Supabase, a startup that provides database infrastructure for artificial intelligence applications, has raised $500 million in new funding at a $10.5 billion valuation, including the fresh capital. The round highlights how investors are continuing to pour money into companies building the plumbing behind AI tools.
The company said the new money comes as AI-assisted coding creates strong demand for back-end systems that help developers build and scale applications more quickly. Supabase offers tools that support app development, including data storage, user authentication and scaling through its use of the open-source Postgres database.
Supabase co-founder and CEO Paul Copplestone said the company first took shape after he ran into database scaling problems at a previous startup. He said an early pitch to an investor in 2014 did not gain traction, but he revisited the idea years later after building tools to solve those problems for himself. That work eventually became Supabase, which launched in 2020 with chief technology officer Ant Wilson.
The company has since grown rapidly. Copplestone said Supabase now serves more than 250,000 customers and has 350 employees. Its user base has been boosted by the rise of AI coding products such as Anthropic’s Claude Code and OpenAI’s Codex, which let users generate applications and software through text prompts. According to Copplestone, those tools now account for most of the databases on Supabase’s platform, with Claude Code emerging as the biggest source of usage in 2026.
The valuation in the latest round is roughly twice what Supabase fetched in its previous funding, underscoring the speed of the company’s growth and the broader investor enthusiasm around AI infrastructure. The round was led by GIC and included participation from Accel, Y Combinator, Craft, Felicis, Coatue and Stripe.
Supabase’s expansion puts it in closer competition with established database and cloud providers, including MongoDB and Amazon, which offers the Aurora database service through its cloud division. The company is betting that the same trend powering AI app development will also create demand for the infrastructure underneath those applications.
Alongside the funding announcement, Supabase introduced a preview of a new product called Multigres. Copplestone said the tool is intended to help customers scale their applications to much larger workloads, including systems that could grow to the size of OpenAI or beyond.
Investors backing the company say its appeal lies in the way it connects early-stage developers to enterprise-scale systems. Arun Mathew, a partner at Accel, said one of Supabase’s strengths is that it can help users move from a small application run by a single developer to a large production system without switching platforms. He also described the company’s growth as unusually fast for the database sector.
The latest deal comes amid broader appetite for AI infrastructure startups, which have become frequent targets for investment and acquisition as companies race to build tools for the next generation of software development. For Supabase, the new financing marks another sign that database providers are becoming an important part of the AI stack.