billion raise in March. The latest funding round was co-led by Thrive and Insight Partners, both of whom also led the previous round. With this new influx of capital, Databricks has raised approximately $20 billion since its inception. Unlike some funding rounds, this was a primary round, meaning that no employee shares were sold. Sources close to Databricks indicate that the company facilitated two secondary rounds for employees in 2025. These rounds allowed employees the opportunity to sell portions of their holdings, ranging from 40% to 60% depending on the size of their individual share allocations. In both secondary rounds, the full amount of funds allocated for employee share sales was not exhausted, suggesting that employees chose to retain a larger portion of their shares than they were permitted to sell. These secondary rounds provided employees with opportunities to liquidate their holdings, while Databricks remained unhurried about pursuing an initial public offering (IPO). Databricks co-founder and CEO Ali Ghodsi explained in an interview with TechCrunch that the funds raised in this new round are specifically earmarked for two key projects: the development of a database for AI agents and the advancement of its AI agent platform. These initiatives represent strategic investments in emerging areas of artificial intelligence. A significant portion of the investment will be directed towards enhancing Databricks' database for AI agents, with the goal of making it broadly accessible to all customers. This product, named Lakebase, was initially launched in June at the company's annual tech conference. Lakebase leverages the open-source database Postgres and is designed to meet enterprise-grade requirements, supporting corporate developers' "vibe-coding" projects. This positions Lakebase as a direct competitor to platforms like Supabase. Ghodsi emphasized the potential of the database market, stating, "The database market is $105 billion of TAM [total addressable market], of revenue, sitting there, kind of unaffected in the last 40 years." He alluded to Oracle's long-standing dominance in the database sector, suggesting that Databricks aims to disrupt this established market. Ghodsi further highlighted a shift in database creation trends. "Here's the interesting statistic nobody's paying attention to: a year ago, we saw in the data that 30% of the databases were not created by humans. For the first time, they were created by AI agents. And this year, the statistic is 80%," he stated. He predicted that within a year, AI agents will be responsible for creating 99% of new databases. Ghodsi elaborated on the strategic importance of catering to AI agents as users. "There's a new user. The user is not human. It's an AI agent, and if we just double down on making that user persona successful, that's the wedge to disrupt that TAM," he explained, suggesting that focusing on the needs of AI agent users will be key to challenging the existing database market. Regarding how Lakebase will differentiate itself from Supabase and other platforms building Postgres-based databases for agents, Ghodsi emphasized the importance of "separated compute and storage." By decoupling compute resources from storage, Databricks aims to provide a cost-effective solution for users creating numerous databases. "Because these agents are super fast. They just spin up lots of databases, much faster than humans can, but you don't want to go bankrupt because you're doing that," he clarified. The second major area of investment for Databricks is its AI agent platform, Agent Bricks, which also launched in June. Ghodsi commented on the industry's focus on artificial superintelligence, stating, "Everybody's super focused on superintelligence. But that's not what we need in organizations." Ghodsi believes that the immediate need for companies is not advanced AI capable of solving complex problems, but rather AI agents that can reliably automate routine tasks. He used the examples of onboarding new employees and answering personalized HR benefit inquiries as areas where AI agents can significantly improve efficiency. "I think that's a much bigger opportunity, actually, for the worldwide GDP and for organizations," he stated, suggesting that Agent Bricks' focus on practical applications will provide a competitive advantage. Ghodsi also acknowledged the competitive landscape for AI talent and the need to attract skilled professionals. "As you know, it's pretty expensive to hire AI talent right now," he said, indicating that part of the funding will be used to recruit and retain top AI experts.

Databricks Valued at Over $100 Billion in Latest Fundraising Amid AI Rush

(Reuters) -Databricks said on Tuesday it was raising new funds that would value the data analytics firm at more than $100 billion, less than a year after its previous round, as investor appetite for artificial intelligence companies remains strong. The company expects to use the funds for AI acquisitions, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology. Databricks' previous fundraising valued it at $62 billion. (Reporting by Pritam Biswas and Ateev Bhandari in Bengaluru; Editing by Shilpi Majumdar)

Databricks eyes over $100 billion valuation as investors back AI growth plans - The Economic Times

The company expects to use a portion of the latest funds in product development and for mergers and acquisitions in the AI segment, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology.Analytics firm Databricks said on Tuesday its valuation was set to jump 61% to more than $100 billion in a funding round less than a year after its last, underscoring strong investor demand for artificial intelligence startups. The San Francisco, California-based company - with 15,000 customers, including payments firm Block, energy giant Shell and electric-vehicle maker Rivian - said it has signed a term sheet for a Series K round, but did not disclose the amount it was raising. Late last year, Databricks had raised $10 billion in one of the largest venture capital funding rounds in history, which valued it at $62 billion. The company expects to use a portion of the latest funds in product development and for mergers and acquisitions in the AI segment, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology. "Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines. We're thrilled this round is already over-subscribed," said Ali Ghodsi, cofounder and CEO. Startups are choosing to stay private for longer amid higher interest rates and unpredictable market appetite for initial public offerings over the past few years. Capital is also available for larger late-stage rounds as private market investors sit on record levels of dry powder. OpenAI is also in talks to close an employee share sale, which would value the ChatGPT parent at around $500 billion.

Missed Snowflake's boom? Databricks' $100 billion AI leap could be Wall Street's next jackpot

Databricks $100 billion valuation latest news: For investors who watched Snowflake (SNOW) gain about 26% in 2025 but didn't invest in it, another data giant may be stepping into the spotlight, as per a report. Databricks, a key rival to Snowflake in the cloud data and analytics space, is finalizing a new funding round that would value the company at $100 billion, which is a sharp jump from its $62 billion valuation in December, according to Investor's Business Daily report. That's more than a 60% increase in just eight months, as per the report. The San Francisco, California-based company, which has 15,000 customers, including Block, Shell, and Rivian, revealed that has signed a term sheet for a Series K round, as reported by Reuters. ALSO READ: Move over quiet quitting -- as AI looms 'quiet cracking' is costing $438 billion and wrecking workers' health The company hasn't shared how much new funding it will raise, but investor enthusiasm is high, as co-founder and CEO, Ali Ghodsi said that "We're seeing tremendous investor interest because of the momentum behind our AI products, which power the world's largest businesses and AI services," as quoted by Investor's Business Daily. Ghodsi also highlighted that, "We're thrilled this round is already oversubscribed and to partner with strategic, long-term investors who share our vision for the future of AI," as quoted in the report. As per Investor's Business Daily, Databricks said it hit an annualized revenue of $3.7 billion in July, with a growth rate of 50%. The Analytics firm plans to use the new capital to accelerate its artificial intelligence strategy, expanding AI agents, investing in a new database, and potentially acquiring more AI companies, as reported by Investor's Business Daily. ALSO READ: Were YouTube Influencers Nina Santiago and Patrick Blackwood's lives put at risk for views? Watch the shocking SUV crash viral video Meanwhile, Snowflake stock is down more than 3% on Tuesday and the company is set to report its second-quarter earnings on August 27, according to the report. Both Databricks and Snowflake focus on helping companies use their proprietary data to deploy autonomous, goal-driven AI agents, a fast-growing trend across industries, as per the Investor's Business Daily report. ALSO READ: Is Oracle facing headwinds? After layoffs, its 4-decade veteran Chief Security Officer Mary Ann Davidson departs What's driving investor interest in Databricks? The company's strong momentum in AI, growing revenue, and customer base are attracting significant investor attention, as per the Investor's Business Daily report. How is Snowflake performing in 2025? Snowflake stock has gained about 26% this year but fell more than 3% on Tuesday.

Databricks Reaches $100B Valuation After Funding Surge - Snowflake (NYSE:SNOW)

San Francisco-based Databricks is set to see its valuation soar by 61% to over $100 billion following a new funding round, highlighting strong investor interest in artificial intelligence startups. The company has signed a term sheet for a Series K round, though the amount being raised was not disclosed, according to Reuters. Databricks, which raised $10 billion last year, plans to use the new funds for product development and mergers and acquisitions in the AI sector. This reflects a growing trend where corporations and governments are eager to harness the efficiencies offered by rapidly evolving AI technologies. QQQ is facing resistance from sellers. Check out the latest moves here. Databricks Sets A New Valuation Benchmark Derek Hernandez, a senior research analyst at PitchBook, noted that the high valuation indicates a concentration of late-stage capital in market-leading companies within foundational technology sectors. Databricks serves around 15,000 customers, including major companies such as Block, Shell, and Rivian, according to Reuters. Databricks competes with listed companies such as Snowflake Inc. SNOW, which has a market cap of about $66 billion. The firm employs approximately 8,000 people globally. Also Read: Wall Street Braces For Tech Carnage: 'Disaster' QQQ Options Tell The Story Is AI Investment The Future Of Tech? Hernandez pointed out that investors are banking on a large total addressable market that can sustain multiple high-value companies, with Databricks expected to maintain a durable competitive edge. Startups such as Databricks are opting to stay private longer, given the higher interest rates and unpredictable appetite for IPOs. Chris Lawrence, founder of Labyrinth Capital Partners, explained that what used to be pre-IPO rounds now often extend to Series G or later, with capital functioning like public equity but without the public oversight. How Late-Stage Funding Is Shaping Startups Private market investors are sitting on record levels of dry powder, allowing for larger late-stage funding rounds. This trend underscores a shift in how startups are capitalized, with significant implications for their growth trajectories and market strategies. Read Next: Cathie Wood's ARKK Is Beating Big Tech Like It's 2020 Again -- But With A Twist Photo: Mizkit on Shutterstock.com SNOWSnowflake Inc$191.98-3.16%Stock Score Locked: Want to See it? Benzinga Rankings give you vital metrics on any stock - anytime. Reveal Full ScoreEdge RankingsMomentum84.23Growth15.76QualityN/AValue6.78Price TrendShortMediumLongOverview This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors. Market News and Data brought to you by Benzinga APIs

Databricks to Raise a Series K Investment at $100 Billion Valuation

India, August 19, 2025 - , the Data and AI company, today announced it has signed a term sheet for its Series K round, which it expects to close soon with backing from existing investors. This funding values the company at >$100 billion. The company expects to use the new capital to accelerate its AI strategy -- expanding Agent Bricks, investing in its new database offering Lakebase, and fueling global growth. At the June Data + AI Summit, Databricks introduced a new product, Agent Bricks, which builds high-quality, production AI agents optimized on your enterprise data, and Lakebase, a new type of operational database (OLTP), built on open source Postgres, and optimized for AI Agents. The investment is also expected to support future AI acquisitions and deepen AI research. "We're seeing tremendous investor interest because of the momentum behind our AI products, which power the world's largest businesses and AI services," said Ali Ghodsi, co-founder and CEO of Databricks. "Every company can securely turn its enterprise data into AI apps and agents to grow revenue faster, operate more efficiently, and make smarter decisions with less risk. Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines. We're thrilled this round is already over-subscribed and to partner with strategic, long-term investors who share our vision for the future of AI." This new investment comes on the heels of strong momentum for Databricks. In the last two quarters, the company has launched or expanded partnerships with Microsoft, Google Cloud, Anthropic, SAP, and Palantir. More than 15,000 customers around the world use the  to democratize access to data and AI, making it easier to harness the power of their data for analytics and AI apps and agents. Built on an open source foundation, the platform enables organizations to drive innovation that increases revenue, lowers costs, and reduces risk.

Databricks eyes over $100 billion valuation as investors back AI growth plans

(Reuters) -Analytics firm Databricks said on Tuesday its valuation was set to jump 61% to more than $100 billion in a funding round less than a year after its last, underscoring strong investor demand for artificial intelligence startups. The San Francisco, California-based company -- with 15,000 customers, including payments firm Block, energy giant Shell and electric-vehicle maker Rivian -- said it has signed a term sheet for a Series K round, but did not disclose the amount it was raising. Late last year, Databricks had raised $10 billion in one of the largest venture capital funding rounds in history, which valued it at $62 billion. The company expects to use a portion of the latest funds in product development and for mergers and acquisitions in the AI segment, as corporations and governments worldwide rush to leverage efficiencies from the nascent but rapidly evolving technology. "Databricks is benefiting from an unprecedented global demand for AI apps and agents, turning companies' data into goldmines. We're thrilled this round is already over-subscribed," said Ali Ghodsi, co-founder and CEO. Startups are choosing to stay private for longer amid higher interest rates and unpredictable market appetite for initial public offerings over the past few years. Capital is also available for larger late-stage rounds as private market investors sit on record levels of dry powder. OpenAI is also in talks to close an employee share sale, which would value the ChatGPT parent at around $500 billion, Reuters had reported earlier this month. (Reporting by Pritam Biswas and Ateev Bhandari in Bengaluru; Editing by Shilpi Majumdar)