The surge in data company acquisitions continued on Monday with Snowflake’s acquisition of Crunchy Data.
Cloud data platform Snowflake announced its intention to acquire Crunchy Data, a Postgres database partner, late today. A source familiar with the matter estimated the deal at about $250 million.
Terms of the deal were not disclosed. Snowflake declined to comment on the deal’s valuation.
This is the latest in a string of deals made by tech giants acquiring data startups to bolster their core database offerings that power AI agents. Last week, Salesforce acquired Informatica, a decades-old company in the market, to strengthen its data management tools for AI agents. A few weeks ago, Alation acquired Numbers Station to give its customers access to AI agents that can work on structured data. And earlier this month, ServiceNow acquired Data.World to build AI agents.
Crunchy Data provides companies with the tools they need to build an open-source Postgres object-relational database management system that is popular with developers and works well with the SQL database language. The 13-year-old company works with clients such as UPS, SAS, Moneytree, and others, as well as public sector organizations such as the US Department of Homeland Security.
The acquisition will provide Snowflake with the core technology needed to run Snowflake Postgres, an enterprise-grade PostgreSQL database for its customers and partners, including Blue Yonder and LandingAI. This agreement also further strengthens Snowflake’s database offerings in the era of AI agents.
“Our vision is to provide our customers with the most robust and comprehensive data and AI platform available,” said Vivek Raghunathan, vice president of engineering at Snowflake, in a press release provided to TechCrunch. “Today’s announcement of the potential acquisition of Crunchy Data is yet another reason why Snowflake is the ideal solution for all enterprise data and AI needs. We are addressing a massive $350 billion market opportunity and a real need for our customers to move Postgres to the Snowflake AI data cloud.”
