Microsoft Acquires Fungible to Boost Data Center Efficiency and Performance

Microsoft has announced its acquisition of Fungible, a California-based company specialising in developing various forms of hardware and software to improve data centre efficiency. 

This move demonstrates Microsoft’s commitment to innovative data centres. The company has not only opened new data centres around the world recently but has also released tools such as System Center 2022 to further improve the data centre management experience.

Fungible developed the Data Processing Unit (DPU) in 2016 with the goal of improving the computational efficiency of data-centric operations within server nodes in scale-out data centres. Microsoft believes that the improvements made by Fungible through the development of the DPU will allow the company’s team, along with Microsoft’s own infrastructure engineering team, to innovate data centre infrastructure and ensure improved network and storage performance.

In a press release, the Fungible team expressed their hopes regarding the acquisition, stating that they are “proud to be part of a company that shares Fungible’s vision and will leverage the Fungible DPU and software to enhance its storage and networking offerings.” They also thanked their employees, customers, partners, and investors for their support.

Security, reliability, and scalability will continue to be key focuses as Microsoft adds to its long-term data centre innovation-focused investment portfolio. By acquiring Fungible and its innovative technologies, Microsoft is positioning itself to further improve the efficiency and performance of its data centres, ensuring that it can meet the growing demand for data storage and processing.

Meet Adwaith, a tech-savvy editor who's all about gadgets and gizmos. With a degree in Computer Engineering and a passion for all things tech, he's been guiding readers through the world of hardware for 10 years. Known for his clear, insightful reviews, Adwaith is the trusted voice behind TechLog360. Off-duty, he loves building PCs for charity.


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