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Fungible
Fungible is a Sunnyvale-based data center infrastructure firm developing custom DPU chips for hyperscale cloud providers.
Fungible
Fungible was founded in 2014 by former Cisco executive Pradeep Sindhu, who previously co-founded Juniper Networks. The firm's core technology is a data processing unit, or DPU, that offloads networking, security, and storage functions from the CPU to a specialized chip. This architecture targets hyperscale data centers and cloud providers. Fungible's strategy centers on selling its DPU chips and software stacks to cloud infrastructure buyers. The firm's portfolio includes the Fungible FS1600 storage server and the F1 DPU. Geographic focus is primarily North America, with engineering operations in Sunnyvale and Bangalore, India. In January 2022, Fungible raised $200 million from SoftBank Vision Fund 2 and other investors, per the firm's announcement. The firm has not disclosed a current AUM figure or team size. It operates as a venture-backed startup rather than a traditional asset manager. Adjacent operations are limited to its research and development arm in India. The firm's structural differentiator is its DPU-first model, which competes with larger players like NVIDIA and Intel. Fungible aims to create a new category of compute specialization for large-scale data center operators. The company was acquired by Microsoft in January 2023 for a reported sum of $190 million, per public record.
General information
Firm type
Asset Manager
Year founded
—
AUM
Undisclosed
Location
Region
North America
Country
United States
City
Sunnyvale
Corporate office
Sunnyvale, Santa Clara, United States
Frequently asked questions
What was Fungible's core technology?
Fungible developed a data processing unit (DPU) that offloads networking, security, and storage tasks from the central processor. The firm's F1 DPU and FS1600 storage server were designed for hyperscale data centers, targeting improved performance and efficiency in cloud infrastructure.
Who founded Fungible?
Fungible was founded in 2014 by Pradeep Sindhu, who previously co-founded Juniper Networks in 1996. Sindhu had also been a principal architect at Sun Microsystems.
How was Fungible funded?
Fungible raised venture capital from investors including SoftBank Vision Fund 2, Norwest Venture Partners, and battery ventures, per public filings.
Is Fungible still an independent company?
No. Microsoft acquired Fungible in January 2023 for approximately $190 million, per public record.
What was the business model of Fungible?
Fungible sold DPU chips and software stacks to cloud providers and data center operators. It also offered the FS1600 storage server based on its DPU architecture.
What markets did Fungible serve?
Fungible targeted hyperscale cloud providers and large enterprise data centers, primarily in North America and with engineering operations in India.
Does Fungible still operate as a separate entity after acquisition?
Post-acquisition, Fungible's team and technology were integrated into Microsoft's Azure infrastructure division. Its DPU technology is now part of Microsoft's data center hardware roadmap.
Profile maintained by Altss using OSINT (open-source intelligence), regulatory filings, licensed data partners, and verified direct submissions. Read the methodology. Last updated: . Continuous refresh with full update cycles at least every 30 days.
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