Databricks and Microsoft Extend Azure AI Partnership Into 2030s

July 27, 2026
Databricks and Microsoft expanded their Azure partnership into the 2030s, with new integrations for Databricks Genie and Unity AI Gateway across Microsoft products.

Databricks and Microsoft Corporation announced in a press release that they have expanded their strategic partnership into the 2030s, with Databricks increasing its use of Azure Databricks for core business operations and analytics.

Databricks will also expand its use of Azure Cobalt, Microsoft's Arm based infrastructure, for agent and data intensive workloads. The company currently uses Cobalt 100 and plans to adopt Cobalt 200, which Microsoft says offers up to 50% better performance and includes memory encryption by default.

The companies said they will continue integrating the Databricks Data and AI Platform across Microsoft products. Planned integrations include Databricks Genie and Unity AI Gateway across Microsoft Entra, Azure Data Lake Storage, Microsoft OneLake, Power BI, Microsoft Purview, Microsoft Foundry, Power Platform, Microsoft 365, Teams, and Copilot.

Azure Databricks is used by customers including Banco Bradesco, the Cincinnati Reds, Electrolux, SMBC, and Unilever for data, analytics, and AI workloads.

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