The surge in data company acquisitions continued Monday with Snowflake’s purchase of Crunchy Data.
Cloud data platform Snowflake announced its intent to acquire Crunchy Data, a Postgres database partner, late this afternoon. A source familiar with the matter estimated the deal to be worth around $250 million.
The terms weren’t disclosed. Snowflake declined to comment on the deal’s valuation.
It’s the latest in a string of tech giants buying data startups to bolster their underlying database offerings that power AI agents. Last week, Salesforce acquired decades-old Informatica to fortify its data management tooling for AI agents. A few weeks ago, Alation acquired Numbers Station to give its customers access to AI agents that could run on top of structured data. And earlier this month, ServiceNow acquired Data.World with AI agents in mind.
Crunchy Data gives companies the tools they need to build with Postgres, an open source and 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 including UPS, SAS, and Moneytree, among others, in addition to public sector organizations like the U.S. Department of Homeland Security.
The acquisition will give Snowflake the underlying tech needed to launch Snowflake Postgres, an enterprise-grade PostgreSQL database for its customers, and partners including Blue Yonder and LandingAI. This deal also further bolsters Snowflake’s database offerings in the age of AI agents.
This tech will be available in private preview soon.
“Our vision is to deliver the world’s most trusted and comprehensive data and AI platform to our customers,” said Vivek Raghunathan, SVP of engineering at Snowflake, in a press release provided to TechCrunch. “Today’s announcement of our proposed acquisition of Crunchy Data represents another reason why Snowflake is the ultimate destination for all enterprise data and AI needs. We’re tackling a massive $350 billion market opportunity and a real need for our customers to bring Postgres to the Snowflake AI Data Cloud.”
In 2024, Snowflake launched new connectors for Snowflake customers to PostgreSQL and MySQL. Now, it is bulking up that offering. Snowflake also acquired data management company Datavolo last year.