Vast Data Eyes $30 Billion Valuation in Major AI Storage Funding Round

Vast Data, a New York-based startup specializing in AI storage technology, is reportedly in advanced talks to secure a major funding round that could value the company at $30 billion. This valuation, a significant jump from its $9.1 billion valuation in 2023, highlights the growing investor confidence in the AI infrastructure market. The investment is expected to involve Alphabet’s venture capital arm, CapitalG, and existing backer Nvidia, both of whom recognize the strategic importance of Vast Data’s innovations in enabling high-performance AI operations [1].

At the heart of Vast Data’s offering is a unified data platform that eliminates traditional tiered storage systems, allowing AI data centers to access vast datasets rapidly. This technology is crucial for handling the increasing complexity of AI models, which require high-performance, scalable, and cost-effective storage solutions. By streamlining data access, Vast Data’s platform enhances the speed and efficiency of AI training and inference, making it a foundational component of next-generation AI applications [1].

The involvement of CapitalG and Nvidia underscores the deep integration between AI compute and AI storage. Nvidia’s GPUs power the computational needs of AI models, while Vast Data’s storage solutions ensure these models have immediate access to the data they require to function optimally. For CapitalG, the investment aligns with Alphabet’s broader strategy to support core AI technologies. The combined backing from these industry leaders signals a strong endorsement of Vast Data’s role in shaping the future of AI infrastructure [1].

The company’s financial performance also supports its high valuation. Vast Data has raised approximately $380 million in funding to date and is free cash flow positive. As of January 2025, it reported $200 million in annual recurring revenue, with projections to reach $600 million in the following year. These figures, along with the anticipated $30 billion valuation, position Vast Data as a rare high-growth company that is not only capitalizing on the AI boom but actively building the infrastructure to sustain it [1].

This funding round has broader implications for the tech and investment landscape. It shifts investor focus from application-layer AI to the foundational technologies that enable it, reinforcing the importance of AI storage and compute infrastructure. The trend mirrors historical patterns in tech investment, where foundational “picks and shovels” companies gain prominence during periods of rapid innovation. This development also underscores the intensity of capital flows into AI and could influence related sectors, including cryptocurrency, where AI infrastructure plays a growing role [1].

The potential $30 billion valuation for Vast Data is more than just a financial milestone—it reflects the company’s critical role in powering the global AI revolution. As artificial intelligence becomes increasingly embedded in industries and daily life, the demand for efficient and scalable data storage will continue to rise. Vast Data’s technology is at the forefront of this evolution, providing the infrastructure necessary to support the next generation of AI data centers. This funding round is a clear indicator that foundational AI technologies are now commanding premium valuations, solidifying their position as essential components of the future digital economy [1].

Source: [1] Vast Data Unleashes Potential with Staggering $30 Billion Valuation in AI Funding Round (https://coinmarketcap.com/community/articles/688cc4cc53261d06bfcd14dd/)