Infosys to invest $450,000 more in software-defined server provider TidalScale

Infosys to invest $450,000 more in software-defined server provider TidalScale
Photo Credit: Reuters
17 Aug, 2021

Information technology (IT) services major Infosys plans to invest $450,000 more in Los Gatos-based software-defined server provider TidalScale. 

The capital takes the total amount invested by Infosys in TidalScale to $3.45 million. Previously, the company had infused $3 million, spread across two tranches of $1.5 million each. 

In a regulatory filing, the Bengaluru-headquartered company said that the fresh funds will be utilized for R&D, business development and working capital needs of TidalScale. Infosys currently holds a minority stake in the startup and expects the transaction to complete in Q2 FY22. 

TidalScale was founded in 2013 by Ike Nassi.  

The company’s software solution, which sits between hardware and operating systems, “glues” commodity servers together so that they function as a single larger system. Commodity servers, as the name suggests, are based on “off the shelf’ components rather than on propriety parts, meaning they can be replaced easily.  

The solution makes servers agile by aggregating the cores, memory, and I/O (input/ output) of multiple physical servers, virtualizing these resources, and then presenting them as a unified “software-defined server” to the operating system. This software-defined server delivers in-memory performance for large or multiple database workloads. 

TidalScale says that its solution requires no changes to applications or operating systems and is deployable within minutes—on premises, in the cloud, or hybrid cloud environments. 

“Enterprises who are experiencing exponential growth in data see significant value in TidalScale’s offering,” Infosys said in the filing, noting that the company’s software helps enterprises to virtualize server for faster deployment with reduced cost and improved in-memory compute performance. 

According to a report from Markets and Markets, the global Software-Defined Data Center (SDDC) market is projected to grow from $43.7 billion in 2020 to $120.3 billion by 2025, with a CAGR of 22.4%.