Ali Ghodsi, co-founder and CEO of Databricks.
Databricks
Openai and Databricks are two of the most highly regarded high-tech startups on the planet. Now they work together.
Databricks, a data analytics software vendor, said Thursday it had pledged to spend $100 million on Openai over multiple years. Databricks makes it easy to connect GPT-5, which was announced in August, to data stored in cloud services.
Recently valued at $500 billion by private investors, Openai has become famous for many years since ChatGPT launched in late 2022. In partnership with DataBic, worth more than $100 billion in its latest funding round, OpenAI has launched its first formal integration with business-focused product vendors.
LightCap said the company’s “aspiration is multiple of its $100 million spending commitments in terms of revenue generated by the contract.”
Databricks has formed a similar partnership Google And there is humanity. However, Openai is leading the way with over 700 million people using ChatGPT assistants with GPT-5 every week.
The company placed more importance on the company, even before the Databricks deal. Microsoft We bring the Openai model to businesses, governments and schools. Openai has built its own sales capabilities.
Databricks CEO Ali Ghodsi said the partnership simplifies the customer’s processes when it comes to accessing Openai’s models, which are already in high volume.
Previously, if Databricks customers wanted to tap on their own OpenAI models to help analyze internal data, they would have required extensive configuration, not just legal and security sign-offs.
“The key difference here is that just a click on the UI can automatically start using this product by database customers,” Ghodsi said, referring to the user interface. Ghodsi said the price is similar to whether it costs more if users go directly to Openai.
Greg Ulrich, MastercardAI Chief Executive and Data Officer said they were optimistic about integration.
“This allows us to use AI to solve new problems, bring value to our customers, increase employee productivity, and enable opportunities for research and targeted experiments in environments we trust and in environments we know,” Ulrich said.
It’s an increasingly competitive space.
Databricks’ rivals SnowflakeWith a market capitalization of $75 billion, it announced an expansion of its Microsoft partnership in February, enabling it to use the Openai model. Oraclewhich has signed a $300 billion cloud deal from Openai, said two weeks ago that it would launch a service for running in October. Google,OpenAI and XAI models for data stored in database software.
Earlier this month, Databricks said it generated more than $4 billion annual revenue, up over 50% year-on-year, and is up $1 billion from AI products. The company’s $100 billion valuation was announced along with a $1 billion funding round.
Openai and Databricks ranked second and third on CNBC’s 2025 Disruptor 50 list, respectively.
Watch: DataBricks CEO: “Agent” AI era will disrupt the entire database industry
