VAST Data Secures $118 Million in Series E Funding to Accelerate AI Infrastructure Development
VAST Data, a pioneering company focused on creating an AI-centric infrastructure layer, announced today that it has raised $118 million in a Series E funding round led by Fidelity Management & Research Company. This investment round also included participation from New Enterprise Associates (NEA), BOND Capital, and Drive Capital, elevating the company's valuation nearly threefold to $9.1 billion, up from $3.7 billion during its Series D in 2021.
VAST Data intends to utilize the new capital to enhance its infrastructure, positioning data as the core of intelligent systems that can think, react, and discover. This strategic focus will help organizations tackle significant data challenges and advance technology, economics, social dynamics, and scientific research. Additionally, reports suggest that a portion of the funding will be allocated for a stock buyback targeted at existing shareholders.
VAST Data's Unified Data Platform
Founded in 2016 with the objective of simplifying enterprise data storage, VAST Data has developed a unified platform that integrates storage, database, and containerized computing services into a single scalable software stack. This innovative platform streamlines data management and processing, supported by partnerships with industry leaders like Nvidia and CoreWeave. It enables rapid capture, synthesis, and analysis of vast amounts of data, laying the groundwork for next-generation AI-driven applications.
Key capabilities of the platform include AI-assisted discovery, where machines replicate the discovery process to tackle critical global challenges such as life-saving treatments, achieving specialized results that previously took decades, now in mere days.
“Our continuous computing engine combines the VAST DataStore, which serves as the file and object layer, with our next-generation DataBase and DataEngine—an execution environment built on event streams and triggers. This technology seamlessly operates from edge to cloud, creating what we refer to as the VAST DataSpace,” stated Jeff Denworth, co-founder of VAST Data, during a media briefing on the unified platform's launch.
The exabyte-scale DataStore provides a storage architecture that captures and processes large batches of unstructured natural data without the need for storage tiering. Once the data is captured, the VAST DataBase applies structure to the information, enabling fast and efficient querying. This innovative system merges the features of databases, data warehouses, and data lakes, eliminating tradeoffs between real-time data capture, cataloging, and analytics.
The platform's intelligence empowers users to gain insights from data by utilizing the VAST DataEngine, a global execution framework that consolidates data centers and cloud regions. It supports programming languages such as SQL and Python, alongside an event notification system and model training capabilities that streamline AI pipeline management.
Growing Market Presence
VAST Data has already established a substantial global footprint and customer base. Since the launch of its unified platform, which emphasizes AI, the company has solidified its market position, serving major enterprises like Zoom, Allen Institute, and Pixar Animation Studios. In the financial quarter ending in September, VAST Data reported that its cumulative software bookings exceeded $1 billion, three-fold year-over-year growth, and has maintained positive cash flow for the last 12 quarters with a gross margin nearing 90%.
With this latest funding, VAST Data aims to strengthen its platform, setting the stage for future AI advancements. However, it remains to be seen how the company will further enhance its offerings to capture the interest of the rapidly emerging AI industry. Questions posed by media representatives regarding these developments remain unanswered at this time.
“To make a significant impact in the age of AI and deep learning, it’s essential to have not only vast amounts of data but also high-quality, well-organized data available at the right place and time. The VAST Data Platform provides the AI infrastructure necessary for automated discovery to address some of humanity's most complex challenges,” said Renen Hallak, CEO and co-founder of VAST Data.
According to statistics from IDC’s worldwide AI spending guide, global expenditures on AI-centric systems are projected to grow at double-digit rates, surpassing $308 billion by 2026.
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