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Snowflake has announced it will acquire Crunchy Data, a leading provider of cloud-based PostgreSQL database solutions, for approximately $250 million. This strategic move will boost Snowflake’s AI Data Cloud with enterprise-ready Postgres, expand its AI agent capabilities, and intensify the competition with Databricks and other cloud data giants. Here’s everything you need to know: the deal, technology, history, market impact, and what it means for the future of cloud databases and AI-driven applications.
CNBC: Snowflake to Buy Crunchy Data for About $250 Million
📰 Breaking News: The $250 Million Crunchy Data Acquisition
🗓️ June 2, 2025: Snowflake announces a definitive agreement to acquire Crunchy Data for about $250 million.
💼 Crunchy Data: Founded in 2012, Crunchy Data delivers cloud-hosted PostgreSQL solutions with enhanced security, compliance, and performance for enterprise and government clients.
🌐 Clients: UPS, SAS, Moneytree, U.S. Department of Homeland Security, and hundreds of others.
💵 Revenue: Over $30 million annually.
🤝 Team: About 100 employees will join Snowflake.
🔒 Security: Crunchy Data is known for its FedRAMP-compliant, enterprise-grade Postgres deployments, making it a trusted partner in regulated industries.
Crunchy Data: Company Mission & History
💼 Crunchy Data: Founded in 2012, Crunchy Data delivers cloud-hosted PostgreSQL solutions with enhanced security, compliance, and performance for enterprise and government clients.
🌐 Clients: UPS, SAS, Moneytree, U.S. Department of Homeland Security, and hundreds of others.
💵 Revenue: Over $30 million annually.
🤝 Team: About 100 employees will join Snowflake.
🔒 Security: Crunchy Data is known for its FedRAMP-compliant, enterprise-grade Postgres deployments, making it a trusted partner in regulated industries.
🔍 Why Is Snowflake Buying Crunchy Data? Strategic Rationale & AI Vision
🤖 AI Agents & Applications: The acquisition is designed to supercharge Snowflake’s AI Data Cloud, enabling developers to build, deploy, and scale AI agents and transactional apps with full PostgreSQL compatibility.
🛠️ Postgres Dominance: PostgreSQL is now the world’s most popular database among developers, used by 49% according to Stack Overflow. Crunchy Data’s tech offers enhanced performance, security, and ease of use.
🧑💻 Developer Focus: Snowflake Postgres will let developers leverage the full power of Postgres with the governance, security, and operational standards needed for mission-critical AI workloads.
⚡ Competitive Edge: The deal comes as Databricks acquires Neon (another Postgres startup) for $1 billion, escalating the cloud data platform arms race.
🔗 Integration: Crunchy Data’s technology will form the foundation of “Snowflake Postgres,” available soon in private preview.
CRN: Snowflake Expands Postgres Capabilities With Crunchy Data Buy
🛠️ Postgres Dominance: PostgreSQL is now the world’s most popular database among developers, used by 49% according to Stack Overflow. Crunchy Data’s tech offers enhanced performance, security, and ease of use.
🧑💻 Developer Focus: Snowflake Postgres will let developers leverage the full power of Postgres with the governance, security, and operational standards needed for mission-critical AI workloads.
⚡ Competitive Edge: The deal comes as Databricks acquires Neon (another Postgres startup) for $1 billion, escalating the cloud data platform arms race.
🔗 Integration: Crunchy Data’s technology will form the foundation of “Snowflake Postgres,” available soon in private preview.
📈 Market Impact: Stock, AI Trends & Industry Reactions
📈 Stock Market: Snowflake’s stock rose 1.8% to $135.60 on news of the deal, with trading volume spiking to 5.2 million shares.
💹 Data & Crypto: The acquisition also triggered a surge in trading for data-related crypto tokens like Filecoin and Arweave, reflecting broader interest in scalable data solutions.
🏦 Industry Trend: Tech giants are racing to acquire data startups that enhance AI agent capabilities and cloud data management.
🤝 Customer Quotes: Blue Yonder and LandingAI praised the move, citing the benefits of deploying Postgres-powered AI apps securely and efficiently within the Snowflake ecosystem.
🧑💼 Summit Buzz: The news broke during Snowflake Summit 2025, where CEO Sridhar Ramaswamy and OpenAI’s Sam Altman discussed the future of AI and cloud data.
Blockchain.News: Snowflake Acquires Crunchy Data – Market Impact
💹 Data & Crypto: The acquisition also triggered a surge in trading for data-related crypto tokens like Filecoin and Arweave, reflecting broader interest in scalable data solutions.
🏦 Industry Trend: Tech giants are racing to acquire data startups that enhance AI agent capabilities and cloud data management.
🤝 Customer Quotes: Blue Yonder and LandingAI praised the move, citing the benefits of deploying Postgres-powered AI apps securely and efficiently within the Snowflake ecosystem.
🧑💼 Summit Buzz: The news broke during Snowflake Summit 2025, where CEO Sridhar Ramaswamy and OpenAI’s Sam Altman discussed the future of AI and cloud data.
🧬 Crunchy Data: Company History, Mission & Open Source Impact
🧬 Founded: 2012, with a mission to make open source PostgreSQL the optimal choice for security-conscious organizations.
🧑🔬 Open Source Stewardship: Crunchy Data is a major contributor to the Postgres community, building tools and publishing knowledge to empower developers and DBAs.
🔒 Security Focus: Known for FedRAMP-compliant deployments, Crunchy Data serves demanding enterprise and government workloads.
🌍 Community Commitment: Snowflake says it will continue supporting the Postgres open source community and all existing Crunchy Data customers.
Crunchy Data: About & Open Source Mission
🧑🔬 Open Source Stewardship: Crunchy Data is a major contributor to the Postgres community, building tools and publishing knowledge to empower developers and DBAs.
🔒 Security Focus: Known for FedRAMP-compliant deployments, Crunchy Data serves demanding enterprise and government workloads.
🌍 Community Commitment: Snowflake says it will continue supporting the Postgres open source community and all existing Crunchy Data customers.
🤖 Snowflake Postgres: What’s Coming for Developers & AI Agents
🤖 Snowflake Postgres: An “AI-ready, enterprise-grade and developer-friendly” PostgreSQL database, soon to be available in private preview.
⚙️ Features: Full Postgres compatibility, built-in performance metrics, robust scaling, security, and operational standards.
🧠 AI Agent Integration: Designed to make it easier to build, deploy, and scale production-ready AI agents and apps.
🔄 Complements Unistore: Snowflake Postgres complements Unistore, which unifies transactional and analytical data within a single database.
🛡️ Enterprise Ready: Targeted at mission-critical workloads in regulated industries, with out-of-the-box access to essential performance and security features.
BusinessWire: Snowflake Acquires Crunchy Data – Official Release
⚙️ Features: Full Postgres compatibility, built-in performance metrics, robust scaling, security, and operational standards.
🧠 AI Agent Integration: Designed to make it easier to build, deploy, and scale production-ready AI agents and apps.
🔄 Complements Unistore: Snowflake Postgres complements Unistore, which unifies transactional and analytical data within a single database.
🛡️ Enterprise Ready: Targeted at mission-critical workloads in regulated industries, with out-of-the-box access to essential performance and security features.
💡 FAQ: What Developers, Enterprises & Investors Want to Know
💡 FAQ:
TechCrunch: Snowflake to Acquire Database Startup Crunchy Data
- Why is Postgres so important? It’s the most popular open-source database for developers, powering modern apps and AI workloads.
- What is Snowflake Postgres? A new, fully managed PostgreSQL service in Snowflake’s AI Data Cloud, built on Crunchy Data’s tech.
- How does this affect existing Crunchy Data customers? Snowflake will continue to support them and invest in the Postgres community.
- How does this compare to Databricks’ Neon deal? Both Snowflake and Databricks are racing to offer best-in-class Postgres for AI, but Snowflake’s integration aims for deeper enterprise security and compliance.
- What’s next for Snowflake? Expect rapid rollout of Snowflake Postgres, more AI agent features, and increased competition in the cloud data market.
- Will this help with AI agent development? Yes—Snowflake Postgres is designed to simplify building, deploying, and scaling AI agents and transactional apps.
©️ 2025 | Snowflake–Crunchy Data Acquisition: Complete Guide for US Developers, Enterprises & Tech Investors
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