Databricks Inc. saw its data-warehousing business more than double in size over the last year to reach a $1.5 billion annual run rate [1].

This growth signals a shift in the competitive landscape for cloud data management. As Databricks expands its SQL capabilities, it directly challenges established rivals like Snowflake for a larger share of the enterprise market.

The software maker's Databricks SQL product has experienced a surge in adoption between June 2025 and June 2026 [1]. This acceleration follows previous projections that the product would reach a $1 billion run rate by January 2026, up from $600 million in December 2024 [4].

The expansion of the data-warehousing segment contributes to a broader upward trend for the privately held company. Overall revenue for Databricks grew by 80 percent to an annualized $6.9 billion [3].

This trajectory highlights the increasing demand for integrated platforms that can handle both data lakes and traditional data warehousing. By scaling its SQL offerings, the company is moving beyond its origins in big-data processing to capture a more diverse set of corporate clients.

The company has not provided a public statement regarding the specific drivers of this growth, but the numbers indicate a rapid scaling of the product's market penetration over the previous 12 months [1].

“Databricks SQL reached a $1.5 billion annual run rate”

The rapid scaling of Databricks SQL suggests that the distinction between data lakes and data warehouses is blurring. By successfully competing in the data-warehousing space, Databricks is positioning itself as a comprehensive data platform, which may pressure competitors to either integrate similar capabilities or lower pricing to maintain their market share.