Databricks co-founder shares his secrets for winning big enterprises customers
Databricks co-founder Arsalan Tavakoli-Shiraji says startups seeking large enterprise customers need more than strong technology: they must understand buyers, build trusted relationships and be ready for customers’ processes. His advice matters because enterprise deals can drive rapid growth, but may stall when startups fail to address legal, contractual or security requirements.
Databricks, now valued at $190 billion and serving more than 70% of Fortune 500 companies, initially struggled to reach major buyers such as UBS. Partnering with Microsoft helped it gain access to sales teams and use Microsoft’s sales terms. For AI products, Tavakoli-Shiraji says businesses focus on “four Cs”: context, choice of models, cost and control.
In short
- Strong technology alone rarely wins enterprise deals.
- Microsoft helped Databricks reach major customers.
- AI buyers focus on context, choice, cost and control.
Explained simply
Databricks is a software company that helps organisations store and analyse large amounts of data. Its customers include many of the biggest US companies, and co-founder Arsalan Tavakoli-Shiraji has spoken about the challenges startups face when trying to sell to large businesses.
A strong product may not be enough to win an enterprise customer. Large organisations often have detailed legal, security and purchasing processes, and startups need to understand how buyers work and build trust with them. These deals can bring substantial growth, but can take longer if a supplier is not prepared for those requirements.
Partnerships can help startups reach buyers and navigate established sales processes. For artificial intelligence products, Tavakoli-Shiraji says businesses weigh the information the system can use, which models are available, the cost and the degree of control they retain.