Databricks, a data and AI company, is acquiring Arcion, a company that provides enterprise databases, data warehouses, and cloud analytics platforms using change data capture (CDC), in a transaction valued at over $100 million. 

This acquisition aims to enhance Databricks’ capabilities by enabling Databricks to efficiently replicate data from a variety of databases and SaaS applications into its Lakehouse Platform. According to Databricks, this is significant because Data Lakehouse Platforms are essential for enterprise data and AI, but the process of ingesting data from different sources is currently complex and costly. Arcion’s technology will streamline this data ingestion process and enhance Databricks’ offerings.

Data Lakehouse Platforms have become the standard for enterprise data and AI, but their value depends on the data they contain, according to Databricks in a post

Ingesting data from existing databases and applications has been a challenge. With Arcion’s technology, Databricks can provide a scalable, cost-effective solution for this data ingestion process. It will leverage Arcion’s scalable CDC engine and connectors for over 20 enterprise databases and data warehouses, making it easier to integrate this data into the Lakehouse Platform while maintaining enterprise-grade security and governance.

The acquisition is seen as a strategic move to address the problem of siloed systems that many businesses face. A recent survey from MIT Technology Review Insights revealed that numerous companies have multiple separate systems, hindering their data and AI efforts.

“To build analytical dashboards, data applications, and AI models, data needs to be replicated from the systems of record like CRM, ERP, and enterprise apps to the Lakehouse,” said Ali Ghodsi, co-founder and CEO of Databricks. “Arcion’s highly reliable and easy-to-use solution will enable our customers to make that data available almost instantly for faster and more informed decision-making. Arcion will be a great asset to Databricks, and we are excited to welcome the team and work with them to further develop solutions to help our customers accelerate their data and AI journeys.”