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NetApp to acquire DataPelago to accelerate AI at the storage layer

Jul 16, 2026, 12:33 PM EDT1 sourcesAI-analyzed
Why it may matterVerify against the original reporting

Direct acquisition of an AI data infra innovator could expand NetApp’s AI product stack, improve gross margins via infra efficiency, and attract more enterprise AI deployments. However, absence of deal terms and execution risk temper gains; historical M&A in tech often provides upside when integration accelerates revenue synergies.

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What happened, with direct paths to the underlying reporting

NetApp announced the acquisition of DataPelago, a California-based AI data infrastructure company, to embed GPU-accelerated processing directly at the storage layer and enable zero-copy activation of data for AI. DataPelago’s Nucleus engine promises up to 80% infra cost reductions and up to 10x performance, potentially expanding NetApp’s AI workloads and reinforcing cloud/partner ecosystems.

  • NetApp to acquire DataPelago to GPU-accelerate AI at storage layer.
  • Nucleus enables zero-copy activation; infra costs cut up to 80%, speed up to 10x.
  • DataPelago becomes NetApp subsidiary; follows Cisco, Google Cloud, Red Hat, SK Telecom ties.

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