CapitalG, the venture arm of Alphabet, and Nvidia are reportedly in negotiations to invest in Vast Data, an AI infrastructure provider, potentially valuing the company at up to $30bn.
According to Reuters, two anonymous sources indicated that the funding round aims to secure several billion dollars from major tech and investment firms. This move could potentially establish Vast Data as a notable player in the AI sector.
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Vast Data, based in New York, specialises in storage solutions tailored for extensive AI data centres. The technology is said to facilitate streamlined data transfer between graphics processing units (GPUs), including those made by Nvidia.
Its architecture leverages flash storage devices and standard hardware alongside proprietary software to manage data access and movement efficiently.
The company claims that its technology can lower the costs of developing and operating large AI models. In May 2025, Vast Data launched its VAST AI Operating System designed to enhance AI processing capabilities using its disaggregated shared-everything (DASE) architecture.
Vast Data’s clientele features companies like CoreWeave and Elon Musk’s xAI. This makes it one of the significant players in the AI supply chain and an attractive acquisition prospect, according to industry analysts.
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By GlobalDataWhile Nvidia has opted not to comment, neither Vast Data nor CapitalG have responded to inquiries from Reuters regarding the new funding round.
TechCrunch initially covered Vast Data’s funding activities, however, details concerning the potential $30bn valuation and involvement of CapitalG and Nvidia had not been previously disclosed.
Vast Data’s CEO Renen Halak stated that the company is cash flow positive, achieving $200m in annual recurring revenue (ARR) by January 2025. Projections estimate this figure could rise to $600m in 2026.
To date, Vast Data has raised approximately $380m, with its most recent funding round in 2023 valuing the company at $9.1bn.
The company has hinted at a possible initial public offering (IPO) when conditions are favourable. Despite no immediate plans for listing, market observers regard Vast Data as a probable IPO candidate.
