Databricks Snaps Up Tecton After $100B Valuation

Databricks recently unveiled plans to acquire Tecton, a startup founded by former Uber engineers specializing in real-time feature serving, in a transaction made using private shares. The move comes swiftly after signing a Series K term sheet that values the company at over $100 billion, signaling investor enthusiasm for its AI strategy Reuters.

In announcing the acquisition, CEO Ali Ghodsi called Tecton “the real-time building block to feed real-time information into the agents,” added that “speed is crucial for AI use cases such as voice interaction,” and emphasized that “humans hate to wait”. Tecton says their technology delivers sub-10 ms latency and sub-100 ms freshness, with 99.99% uptime, critical for user-facing AI applications.

Co-founder and CEO of Tecton, Mike Del Balso, once described the challenge around feature serving succinctly: “You can’t have a human there making these decisions every time”. For Databricks, Tecton's tooling becomes essential to production ML workflows.

This acquisition is the latest in a series of strategic buys by Databricks. In 2023, it acquired MosaicML for $1.3 billion to bolster model training and generative AI capabilities. The following year, Tabular, creator of Apache Iceberg, was added to unify table formats. Earlier in 2025, the company purchased Neon, a serverless Postgres database, in a ~$1 billion deal to support high-speed AI agent deployments.