Arrcus, a data center networking company, secured $30M investment for continued innovation.
Arrcus, a hyperscale networking software company specializing in core, edge, and multi-cloud routing and switching infrastructure, has announced a $30 million investment from Prosperity7 Ventures, NVIDIA, Lightspeed, Hitachi Ventures, Liberty Global, Clear Ventures, and General Catalyst. The funding reflects growing investor confidence in the company's success with leading Fortune 500 and Global 2000 customers, and will enable Arrcus to expand platform support, accelerate growth, and continue delivering cost-effective and transformational networking solutions worldwide.
The investment comes as AI adoption drives unprecedented demand for distributed networking to improve compute infrastructure efficiency across datacenters, 5G, edge, and hybrid/multi-cloud environments for enterprise, cloud, and network operators. Arrcus' Arrcus Connected Edge (ACE) platform offers a distributed microservices architecture that is flexible, high-performance, scalable, fully programmable, modular, and hybrid cloud-ready. It is deployable on various form factors, including data processing units (DPUs), merchant silicon, and compute, enabling use cases such as low-latency data center networking, modern edge deployments, telco access and transport, and hybrid multi-cloud connectivity.
The collaboration with NVIDIA centers on leveraging the NVIDIA BlueField DPU to enable customers to efficiently offload, accelerate, and isolate compute-intensive networking applications including security and traffic engineering. This integration helps customers achieve high-performance secure connectivity within the data center while delivering higher utilization and power efficiency for compute-intensive workloads during the era of GenAI applications. The partnership also extends AI data center architectures to distributed configurations supported by modular designs such as the NVIDIA MGX platform.
"We are thrilled to welcome NVIDIA as our latest investor and look forward to building on our collaboration. Arrcus' leading networking software coupled with NVIDIA's AI infrastructure will help deliver maximum efficiency to customers from data centers as well as their edge and cloud computing environments," said Shekar Ayyar, Chairman and CEO of Arrcus. Kevin Deierling, senior vice president of networking at NVIDIA, added: "Modern networks are evolving to address customer needs in the era of AI. We're collaborating with Arrcus to provide high-performance, secure and cost-efficient data center networking for a variety of accelerated computing applications."
Industry analysts and partners validated the investment. Jason Hardy, CTO for AI at Hitachi Vantara, stated: "AI is driving the need for more flexible networking to maximize the impact of high-performance compute cycles. We are pleased to see Arrcus software working across leading industry hardware platforms for distributed datacenter networking." Adrian Drury, MD Platform Technology at Liberty Global, noted: "Arrcus networking has the potential for high performance at lower cost for datacenter and carrier networks, as well as meeting the demands of infrastructure for AI and 5G." Abhishek Shukla, Managing Director at Prosperity7 Ventures, commented: "Arrcus is driving an exciting disruption in networking for datacenters and AI. After leading their D round, we are now excited to join NVIDIA and other investors in continuing to support their growth and platform adoption among leading customers." Alan Weckel, Co-Founder and Technology Analyst at 650 Group, called the new investment validation of "Arrcus' vision and capability to deliver high-performance, scalable, and cost-efficient networking solutions that meet the evolving demands of AI-driven environments." Arrcus is headquartered in San Jose, California.