Snowflake and OpenAI ink $200M deal to embed AI agents in cloud data

Snowflake (NYSE:SNOW) and OpenAI announced a $200 million partnership on Monday to integrate advanced artificial intelligence models directly into the Snowflake cloud data platform.

The agreement aims to help enterprises extract insights from vast troves of data by embedding generative AI capabilities where their most valuable and sensitive information is stored.

This collaboration positions both companies to compete more effectively in the rapidly intensifying battleground for enterprise AI.

Under the terms of the deal, Snowflake and the creator of ChatGPT will develop AI agents capable of managing complex workflows.

These tools will allow users to query company data using natural language and receive automated answers without writing code.

The move reflects a broader industry shift as corporations move beyond basic chatbots toward integrated agents that work directly with proprietary data under strict security and governance controls.

The partnership expands upon previous collaborations by making OpenAI’s models available within Snowflake across all three major cloud providers, reducing the prior dependence on Microsoft Azure.

Early adopters of the joint offering include design platform Canva and fitness wearable maker WHOOP, which are using the technology to accelerate research and internal decision-making.

The announcement follows aggressive scaling by rival Databricks, which recently raised $4 billion at a $134 billion valuation to fund its own "Agentbricks" framework.