June 30, 2025
Analyst ReportDatabricks Gets More Azure-Entrenched with Extended Partnership
- Microsoft and Databricks have extended their strategic partnership and announced more Azure integrations.
- The extension eases concern about Azure Databricks, which competes directly with Fabric.
Microsoft and Databricks announced an early extension to their existing strategic partnership along with several announcements about new Databricks integrations with Microsoft’s AI Foundry and Power Platform services and a preview of SAP Databricks on Azure. The partnership extension shows a strong two-way commitment between the companies and could address some customer concerns about Microsoft’s commitment to Azure Databricks in light of its focus on Fabric, its own analytics offering that competes with but also complements Databricks.
Databricks in the Microsoft Ecosystem
Databricks is a popular supplier of data analytics, orchestration, AI/machine learning, and collaboration tools based on Lakehouse architectures. Databricks was founded by the creators of Apache Spark and is designed for handling large-scale data processing workloads. The Databricks offering is available on Azure, AWS, and GCP.
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