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NetApp Buys DataPelago to Run GPU Data Processing Where the Data Already Lives

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NetApp Buys DataPelago to Run GPU Data Processing Where the Data Already Lives

July 30, 2026
NetApp has completed the acquisition of DataPelago, a California-based provider of AI data infrastructure solutions. The deal expands NetApp’s data infrastructure lineup with storage-layer GPU-accelerated processing capabilities. This eliminates the need for enterprises to migrate data to standalone compute environments prior to running AI and analytics workloads.

latest company case about NetApp Buys DataPelago to Run GPU Data Processing Where the Data Already Lives  0

NetApp’s acquisition of DataPelago centers on the latter’s flagship core technology Nucleus, a universal data processing engine that harnesses diverse CPU and GPU resources to process data directly in its original storage location. Rather than moving data from operational systems to dedicated AI or analytics clusters, Nucleus adopts software-defined acceleration to keep data in-place. This zero-copy architecture solves a critical pain point for enterprise AI deployment, cutting unnecessary costs, reducing latency, mitigating data governance risks, and lowering infrastructure overhead stemming from frequent data movement.

DataPelago states that compared with traditional disaggregated storage and compute architectures, the Nucleus engine can reduce enterprise infrastructure costs by up to 80% and accelerate data processing performance by as much as 10 times. While actual gains vary by specific workloads and deployment configurations, this technical advantage aligns with the prevailing industry shift toward proximity computing that brings processing power closer to data sources.

The advanced technology enables NetApp to embed end-to-end data preparation and processing functions into its existing storage and data management platform. The company views this acquisition as a key initiative to help enterprises unlock compliant, governance-ready data for AI applications, optimize GPU resource utilization, and refine overall AI model performance. Disjointed and fragmented data environments often leave high-cost accelerator hardware idle, as resources are occupied by tedious data pipeline building, duplication, transformation and transmission tasks instead of core model training and inference operations.

Following the close of the acquisition, DataPelago operates as a fully owned subsidiary of NetApp. Its professional engineering team and proprietary Nucleus technology will strengthen NetApp’s strategic layout in both on-premises and cloud data scenarios, where business users are increasingly demanding integrated data management and high-performance AI infrastructure solutions.

This move further advances NetApp’s long-term ecosystem cooperation strategy with industry partners including Cisco, Google Cloud, Red Hat and SK Telecom. The integration of DataPelago empowers NetApp to take a more direct role in AI data processing, particularly for enterprises seeking to minimize redundant data transmission across storage systems, GPU computing clusters and AI business platforms.

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Sandy Yang/Global Strategy Director
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