Snorkel AI Raises $350 Million at $3.5 Billion Valuation

Snorkel AI raised $350 million in a funding round led by Insight Partners and S32, bringing the company's valuation to $3.5 billion. This figure represents nearly a threefold increase from its $1.3 billion valuation in May 2025.

The San Francisco-based startup has seen its annualized revenue run-rate climb to over $350 million, a significant jump from approximately $20 million the previous year. This growth follows the September 2025 launch of a data-as-a-service business, marking a transition from selling software to providing finished datasets and reinforcement-learning environments. These services are supplied to enterprises, hyperscalers, frontier AI labs, and the U.S. federal government.

CEO Alex Ratner stated the new capital will fund the hiring of researchers and engineers, the expansion of government and enterprise operations, and entry into new industry verticals. The company expects to reach profitability within the current year.