Microsoft confirms Fungible acquisition

data processing unit (DPU) company Fungible

Microsoft has confirmed that it has acquired data processing unit (DPU) company Fungible.

The company this week announced the acquisition of Fungible, a provider of composable infrastructure aimed at accelerating networking and storage performance in data centers with high-efficiency, low-power DPUs.

“Fungible’s technologies help enable high-performance, scalable, disaggregated, scaled-out data center infrastructure with reliability and security,” Microsoft said. “The Fungible team will join Microsoft’s data center infrastructure engineering teams and will focus on delivering multiple DPU solutions, network innovation, and hardware systems advancements.”

Terms of the deal weren’t shared, but early reports of the deal, last month, put the price at around $190 million.

Data processing units (DPUs) are a relatively new class of programmable processor, evolved from intelligent network cards (smart NICs). They manage data moving through a data center, offloading networking tasks and helping optimize application performance.

Santa Clara-based Fungible was founded in 2015 as the first company to pitch such a product to the cloud, and managed to raise over $370 million.

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