CapitalG, Nvidia Pursue Vast Data Investment Valuing AI Startup at $30 Billion

Alphabet’s growth-stage investment arm CapitalG and existing backer Nvidia are negotiating an investment in artificial-intelligence infrastructure provider Vast Data that could value the New York-based startup at as much as $30 billion, according to people familiar with the talks. The round, expected to close within weeks, aims to raise several billion dollars from technology companies, private-equity firms and venture investors. A $30 billion price tag would more than triple Vast Data’s $9.1 billion valuation from its last funding in 2023, positioning it among the world’s most highly valued private AI companies. Vast Data builds flash-based storage systems and software that shuttle information between graphics-processing units, including those made by Nvidia, for customers such as Elon Musk’s xAI and cloud-computing provider CoreWeave. Vast Data generated about $200 million in annual recurring revenue by January 2025, is free-cash-flow positive and projects ARR to rise to roughly $600 million next year, a person with knowledge of the finances said. The company, which has raised about $380 million since its 2016 founding, has signaled it could pursue an initial public offering when market conditions permit.