Tech
Databricks hits $188B valuation, extending its run as AI’s favorite second act
Databricks on Thursday announced a new round of funding that values the company at $188 billion. The round was led by Coatue.
Databricks didn’t disclose exactly how much it raised; it said the money isn’t in its hands yet and that the round will close later this summer. (Other outlets have since reported the raise is roughly $3 billion.) While it’s unusual for a company to announce before it gets the money, a VC tells TechCrunch that the deal is solid, with so many firms wanting in that the company had no reason to keep its shiny new valuation a secret.
In fact, Databricks has been on a year-and-a-half fundraising tear as it successfully transitioned its image into an AI provider and not just a yesteryear SaaS sensation. Yesteryear being back in the BC times (Before ChatGPT).
Only five months ago, in February, Databricks closed a $5 billion Series L raise at a $134 billion valuation. Five months before that, in September 2025, it raised $1 billion at a $100 billion valuation. And roughly nine months before that, in December 2024, it raised what was a record-breaking round at the time of $10 billion at a $62 billion valuation.
Databricks has raised so many rounds over the years that this latest one became the subject of memes about running out of letters of the alphabet. “Turning on alerts for when we get a Series AA,” one person posted.
But its image reconstruction has been legit. Founded in 2013, it initially grew to success back in the big data era, with software that enabled enterprises to store enormous amounts of data in the cloud, yet produce speedy analytics.
Because it already sat on troves of enterprise data, Databricks was then well-positioned to respond as companies started wanting AI with the same security and governance they expect from traditional enterprise software.
The company began rolling out one AI product after another, like Lakebase, its database built for AI agents, and Unity, its AI gateway, along with a “meta-harness” called Omnigent that manages multiple agents.
Databricks also increasingly became known as one of the big examples of enterprises adopting more affordable Chinese-based open-weight models (models whose underlying code is published for anyone to use and modify) for cost control, one of the big trends of 2026. It is a particular champion of Z.ai’s GLM 5.2 as a model for coding.
Last week Databricks CEO Ali Ghodsi shared the results of some internal benchmarking done to manage his own AI costs for his 3,000 software engineers.
The company compared AI models on the actual tasks its programmers do. Not surprisingly, in the blog post revealing the results, Databricks shared that “open models, and GLM 5.2 in particular, are now able to handle even the highest level of task difficulty” in coding, and at a total lower cost than proprietary models from Anthropic and OpenAI.
But it did surprise people by finding that the choice of harness — the agentic coding tool, like Codex or Claude Code, that wraps around a model and manages its context and instructions — equally impacted costs. It found that open-source harness Pi to be one of the best at managing context surrounding each prompt, and therefore one of the lowest costs choices without sacrificing quality.
“The lesson here isn’t that one harness is always cheaper or that native harnesses are worse,” the post declared. “Instead, model choice is only one piece of the puzzle.”
All of this has added to Databricks image as an AI company, even if it wasn’t founded as an AI lab. This, in turn, has granted it the AI-halo for raising money and leaping its valuation. As we previously reported, the AI effect is so strong these days, that even sandwich shop Jersey Mike’s mentioned AI 22 times in its S-1 documents.
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Tech
Patreon stops asking AI bots not to scrape — and starts blocking them
Patreon, the membership platform for creators, is cracking down on AI scraping its content for training purposes. On Thursday, the company shared that it’s working with internet infrastructure provider Cloudflare to directly block access to AI bots designed to train their AI models on creators’ work without permission.
The strengthened measures were necessary because AI scraping has become more sophisticated since it first put measures in place to deter AI crawlers in 2023, the company says. In addition, Patreon’s paywall has long locked much of creators’ content out of reach of crawlers. But more recently, the company introduced new discovery tools like a redesigned Home Feed and its tweet-like Quips, which could expose more content to crawlers.
The changes come about as more online publishers and content creators are coming to grips with how AI is ingesting their work for the purpose of making their AI models smarter. To combat this, Cloudflare now offers tools that allow website publishers to restrict AI bots, including a marketplace that lets websites charge AI bots for scraping, dubbed Pay Per Crawl. Earlier this month, it changed its policies so that “mixed-use” crawlers, meaning those that both index and train on a website’s content, are blocked by default on any pages that host ads.
Patreon says that it’s extending its existing work with Cloudflare to use the company’s AI Crawl Control technology to update its AI policies and enforcement tools. The difference here is that instead of simply asking AI crawlers not to scrape content using the robots.txt files — a standard way to provide bots with instructions on how they can use its site — Patreon is now actively blocking AI training bots.
“Consent shouldn’t depend on whether a scraper chooses to behave,” a Patreon blog post explains, referencing the stricter measures.
When testing the features, individual AI training crawlers’ weekly attempts to access Patreon went from “thousands of attempts to zero,” the post noted. That indicates that the AI scrapers were ignoring Patreon’s robots.txt file and scraping the site anyway, despite its requests.
However, the company said that it will allow bots that index pages and organize information that can be used to send users back to Patreon.
“As AI agents become increasingly powerful and popular, creators deserve a meaningful say in how their work is used by AI companies,” remarked Patreon’s product chief Drew Rowny in the announcement. “On most of the Internet, creators have to accept AI training on their work just to reach and grow an audience. Patreon has a different vision: creators should be able to grow their audience and control how their work is used.”
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Tech
Amazon fixing bug that billed some AWS customers billions of dollars
Some Amazon cloud customers woke up on Friday to a surprise bill estimate that said they owed billions of dollars for cloud services they had never used.
Amazon confirmed on Friday that it’s trying to resolve a bug in its Amazon Web Services (AWS) billing portal that showed some customers “owed” millions or billions in cloud computing costs.
In an update on its status page, Amazon said it began seeing inaccurate billing data as of late Thursday. But by Friday morning, the company conceded that the “rollback of a recent change did not resolve the issue.” Amazon said the change relates to its billing computation subsystem.
The good news for the customers who were told they “owe” millions or billions to Amazon is they are likely off the hook. The billing estimates “do not reflect actual usage and charges,” Amazon said.
According to several screenshots posted by Amazon customers on Reddit, one customer was quoted a billing estimate of close to $2.5 billion for this month’s AWS usage, while others had similar alerts, ranging from a few million dollars to hundreds of millions of dollars.
When reached by email, Amazon spokesperson Aisha Johnson referred TechCrunch to the company’s status page and did not comment further, or answer questions about the bug. The company would not say, when asked, if any AWS accounts had been suspended or paused as a result of the issue.
The issue is expected to last several more hours, per Amazon’s status page.
Updated with a response from Amazon.
Tech
Amazon fixing bug that billed some AWS customers billions of dollars
Some Amazon cloud customers woke up on Friday to a surprise bill estimate that said they owed billions of dollars for cloud services they had never used.
Amazon confirmed on Friday that it’s trying to resolve a bug in its Amazon Web Services (AWS) billing portal that showed some customers “owed” millions or billions in cloud computing costs.
In an update on its status page, Amazon said it began seeing inaccurate billing data as of late Thursday. But by Friday morning, the company conceded that the “rollback of a recent change did not resolve the issue.” Amazon said the change relates to its billing computation subsystem.
The good news for the customers who were told they “owe” millions or billions to Amazon is they are likely off the hook. The billing estimates “do not reflect actual usage and charges,” Amazon said.
According to several screenshots posted by Amazon customers on Reddit, one customer was quoted a billing estimate of close to $2.5 billion for this month’s AWS usage, while others had similar alerts, ranging from a few million dollars to hundreds of millions of dollars.
When reached by email, Amazon spokesperson Aisha Johnson referred TechCrunch to the company’s status page and did not comment further, or answer questions about the bug. The company would not say, when asked, if any AWS accounts had been suspended or paused as a result of the issue.
The issue is expected to last several more hours, per Amazon’s status page.
Updated with a response from Amazon.
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