Databricks, the Data and AI company, announced it intends to acquire Neon, a leading serverless Postgres company, to continue innovating and investing in Neon’s database and developer experience for existing and new Neon customers and partners.
“The era of AI-native, agent-driven applications is reshaping what a database must do,” said Ali Ghodsi, co-founder and CEO at Databricks. “Neon proves it: four out of every five databases on their platform are spun up by code, not humans. By bringing Neon into Databricks, we’re giving developers a serverless Postgres that can keep up with agentic speed, pay-as-you-go economics and the openness of the Postgres community.”
Together, Databricks and Neon will work to remove the traditional limitations of databases that require compute and storage to scale in tandem—an inefficiency that hinders AI workloads.
According to the vendors, the integration of Neon’s serverless Postgres architecture with the Databricks Data Intelligence Platform will help developers and enterprise teams efficiently build and deploy AI agent systems.
This approach not only prevents performance bottlenecks from thousands of concurrent agents but also simplifies infrastructure, reduces costs and accelerates innovation—all with Databricks’ security, governance and scalability at the core.
“Four years ago, we set out to build the best Postgres for the cloud that was serverless, highly scalable, and open to everyone. With this acquisition, we plan to accelerate that mission with the support and resources of an AI giant,” said Nikita Shamgunov, CEO of Neon. “Databricks was founded by open source pioneers committed to making it easier for developers to work with data and AI at any scale. Together, we are starting a new chapter on an even more ambitious journey.”
Neon’s team is expected to join Databricks after the transaction closes, bringing deep expertise and continuity for Neon’s vibrant community.
Together, Neon and Databricks will empower organizations to eliminate data silos, simplify architecture and build AI agents that are more responsive, reliable and secure, the companies said.
The proposed acquisition is subject to customary closing conditions, including any required regulatory clearances.
For more information about this news, visit www.databricks.com.