Snowflake Buys Crunchy Data for $250M
Major Move in Cloud Data Landscape
The cloud data industry saw another significant consolidation as Snowflake announced its acquisition of Crunchy Data, a leading PostgreSQL partner, in a deal reportedly valued at $250 million. This strategic purchase continues a wave of data-focused acquisitions by major tech companies seeking to strengthen their AI capabilities.
Crunchy Data’s Powerful PostgreSQL Expertise
Founded 13 years ago, Crunchy Data provides critical tools for enterprises working with PostgreSQL, the popular open-source object-relational database system. The company serves high-profile clients including UPS, SAS, Moneytree, and even the U.S. Department of Homeland Security with its PostgreSQL solutions.
Why This Acquisition Matters
Snowflake’s purchase specifically aims to help launch Snowflake Postgres—an enterprise-grade PostgreSQL database that will integrate with the Snowflake AI Data Cloud. The move strengthens Snowflake’s position in the competitive database market, particularly for AI-powered applications.
Industry-Wide Data Acquisition Trend
This deal follows several similar strategic moves:
- Salesforce’s $8 billion Informatica acquisition for AI data management
- Alation’s purchase of Numbers Station for structured data AI agents
- ServiceNow’s acquisition of Data.World focused on AI integration
Snowflake’s Expanding Data Capabilities
The Crunchy Data acquisition builds on Snowflake’s 2024 introduction of PostgreSQL and MySQL connectors. Snowflake also bought data management firm Datavolo last year, showing a clear pattern of strategic expansion.
“Today’s announcement represents another reason why Snowflake is the ultimate destination for all enterprise data and AI needs,” said Vivek Raghunathan, Snowflake’s SVP of Engineering. The company is addressing a $350 billion market opportunity by bringing Postgres to its AI Data Cloud platform.
What’s Next for Customers
The new PostgreSQL capabilities will soon enter private preview, giving enterprise customers early access to these enhanced database features. This positions Snowflake to better compete in the rapidly evolving AI-driven data management space.