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NetApp, an intelligent data infrastructure company, has acquired DataPelago, a California-based AI data infrastructure startup, to enable zero-copy activation of enterprise data for AI by bringing GPU-accelerated processing directly to the storage layer. The acquisition addresses a critical bottleneck in enterprise AI deployment: preparing, governing, and activating data fast enough to put AI into production. DataPelago’s core technology, Nucleus, is a universal data processing engine that uses heterogeneous accelerated computing across CPUs and GPUs to process data where it lives—at the storage layer, rather than moving it to external compute clusters. This approach reduces infrastructure costs by up to 80% and delivers performance up to 10 times faster than conventional methods, eliminating the need to copy data from operational systems to AI systems. NetApp CEO George Kurian said the deal extends NetApp’s ability to help customers understand and process data with the agility required to unleash competitive advantage. DataPelago founder and CEO Rajan Goyal noted that enterprises have invested billions in GPUs and AI models, but fragmented data leaves computing resources idle. NetApp CPO Syam Nair emphasized that the combination enables true zero-copy activation. Following the acquisition, DataPelago will operate as a wholly-owned subsidiary of NetApp. The deal follows NetApp’s recent partnerships with Cisco, Google Cloud, Red Hat, and SK Telecom, signaling continued growth in AI infrastructure.