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Chronicles

The story behind the story

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Sources: Dbt Labs, which develops an open-source data analytics tool, is in talks to raise a Series D at a $6B valuation, up from a $1.5B in June

Forbes Kenrick Cai

Context & Ripple Effects

dbt Labs has been on one of the fastest valuation climbs in the modern data stack: it rebranded from Fishtown Analytics and raised a $150M Series C at $1.5B in June 2021, and six months later sources say it is already negotiating a Series D at four times that mark.

The gap between the reported $6B in talks and where the round actually landed matters — when the financing closed as a $222M Series D at $4.2B led by Altimeter, with Sequoia, a16z and Snowflake participating, it came in below the rumored number, a rare data point on late-2021 pricing meeting early-2022 reality.

First-order effects

  • dbt Labs' valuation would roughly quadruple in under eight months if the $6B talks held, converting its June Series C momentum into late-stage scale while still an independent open-source vendor.
  • Altimeter's eventual lead role, alongside Sequoia, a16z and Snowflake, puts a cluster of top-tier and strategic money directly on dbt's cap table.

Second-order effects

  • Snowflake's participation ties the analytics workflow layer to a specific cloud warehouse ecosystem, sharpening the split against Databricks, which was simultaneously raising at $38B and pulling the same developer base toward its own lakehouse stack.
  • Rival data-tooling startups now face a bar: matching dbt's round cadence means accepting platform-strategic investors whose interests may not align with neutrality across warehouses.

Third-order effects

  • If the pattern holds, open-source data infrastructure consolidates into a small set of heavily capitalized platforms backed by the cloud warehouses they run on, with independent vendors squeezed between them.
  • The $6B-talks-to-$4.2B-close spread is an early marker of the 2022 repricing, suggesting even hot open-source franchises could no longer fully carry peak-2021 marks into new rounds.

The trend: Open-source data tooling is compressing years of fundraising into months, with cloud-warehouse strategics like Snowflake buying positions in the workflow layer atop their own platforms.

Discussion

  • @kenrickcai Kenrick Cai on x
    Scoop: Dbt Labs is in talks to raise funds at a $6 billion valuation, sources tell @Forbes, as business in the modern data stack keeps heating up. This comes just six months after the a16z/Sequoia-backed startup's last raise, which made it a unicorn. https://www.forbes.com/...