Snowflake Acquisition Expands Postgres Capabilities Of Its AI Data Cloud

Snowflake is buying Crunchy Data, a provider of PostgreSQL database products, technology and services that will serve as the foundation for Snowflake’s new Postgres offering.

Snowflake is expanding the Postgre database services of its AI Data Cloud platform with a deal to acquire Crunchy Data, a provider of open-source PostgresSQL technology, products and support services.

With the acquisition, Snowflake will offer Snowflake Postgres, an “AI-ready, enterprise-grade and developer-friendly” PostgreSQL database on the company’s AI Data Cloud, Snowflake said in an announcement of the Crunchy Data acquisition.

Snowflake Postgres will provide developers with the full capabilities of the PostgreSQL database combined with the governance, security and operational standards needed for building and running mission-critical AI applications, according to the company.

The acquisition news comes on the eve of Snowflake Summit 2025, the company’s annual conference being held this week in San Francisco.

“Our vision is to deliver the world’s most trusted and comprehensive data and AI platform to our customers. Today’s announcement of our proposed acquisition of Crunchy Data represents another reason why Snowflake is the ultimate destination for all enterprise data and AI needs,” said Vivek Raghunathan, Snowflake senior vice president of engineering, in a statement. “We’re tackling a massive $350 billion market opportunity and a real need for our customers to bring Postgres to the Snowflake AI Data Cloud.”

PostgreSQL is a popular open-source database for developing and running data-intensive, enterprise-scale applications and, more recently, AI applications and AI agents. The database is published by the PostgreSQL Global Development Group and the database is available under the PostgreSQL “free and open-source software” license.

PostgreSQL is the foundation for a number of commercial databases across the IT industry including EDB Postgres AI, Amazon Web Services’ Relational Database Service (RDS) and the Amazon Aurora database. According to the 2024 Stack Overflow developer survey, 48.7 percent of all developers use PostgreSQL and 51.9 percent of all professional developers do so.

Crunchy Data, founded in 2012 and headquartered in Charleston, S.C., has a product portfolio that includes Crunchy Bridge, a fully managed edition of the Crunchy Postgres database on AWS, Microsoft Azure or the Google Cloud Platform. Offered self-managed editions include the production-ready Crunchy Postgres, Crunchy Postgres for Kubernetes, and Crunchy Hardened Postgres to support advanced security requirements. In April the company debuted Crunchy Data Warehouse.

“We built Crunchy Data with the vision to become a Postgres solution of choice for leading enterprise organizations. Our deep-rooted commitment to stringent security and comprehensive compliance has made us the trusted Postgres partner for organizations across regulated industries, including federal agencies, Fortune 500 financial institutions and high-scale SaaS companies,” said Paul Laurence, Crunchy Data co-founder, in a statement.

Snowflake cited Crunchy Data’s essential performance metrics, robust scaling capabilities and “powerful” user interface as competitive advantages for developers. The company said Crunchy Data’s successful track record within FedRAMP compliant environments is another plus from the acquisition.

Integrating Crunchy Data’s Technology

Once the acquisition is closed, Snowflake will integrate the Crunchy Data technology into the Snowflake Postgres offering to manage the entire lifecycle of building, deploying and operating enterprise PostgreSQL workloads. Snowflake Postgres will be “available soon” in private preview, Snowflake said.

“Snowflake’s platform serves as the foundation for Blue Yonder’s 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,” said Chris Burchett, senior vice president of generative AI at Blue Yonder, a developer of end-to-end supply chain management applications, in a statement.

“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’ account, said Dan Mahoney, CEO of LandingAI, in a statement. “This integration is a key building block in making it simpler to build, deploy, and run AI applications directly on the Snowflake platform.

Snowflake said its Postgres offerings represent “a further advancement” in the company’s support of transactional data that began with Unistore, which unifies transactional and analytical data within a single database on the Snowflake platform. The company said Snowflake Postgres complements Unistore by providing “an enterprise-ready solution for transactional applications” that require PostgreSQL compatibility.

Terms of the acquisition were not disclosed. A report on CNBC quoted “a person familiar with the matter” as saying the acquisition price tag was “about $250 million.” Snowflake said closing the acquisition deal is subject to receipt of required regulatory approvals and customary closing conditions.

Snowflake also said it will make a “strong commitment to the Postgres community” and continue to support existing Crunchy Data customers.