Wasabi Technologies has secured $70 million in new equity funding as it positions itself to play a larger role in the next phase of data infrastructure shaped by artificial intelligence and large-scale data growth. The round values the company at $1.8 billion and was led by L2 Point Management, with participation from Pure Storage and existing backers including Fidelity Management & Research Company.
With this raise, Wasabi’s total funding now exceeds $600 million, underscoring sustained investor confidence in its cloud storage strategy.
Founded on the premise that cloud storage should be simple and cost predictable, Wasabi Technologies has steadily expanded beyond its original Hot Cloud Storage offering. Since entering the market in 2017, the company has differentiated itself by eliminating egress and API request fees, a pricing model that continues to resonate with enterprises seeking alternatives to hyperscale cloud providers. The latest capital infusion will be used to accelerate Wasabi’s expansion into AI-focused infrastructure, extend its global reach, and broaden its product portfolio to support increasingly data-intensive workloads.
AI-driven applications are a central theme in Wasabi’s growth strategy. As organizations deploy generative AI, autonomous systems, and real-time analytics, storage performance and predictability have become critical constraints. Wasabi has responded by introducing services such as Wasabi AiR, which integrates AI-powered metadata tagging into hot cloud storage, and Wasabi Fire, an NVMe-based storage class designed for compute-heavy AI and machine learning training, inference, and data pipelines. These offerings are aimed at supporting modern AI workflows without introducing complex pricing models or hidden costs.
Security and resilience are also core to Wasabi’s positioning. The company has invested in multi-user authorization controls and its Covert Copy technology, a ransomware-resistant capability designed to keep critical data hidden and immutable even during cyberattacks. As cyber resilience becomes a board-level concern, such features are increasingly relevant for enterprises managing large volumes of sensitive data.
Over Three Exabytes Across 16 Regions
Investors see storage as an essential, if sometimes underappreciated, pillar of AI infrastructure. L2 Point Management emphasized that while GPUs and compute resources often dominate headlines, AI systems cannot function without scalable, high-performance storage. Pure Storage’s participation in the round further strengthens the strategic relationship between the two companies, signaling alignment around building AI-ready data environments that are easier to deploy and operate.
Wasabi’s operational scale reflects the broader acceleration of data creation. The company now manages more than three exabytes of data across 16 global regions and serves customers spanning media and entertainment, cyber resilience, backup, and enterprise IT. Its customer base includes well-known brands such as iHeartMedia, the Boston Red Sox, Liverpool Football Club, Toshiba, and academic institutions including Cornell University. These organizations rely on Wasabi not only for active workloads but also for cost-effective archiving and rapid data retrieval.
As enterprises reassess their reliance on hyperscalers and look for predictable economics amid rising AI costs, Wasabi’s growth highlights a shift toward specialized infrastructure providers. The company’s latest funding round suggests that investors believe cloud storage, when rethought for AI-era demands, remains a significant opportunity within the evolving data infrastructure landscape.
Executive Insights FAQ
What is the size and valuation of Wasabi’s latest funding round?
Wasabi raised $70 million in equity at a valuation of $1.8 billion.
Who led and participated in the investment?
The round was led by L2 Point Management with participation from Pure Storage and existing investors.
How will Wasabi use the new capital?
The company plans to expand AI-focused infrastructure, grow globally, and enhance its storage portfolio.
What differentiates Wasabi from hyperscale cloud providers?
Wasabi offers predictable pricing with no egress or API fees and focuses on simplicity and performance.
Why is storage critical for AI workloads?
AI applications depend on fast, scalable, and cost-efficient access to large volumes of data to function effectively.
