Databricks has entered into a definitive agreement to acquire MosaicML. The transaction is valued at approximately $1.3 billion, inclusive of retention packages.
“Every organization should be able to benefit from the AI revolution with more control over how their data is used. Databricks and MosaicML have an incredible opportunity to democratize AI and make the Lakehouse the best place to build generative AI and LLMs,” said Ali Ghodsi, Co-Founder and CEO, Databricks. “Databricks and MosaicML’s shared vision, rooted in transparency and a history of open source contributions, will deliver value to our customers as they navigate the biggest computing revolution of our time.”
Simple, Fast Way to Build, Own and Secure Models
Today, virtually every organization is exploring how best to use generative AI and LLMs, and every leader is considering how they leverage these new innovations while retaining control of their most precious resource: their data.
Organizations and executives want to be able to build, own and secure their own models.
According to MosaicML, automatic optimization of model training provides 2x-7x faster training compared to standard approaches.
Combined with near linear scaling of resources, multi-billion-parameter models can be trained in hours, not days.
Databricks’ unified Data and AI platform combined with MosaicML’s generative AI training capabilities will provide a platform robust enough to serve the world’s largest organizations and flexible enough to address a broad range of AI use cases.
Databricks and MosaicML’s Shared Vision
The entire MosaicML team, including MosaicML’s research team, is expected to join Databricks after the transaction closes.
MosaicML’s platform will be supported, scaled, and integrated over time to offer customers a seamless unified platform where they can build, own and secure their generative AI models.
“At MosaicML, we believe in a world where everyone is empowered to build and train their own models, imbued with their own opinions and viewpoints — and joining forces with Databricks will help us make that belief a reality,” said Naveen Rao, Co-Founder and CEO, MosaicML. “We started MosaicML to solve the hard engineering and research problems necessary to make large scale training more accessible to everyone. With the recent generative AI wave, this mission has taken center stage. Together with Databricks, we will tip the scales in the favor of many — and we’ll do it as kindred spirits: researchers turned entrepreneurs sharing a similar mission. We look forward to continuing this journey together with the AI community.”
The proposed acquisition is subject to customary closing conditions, including any required regulatory clearances.
