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Snowflake (SNOW) to Acquire Crunchy Data, Advancing AI Data Cloud and PostgreSQL Capabilities | SNOW Stock

By: Mkeshav

On: Tuesday, June 3, 2025 9:43 AM

Kohoku Kogyo

Snowflake Inc. (NYSE: SNOW), a leader in cloud-based data warehousing and analytics, has announced its intent to acquire Crunchy Data, a prominent provider of open-source PostgreSQL technology.

The acquisition, valued at approximately $250 million, marks a strategic move to expand Snowflake’s AI Data Cloud offerings and accelerate its push into the enterprise-grade database market.

Crunchy Data is recognized for its robust, secure, and scalable PostgreSQL solutions, serving high-profile clients in both the private and public sectors, including Fortune 500 financial institutions and U.S. federal agencies. By integrating Crunchy Data’s technology, Snowflake aims to launch “Snowflake Postgres,” an AI-ready, enterprise-grade PostgreSQL database designed to meet the growing demand for secure, compliant, and high-performance data infrastructure.

The acquisition aligns with Snowflake’s vision to deliver the world’s most trusted and comprehensive data and AI platform. Senior Vice President of Engineering Vivek Raghunathan emphasized that this move addresses a $350 billion market opportunity and responds to increasing customer demand for PostgreSQL integration within the Snowflake AI Data Cloud.

\The new offering will enable organizations to streamline data migration, run mission-critical workloads, and build AI-powered applications with enhanced governance and operational standards.

Snowflake’s initiative comes amid a wave of consolidation in the data infrastructure sector, as major technology firms race to bolster their platforms for the era of AI agents and autonomous applications. Competitors like Databricks have also made similar moves, highlighting the strategic importance of PostgreSQL and cloud-native database technologies.

The deal, announced at the Snowflake Summit 2025, is subject to regulatory approvals and customary closing conditions. Following the news, Snowflake’s stock rose more than 2%, reflecting strong market confidence in the company’s growth strategy and innovation trajectory.

With the planned introduction of Snowflake Postgres, customers and partners—including Blue Yonder and LandingAI—are expected to benefit from faster development cycles, improved efficiency, and a competitive edge in deploying AI-driven solutions.

The integration of Crunchy Data’s expertise is set to further solidify Snowflake’s position as a foundational platform for enterprise data and artificial intelligence.

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