Snowflake’s Latest Acquisition Targets $350B Market with Enterprise-Grade Postgres for AI Development

In a significant move to enhance its offerings, Snowflake, the AI Data Cloud company, has announced its intention to acquire Crunchy Data, a prominent provider of trusted open-source Postgres technology. This acquisition, revealed during the Snowflake Summit 2025, aims to integrate Crunchy Data’s enterprise-grade PostgreSQL database into the Snowflake ecosystem, thereby empowering enterprises to build and deploy secure, compliant AI agents and applications.

Enhancing Enterprise-Grade Solutions

As organizations across various sectors increasingly seek robust and secure Postgres solutions, Snowflake Postgres will leverage Crunchy Data’s established reputation for enterprise readiness, particularly within FedRAMP-compliant environments. This integration promises to deliver full Postgres compatibility, essential for production applications, while maintaining the governance and security standards necessary for mission-critical AI applications.

PostgreSQL has emerged as the most popular database among developers, with nearly half of all developers utilizing it. Snowflake Postgres aims to simplify the development, deployment, and scaling of production-ready AI applications. It harnesses Crunchy Data’s technology, designed not only for rapid experimentation but also for the entire lifecycle of enterprise workloads. This includes access to vital performance metrics, robust scaling capabilities, and a powerful interface that accelerates app development.

With Snowflake Postgres, existing customers and partners, such as Blue Yonder and LandingAI, can expect to accelerate their operations and gain a competitive edge in the rapidly evolving AI landscape.

Vivek Raghunathan, SVP of Engineering at Snowflake, expressed the company’s vision to create a comprehensive data and AI platform, emphasizing that the acquisition of Crunchy Data is a strategic step towards fulfilling this goal. He noted the substantial market opportunity, estimated at 0 billion, highlighting the necessity for integrating Postgres into the Snowflake AI Data Cloud.

Paul Laurence, Co-Founder of Crunchy Data, shared his enthusiasm about the acquisition, stating that their commitment to stringent security and compliance has made them a trusted partner for organizations in regulated industries. He emphasized the potential for enhanced confidence and security for customers running mission-critical workloads on the Snowflake platform.

Upon completion of this acquisition, Snowflake plans to reinforce its commitment to the Postgres community while supporting existing Crunchy Data customers. The integration of Crunchy Data’s capabilities into Snowflake Postgres represents a significant advancement in Snowflake’s journey to support transactional data, complementing its existing offerings such as Unistore, which unifies transactional and analytical data within a single database.

Snowflake Postgres is set to enter private preview soon, marking a new chapter in the integration of PostgreSQL technology within the Snowflake ecosystem.

Comments on the News:

  • Chris Burchett, Senior Vice President of Generative AI at Blue Yonder, remarked, “Snowflake’s platform serves as the foundation for our vast amount of supply chain data. Bringing PostgreSQL technology into the Snowflake ecosystem is an opportunity for our development teams to accelerate and simplify benefits for our customers.”

  • Dan Maloney, CEO of LandingAI, noted, “Access to a PostgreSQL database directly within Snowflake has the potential to be incredibly impactful for our team and our customers, as it would allow us to securely deploy our Snowflake Native App, LandingLens, into our customers’ accounts.”

The closing of the acquisition is contingent upon the receipt of required regulatory approvals and customary closing conditions.

Learn More:

  • Discover more about Crunchy Data and Snowflake Postgres on the Snowflake blog.

  • Stay updated on innovations and announcements from Snowflake Summit 2025 on Snowflake’s Newsroom.

  • Follow the latest news and announcements from Snowflake on LinkedIn and X, and join the conversation at #SnowflakeSummit.

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Snowflake's Latest Acquisition Targets $350B Market with Enterprise-Grade Postgres for AI Development