Databricks logo (CFOTO/Future Publishing via Getty Images)

ABCDEFGHI... J

Databricks’ employees are cashing in on its Series J

Databricks is raising $10 billion to buy employees’ stock.

12/18/24 1:24PM

Big news in the startup world as data-warehouse company Databricks announced a $10 billion Series J funding round yesterday that valued the company at $62 billion. Raising a “Series J” is a rare feat: SpaceX is one of the few other companies to hit this mark, raising its Series J in 2019.

In its press release, Databricks said that the $10 billion was expected to be “non-dilutive.” Dan Primack noted in his Axios Pro Rata newsletter this morning that “almost all of this $10 billion” is going to buy shares from employees. My question when seeing this was, why not just go public?

If the money is just going toward buying shares from employees, couldn’t Databricks accomplish the same thing through an IPO or direct listing? During an interview with Primack at the Axios AI Summit, CEO Ali Ghodsi explained why his company was holding off on going public:

“This year was an election year. We wanted to get some stability — people are worried about interest rates, inflation... So we said look, it’s dumb to IPO this year, so we’re definitely going to wait.”

One of the more interesting trends in the venture-backed startup market over the last few years has been IPO postponement by some of the strongest startups. Because the best-performing companies have high demand for their stock, they can create liquidity events for employees and investors through tender offers, eliminating one of the primary uses of an IPO. As I wrote two weeks ago,

“However, there are two very important reasons for companies to go public: easier access to capital and liquidity for shareholders. On the first point, publicly traded companies can easily raise new funding through secondary offerings, allowing them to opportunistically strengthen their balance sheets...
But what if you’re a company with a well-capitalized balance sheet that doesn’t need outside funding? Then your only real motivation for going public is liquidity. And what if private market investors will happily buy those shares from you and your employees? Then you could… just… stay private forever?”

For Databricks, the Series J makes a ton of sense. Employees can derisk their wealth by selling stock to investors, and the company can wait for a more opportune moment to go public when it might fetch an even higher valuation. Given the company’s accelerating revenue growth (revenue was up 60% year on year in Q3 2024), it’s not unreasonable to think that its valuation will continue to climb as it approaches a potential 2025 or 2026 IPO. Investors in the Series J round certainly hope so.

Max Knoblauch22h

Electronic Arts launches a platform to put more ads in its games

Video game publishing giant EA launched a new platform on Monday designed to make the process of selling immersive ad space in its popular games easier.

The company says the platform, called EA Advertising, allows brands to “integrate directly into gameplay through dynamic, real-time placements, from stadium signage to custom in-game content.”

More so than other studios, EA has incorporated advertising into its most popular titles. As Kotaku points out, the company’s ad efforts stretch as far back as 2006. Several of its sports franchises already feature partnerships with brands like Visa, Lowe’s, Red Bull, and PepsiCo.

In-game advertising hasn’t exactly been embraced by fans, but industry experts expect it to ramp up as companies seek more revenue to offset higher games budgets and surging memory costs. EA rival Take-Two has taken a different approach, with CEO Strauss Zelnick recently saying the company was “not at risk of doing brand partnerships” in the forthcoming “Grand Theft Auto VI,” and that ads in full-price games seems “unfair.”

The $55 billion deal to take EA private, led by Saudi Arabia’s Public Investment Fund, is set to close at the end of this month. Being the largest leveraged buyout in history, EA will likely look for more ways to boost revenue to cover interest payments.

Electronic Arts Makes Push for Ad Dollars Tied to Sports

Millie Giles6/11/26

JM Smucker says it sold $1 billion worth of Uncrustables in FY2026

After years of booming sandwich sales, JM Smucker has finally earned a billion-dollar crust.

On Tuesday, the company reported results for fiscal year 2026, highlighting better-than-expected profits driven by higher prices for coffee and sweet baked goods. However, at another point on the earnings call, CEO Mark Smucker pointed to one particularly jammy figure: in line with previous forecasts, the company sold $1 billion worth of its (almost always) crustless sandwiches, Uncrustables, in the last year alone.

Max Knoblauch6/8/26

Paramount reportedly offers concessions to resolve multistate antitrust investigation

Paramount has reportedly offered up some concessions in an effort to prevent an antitrust lawsuit by California and about 10 other states, according to Bloomberg reporting on Monday.

Reuters first reported on the potential suit from a group of unnamed states last week, which could throw a wrench in Paramount’s plans to buy rival Warner Bros. Discovery in a Hollywood megamerger.

The list of concessions is unknown, though Bloomberg previously reported that Paramount is open to divesting some of its kids TV assets to appease EU regulators.

Late last month, reports said US regulators appeared likely to approve the $110 billion merger, following a meeting between Paramount CEO David Ellison and DOJ antitrust staffers.

Paramount Offers Concessions to Head Off State Antitrust Lawsuit

The list of concessions is unknown, though Bloomberg previously reported that Paramount is open to divesting some of its kids TV assets to appease EU regulators.

Late last month, reports said US regulators appeared likely to approve the $110 billion merger, following a meeting between Paramount CEO David Ellison and DOJ antitrust staffers.

$98B ⛽

Max Knoblauch6/8/26

The IATA released its latest financial outlook for the airline industry over the weekend, forecasting a $98 billion jump in the sector’s collective fuel bill. The world’s largest trade group representing airlines expects the oil spike to halve profits by 49% from last year to $23 billion.

The group also expects profit margins to halve year over year, falling from 2025’s 4.2% to 2%. Still, revenue is expected to climb to $1.17 trillion from $1.07 trillion.

A surge in the cost of jet fuel has rocked US and global airlines this year, leading Delta Air Lines, United Airlines, American Airlines, Southwest Airlines, JetBlue, and others to raise fares and ancillary charges like bag fees. Low-cost carriers, which operate on smaller margins, have been squeezed the hardest, resulting in Spirit’s shutdown.

“It’s a tough year for all airlines, especially those whose balance sheets had not yet recovered from COVID. And, of course, for those operating in the Gulf,” said IATA Director General Willie Walsh, who added that demand is holding up and about half of passengers expect to spend more on travel this year. “That bodes well for a strong northern summer peak season. The big unknown is how long travelers and shippers can tolerate the higher costs of connectivity.”

Hollywood Exteriors And Landmarks - 2025

1 year into the Switch 2, we might’ve seen the top of the console market

The Switch 2 launched on this day in 2025. Amid a rough year for consoles, Nintendo has logged a good one.

Max Knoblauch6/5/26