$ 38 billion AI startup Databricks announces no-code acquisition
- Databricks announced the acquisition of the code-less startup 8080 Labs.
- The company says the deal is key to its “land grab” strategy to develop its Data Lakehouse product.
- A Databricks executive told Insider the company has a “long list of prospects” for future acquisitions.
$ 38 billion AI startup Databricks wants to make its platform easier to use for anyone, regardless of background.
In order to pursue this vision, Databricks announced on Wednesday the acquisition of 8080 Labs, a code-free application startup based in Germany. The goal is to integrate 8080 Labs ‘flagship tool, bamboolib, into Databricks’ own platform, used by data scientists to manage data. Terms of the deal were not disclosed. 8080 Labs has less than 10 employees listed on LinkedIn.
The combination of the two products extends the platform’s accessibility to a wider audience, allowing anyone with a basic understanding of data science to analyze and explore large datasets, rather than be limited to expert data engineers, says Databricks. This, in turn, will help companies use data to drive strategic business decisions faster than ever before without the need for expert data engineers.
This acquisition is particularly important for Databricks as the tech industry continues to experience a skills shortage as many companies struggle to attract and retain the right talent. Making Databricks easier to use will allow even non-experts to make better use of its platform, making it easier for its own customers to hire people to work with their data.
Databricks Director of Product Management Clemens Mewald says the 8080 technology also increases the company’s appeal to larger customers: although Bamboolib does not need a lot of technical expertise to be used. , behind the scenes, it generates a lot of real code.
“A lot of highly regulated industries, like finance and healthcare, want to see your work. They want to see what you did with that data to get there. And because Bamboolib generates code, this requirement is easily met. “
This push to expand its user base is significant, especially with Databricks considering an IPO as early as this year. Databricks just lifted a $ 1.6 billion investment round for a $ 38 billion valuation in August, which CEO Ali Ghodsi says will accelerate its “data lakehouse” strategy to take on rivals like Snowflake, $ 90 billion.
“It’s a land grab, as fast as you can, trying to build the most complete lake house of its kind that can be done,” Ghodsi told Insider in August. “So we want to do it as quickly as possible. We want to double the innovation and go to the market around the lake house.”
Snowflake, for its part, recently announced a partnership with the Anaconda data science platform, with the goal of bridging the Python data science community.
Meanwhile, Mewald suggests that while the acquisition of 8080 Labs is relatively small, it could be a sign of things to come as Databricks continues to look for ways to meet Ghodsi’s goal of rapid growth.
“We’ve raised a lot of money,” Mewald said, adding, “So we have funds that we’re looking to spend on acquisitions and we have a long list of prospects.”