Arrcus Secures $30 Million in Funding with Nvidia and Key Investors
Arrcus, a leading hyperscale networking software and infrastructure firm based in San Jose, California, has raised $30 million in funding from Nvidia and other prominent investors, including Prosperity7 Ventures, Hitachi Ventures, General Catalyst, Liberty Global, Lightspeed, and Clear Ventures. This funding increases Arrcus’ total raised capital to $154 million and supports its 150 employees.
Shekar Ayyar, Arrcus’ Chairman and CEO, expressed enthusiasm about the investment, stating, “We are thrilled to welcome Nvidia as our latest investor and look forward to building on our collaboration. Arrcus’ premier networking software, combined with Nvidia’s AI infrastructure, will enhance operational efficiency for data centers, edge, and cloud computing environments.” He also thanked other investors for their ongoing support of Arrcus’ vision.
As investor interest grows, Arrcus has achieved significant milestones with Fortune 500 and Global 2000 clients. This new funding will facilitate platform expansion, accelerate growth, and ensure the delivery of cost-effective, transformative networking solutions. The company is focused on datacenter, 5G, edge, and hybrid/multi-cloud environments, targeting enterprises, cloud services, and network operators.
Kevin Deierling, Senior Vice President of Networking at Nvidia, noted, “Modern networks are evolving to address customer needs in the era of AI. We’re collaborating with Arrcus to provide high-performance, secure, and cost-efficient data center networking for various accelerated computing applications.”
Arrcus’ unique routing and switching platform, Arrcus Connected Edge (ACE), boasts a distributed microservices architecture that is flexible, high-performance, scalable, fully programmable, modular, and hybrid cloud-ready. This platform supports diverse deployment configurations including data processing units (DPUs) and merchant silicon, addressing a variety of use cases such as low-latency data center networking, modern edge deployments, telco access, and hybrid multi-cloud connectivity.
Abhishek Shukla, Managing Director at Prosperity7 Ventures, emphasized the potential of Arrcus, stating, "Arrcus is driving an exciting disruption in networking for datacenters and AI. We are eager to support their growth and platform adoption.”
By leveraging Nvidia's BlueField DPU, Arrcus’ ACE platform allows customers to efficiently offload, accelerate, and isolate compute-intensive networking applications like security and traffic engineering. This capability is crucial for GenAI applications, enabling high-performance, secure connectivity within data centers while enhancing utilization and power efficiency for demanding workloads.
Moreover, the collaboration between Nvidia and Arrcus aims to extend AI data center architectures through distributed configurations that support modular designs such as the Nvidia MGX platform.
Jason Hardy, CTO for AI at Hitachi Vantara, stated, “AI is driving the need for more flexible networking to maximize high-performance compute cycles. We are pleased to see Arrcus software working across leading industry hardware platforms for distributed datacenter networking.”
Alan Weckel, an analyst at 650 Group, commented, “Arrcus continues to push the boundaries of networking innovation with their ACE platform. Their unique distributed microservices approach and integration with leading hardware platforms enable diverse networking applications from the edge to datacenters to multi-clouds, distinguishing them in the industry. This new investment further validates Arrcus’ vision to provide high-performance, scalable, and cost-efficient networking solutions for AI-driven environments.”
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