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DDN storing data for Nebius AI’s GPU server farm

DDN’s Infinia and EXAScaler storage systems are being integrated into the Nebius AI Cloud to store data for training, inferencing, and real-time AI applications.

Nebius Group is a Nasdaq-listed company headquartered in Amsterdam and operating worldwide, with 850 AI engineers in R&D hubs across Europe, North America and Israel. Its core Nebius offering is an AI-centric cloud SW, server and storage platform providing a full-stack infrastructure for AI, including large-scale GPU clusters, cloud platforms and tools and services for developers. The word “Nebius” is a neologism combining Nebula and the never-ending Möbius Strip.

Other group entities includes Toloka, a generative AI development partner; TripleTen, an edtech organization re-skilling people for careers in tech; and Avride, a developer autonomous driving technology for self-driving cars and delivery robots.

Paul Bloch.

Paul Bloch, President and Co-Founder at DDN, stated: “To lead in AI, enterprises require infrastructure that delivers breakthrough speed, scalability, and seamless integration. By partnering with Nebius, we’re breaking down traditional barriers to AI adoption and delivering a next-generation cloud platform that transforms how AI is built and scaled worldwide.”

DDN says Nebius’s AI Cloud is getting:

  • AI-Optimized, SLA-Driven Performance – Infinia guarantees extreme reliability and speed, accelerating AI model training and deployment while EXAScaler delivers unmatched data throughput and I/O consistency.
  • Seamless Scaling Across Cloud and On-Prem Environments – Businesses can instantly scale workloads across Nebius’ AI cloud, hybrid setups, and air-gapped systems without bottlenecks using EXAScaler’s industry-leading parallel file system.
  • Ultra-Fast Data Processing for AI at Scale – Infinia and EXAScaler eliminate data latency challenges, ensuring AI pipelines operate at peak efficiency—even for multi-trillion-parameter models.
  • Enterprise-Ready AI Infrastructure – With DDN and Nebius, enterprises can deploy AI workloads faster, more efficiently, and at a lower cost than ever before.

VAST Data has signed up CoreWeave, Lambda, Fluidstack, and X’s Colossus AI-focused GPU server farms for its storage, and has a partnership with Nebius. DDN is also supplying storage to FluidStack and Colossus, and has now signed up Nebius as well. It and VAST are the two main GPU server farm storage suppliers.

Arkady Volozh

Nebius CEO Arkady Volozh said: “Our mission is to provide cutting-edge AI cloud infrastructure that enables innovation worldwide at speed and scale. With DDN, we’re able to help enterprises do this seamlessly and efficiently.”

Bootnote

Volozh is the cofounder of Russian Google analog Yandex, forming Yandex NV in 1989 as a holding company for Yandex. The outfit provided search, mapping and other Internet services, competing with Google in Russia and elsewhere. It was headquartered in Amsterdam and listed on Nasdaq. That listing was suspended when Russia invaded Ukraine in February 2022. It restructured in July and August 2024 with Yandex in Russia sold off and the non-Russian operations restructured into the Nebius Group. It relisted on Nasdaq at the end of 2024 and raised $700 million at that time.

Nebius Group has a datacenter in Mäntsälä, Finland, GPU Clusters in Paris and Kansas City, Missouri, and a 300MW datacenter being built in Vineland, New Jersey. It has achieved Reference Platform Cloud Partner status in Nvidia’s partner network and offers GB200 NVL72 and HGX B200 compute. Nvidia has invested in the Nebius Group and Volozh still runs it.

Nebus group revenue in the last calendar 2024 quarter, its Q4, was $37.9 million; 466 percent up year-on-year. Full 2024 year revenue was $117.5 million and its cash and cash equivalents as of December 31, 2024, stood at $2.45 billion.

It is guiding its March ARR to be at least $220 million and says its “projected December 2025 ARR of $750 million to $1 billion is well within reach.”

Ransomware takes Hitachi Vantara offline

Hitachi Vantara has suffered a ransomware attack and service outage, taking its main datacenter offline.

A cybersecurity incident update statement says: “On April 26, 2025, Hitachi Vantara experienced a ransomware incident that has resulted in a disruption to some of our systems” and to Hitachi Vantara Manufacturing.

The company took its servers offline in order to contain the incident and “engaged third-party subject matter experts to support our investigation and remediation process.” It is “working as quickly as possible with our third-party subject matter experts to remediate this incident, continue to support our customers, and bring our systems back online in a secure manner.”

The offline systems “will remain offline until we have validated it is safe to restore them and additionally, we have restricted inbound and outbound traffic to our main data center.” The company is: “currently unable to monitor our Hitachi Vantara storage array environments, and Hitachi Remote Ops and Support Connect are currently inaccessible.”

A Bleeping Computer report claims the Akira ransomware operation is behind the breach.

Akira-based attacks are one of the five most reported ransomware incidents, along with LockBit, RansomHub, Fog, and PLAY. Attackers typically gain network entry via phishing approaches and can then both exfiltrate and encrypt files. Cybersecurity Ventures estimates ransomware attacks will cost affected organizations $57 billion in 2025.

Hitachi offers a 100 percent data availability guarantee for its VSP One storage product line. It also says it provides the world’s fastest recovery, claiming that: “With the near-instant, automated, and predictable recovery solution pioneered by Hitachi and VM2020, businesses can recover thousands of VMs from immutable snapshots in hours – not days or weeks – and get production fully up and running as timely as business demands.”

The current attack has been ongoing for five days and Hitachi Vantara’s systems are still offline, possibly to contain the problem.

Hitachi Vantara’s recovery and remediation efforts with its third party experts are in their early stages. It said it does not yet know what information, sensitive or otherwise is affected, and will tell customers once it does know.

Hitachi’s statement adds: “Customers that are self-hosted can continue to access their data as normal. Importantly, we are able to accept support cases that are manually created and sent in via phone or email. However, we are currently unable to monitor our Hitachi Vantara storage array environments, and Hitachi Remote Ops and Support Connect are currently inaccessible.”

We asked Hitachi Vantara some questions about the attack:

Blocks & Files: Has the company anything further to say about the attack and its progress in recovering from it?

Hitachi Vantara: “To expedite bringing our systems back online in a secure manner and return to business as usual, our team has retained external advisors who specialize in recovery from these types of cyber incidents. At this time, we do not have any evidence of lateral movement to our customers’ environments, and we have no reason to believe that it occurred. We have not detected any threat actor activity since April 27, and we have heightened monitoring of our systems.”

Blocks & Files: Could you say, how the attackers evaded or side-stepped Hitachi Vantara’s formidable defenses against data corruption, for example, with VSP One and its cyber resilience guarantee…

Hitachi Vantara: “We continue to investigate the root cause of this incident with the support of third-party subject matter experts.” 

Blocks & Files: Might I assume that the malware corrupted data in this attack was not stored on a VSP One system?

Hitachi Vantara: “While the investigation is ongoing, to date, there is no evidence to suggest a VSP One system was impacted by this incident.” 

Blocks & Files: What advice would Hitachi Vantara give to its customers about forestalling such vile ransomware attacks?

Hitachi Vantara: “It would be premature to comment at this stage, given the investigation is ongoing and evolving, which is customary in these types of matters. These processes take time to complete in order to provide an accurate and full picture.”

Just to be clear, this is a vile attack on Hitachi Vantara’s systems, and the company is reacting and responding decisively and well to the malware introduced into its systems by dreadful people.

****

Support Connect is for Hitachi V partners. If they need to open a support case, they should “send an email to partner.support@hitachivantara.com.”

Bootnote

Bleeping Computer reports that “Commvault … says a nation-state threat actor who breached its Azure environment didn’t gain access to customer backup data.”

WD posts sequential disk revenue decline after splitting off Sandisk

Western Digital reported a 31 percent year-on-year revenue increase in its first incarnation as a disk-drive-only company following its spin-out of the Sandisk NAND and SSD business on February 1.

The company reported revenues of $2.29 billion for its third fiscal 2025 quarter, ended March 28, up on a Y/Y basis but down 5 percent quarter on quarter. It also announced a quarterly dividend program with an $0.10/share payment this quarter. There was a GAAP profit of $520 million, compared to a year-ago $135 million, around 285 percent higher.

Irving Tan

CEO Irving Tan stated: “Western Digital executed well in its fiscal third quarter achieving revenue at the high end of our guidance range and gross margin over 40 percent.” 

He was at pains to point out that disk drives have a great future: “From enterprise workloads to the explosion of AI-generated content, such as the millions of images and viral videos generated through AI, data generation is accelerating at an unprecedented pace. Even in a world marked by geopolitical uncertainty and shifting tariff dynamics, one thing remains constant: the exponential growth of data. When it comes to storing that data, at scale, no technology rivals the cost-efficiency and reliability of HDDs.”

Financial summary:

  • Gross margin: 40.1 percent
  • Operating cash flow: $508 million vs $403 million in Q2
  • Free cash flow: $436 million vs $335 million in Q2
  • EPS: $1.36 vs $1.18 in Q2
  • Cash & cash equivalents: $3.5 billion

Exabyte shipments decreased 6 percent Q/Q due to lower unit shipments than last quarter.  Although unit ships of 12.1 million drives were up 3.4 percent Y/Y they were down 10 percent sequentially. The damage was not felt evenly in WD’s three market segments, with cloud, the largest segment, suffering the most:

  • Cloud (hyperscalers and datacenters): 8.3 million and down 10.1 percent Q/Q
  • Client (PCs and OEMS): 1.9 million vs 2.1 million last quarter and down 10 percent Q/Q
  • Consumer (retail): 1.9 million vs 2.1 million last quarter and down 10 percent Q/Q

WD said it shipped 800,000 units of 11-platter drives with capacities up to 26 TB CMR and 32 TB UltraSMR. 

Interestingly, Seagate also reported sequentially lower disk drive shipments a day or so ago, due to a production machinery foul-up. That was not the case with WD.

The three WD market segments had mixed results in revenue terms:

  • Cloud revenue rose 38 percent Y/Y but decreased 4 percent Q/Q to $2 billion, due to a “slight reduction in nearline HDD shipments, reflecting variations in customer deployment timing and supply-demand tightness.”
  • Client revenues of $140 million  dropped 2 percent Y/Y and 2 percent sequentially, partly due to flat HDD performance amid pricing pressures.” 
  • Consumer revenue saw a 4 percent Y/Y decline and more significant 13 percent sequential decline to $173 million, driven by softer demand for HDDs in retail and end-user markets. 

Cloud is the largest and most important segment, representing 87 percent of WD’s revenue. Its coming HAMR technology, supporting 40 TB and beyond capacity drives, will be important there and Tan said: “We are working closely on HAMR with two hyperscale customers and continue to receive encouraging ongoing feedback on our drives.”

He added: “We are looking to start qualification in the second half of calendar year 2026 and then ramping up production at scale in the first half of calendar year 2027.” The two hyperscalers have engineering sample drives.

Tan made the further point that: “There are some rack level changes that will be required for the deployment of HAMR. So, you’re not going to be able to mix and match the drives that easily. Similar to Ultra SMR, there are some whole site software changes that are required as well. But, these are very sophisticated customers. Their datacenter architects are very familiar with what’s needed to be done.”

WD expects to launch 28TB CMR and 36TB SMR drives in the next few months which should please data center customers.

Seagate’s acquisition of HDD platter coating machinery supplier Intevac shouldn’t impact WD. Tan said: “We have obviously two sputtering systems that we use. So, we have resiliency within our technology supply chains.”

And then this: “We’re obviously looking out for opportunities in which we can continue to capture even more value and accrete even more value to our products through potential acquisitions and vertical integration.”

Next quarter’s revenue outlook is $2.5 billion +/- $150 million, and a 24.8 percent increase from the year-ago fourth quarter. It is also up sequentially, “driven by sustained strength in data center demand.” That would produce $9.4 billion in full fy2025 revenues compared to $6.3 billion last year; a 49 percent increase.

Interim CFO Don Bennett said: “This guidance includes our current estimate of all anticipated or known tariff related impacts on our business in this period.” Tan emphasized: “We continue to maintain strong conviction in the business, and are confident that we will weather this uncertainty and come out even stronger.”

Seagate’s spins up disk revenues, though shipments down

Seagate HAMR technology
Seagate HAMR technology

Although Seagate’s third fiscal 2025 quarter revenues rose almost a third year-on-year, they declined sequentially as supply constraints sent shipments down.

Revenues in the quarter ended March 28 were 30.5 percent higher than a year ago at $2.16 billion, near the middle of its outlook range, with a GAAP profit of $340 million versus last year’s small $25 million profit.

Dave Mosley

CEO David Mosley stated: “Seagate delivered another solid quarter of profitable year-on-year growth and margin expansion … our performance underscores the structural enhancements we’ve made to our business model and healthy supply/demand environment for mass capacity storage.”

“We remain focused on executing our HAMR product ramp to support ongoing cloud customer demand. While we navigate the current dynamic macroeconomic environment, we are confident that our technology leadership, resilient financial model and solid industry fundamentals will drive profitable growth through 2025 and beyond.”

Financial summary

  • Gross margin: 35.2 percent vs 25.7 percent last year
  • Operating cash flow: $259 million vsyear-ago $188 million 
  • Free cash flow: $216 million vs $128 million a year ago
  • Diluted EPS: $1.57 vs $0.12 a year ago
  • Dividend: $0.72/share
  • Cash & cash equivalents: $814 million vs $705 million a year ago

Seagate reduced its outstanding debt by $536 million, exiting the fiscal third quarter with total debt of $5.1 billion.

There was a shipment downturn in the quarter with the 132.9 EB capacity shipped total down 5 percent quarter-on-quarter although still up 50 percent Y/Y. This affected mainly its nearline drives, as legacy drive capacity shipped has been trending down for many quarters;

Even so the average capacity per nearline drive rose 8 percent Q/Q to16.2 TB. It was just 8.7 TB a year ago. 

According to CFO Gianluca Romano’s comments in the earnings call this was due to “the temporary supply constraints we discussed last quarter.” It affected non-HAMR drive production with inadequate production capacity put in place. That was rectified last quarter but it meant Seagate under-served its market in the quarter just ended.

Seagate said that it is ramping 3TB/platter HAMR shipment volume at its lead [only] cloud customer, approaching qualification conclusion at a 2nd major cloud customer, and has additional customers in track with shipments starting in the second half of calendar 2025. Mosley said: “We expect an appreciable increase in HAMR product shipments over the coming quarters as these future qualifications conclude.”

Its outlook for its fourth fiscal 2025 quarter is for revenues of $2.4 billion give or take $150 million, and a 27 percent Y/Y rise at the midpoint. This is based on tariff policies as of April 29 and reflects a minimal direct impact to its outlook. Wedbush analyst Matt Bryson said Seagate expects to either mitigate or pass through any cost increases tied to tariffs, while gross margins (and revenues) are still expected to continue an upward trajectory through the course of this calendar year.

NetApp trims workforce amid mixed market signals

NetApp is laying off staff as it reorganizes to cope with a changed commercial environment.

A company statement said: “NetApp is implementing a strategic organizational realignment to better position the company for long-term growth and operational efficiency. The company is optimizing cost structures, streamlining work processes, and cultivating critical capabilities across the organization.

“These efforts are designed to strengthen NetApp’s ability to serve customers, innovate at scale, and respond to fast-moving industry dynamics, including the rapid rise of AI, and reflect the evolving needs of the business. NetApp remains committed to supporting its employees, customers, and stakeholders during this transition and is taking thoughtful steps to ensure the company is positioned to meet future demands and deliver sustainable value.”

We have been told of a 6 percent workforce cut, which would equate to around 700 people.

NetApp already warned of layoffs of at least 4 percent in its financial report for the nine months ended January 2025, stating: “In the first nine months of fiscal 2025, management approved restructuring plans to redirect resources to highest return activities and reduce costs, which included a reduction of our global workforce by approximately 4 percent. … The activities under the plans are expected to be substantially complete by the end of fiscal 2025.”

The company found itself facing sales deal slippage in its Q3 of fiscal 2025, which ended January 24, 2025. It had hoped to pull in $1.68 billion ± $75 million in revenues, a 4 percent year-over-year rise at the midpoint, and NetApp was inside that range with $1.64 billion, a 2 percent year-on-year rise. 

NetApp revenues
NetApp’s Q3 FY 2025 revenues (yellow line at far right) showed a slight growth slackening and it looks as if its Q4 (red line) will exhibit a similar or worse slackening

The fourth quarter outlook is for revenues of $1.725 billion ± $75 million, a 3.3 percent increase on a year ago at the midpoint. NetApp is taking action to lower its costs early, before the quarter ends, in order to boost profitability or reduce its losses.

Server maker Supermicro has just warned it will miss estimated revenues for its Q3 of fiscal 2025, citing deal slippage and higher inventory costs after older generation product sales missed expectations.

Supermicro has had its own accounting problems, but its issues could reflect a cooling AI server market. That, if true, could also be affecting NetApp. It may equally be affected by President Trump’s tariff changes.

In the storage field, Lightbits and ExaGrid have both recently posted good growth stories. However, SSD and DRAM maker Micron reported a sales downturn outside its core datacenter market. Micron’s revenues in the quarter ended December 31, 2024, were $8.05 billion, up 38 percent year-on-year, but down 8 percent from the previous quarter, ending a run of seven consecutive growth quarters. Ultimately, it’s a mixed picture full of “could bes” and “maybes” with no single factor yet apparent.

Back in February, Wedbush analyst Mat Bryson suggested that NetApp’s growth was unlikely to be to above 2 percent in its Q4 and “it’s difficult to view NetApp’s outlook without a modicum of skepticism.”

NetApp is due to announce Q4 results on May 29. Analysts will then be poring over NetApp’s comments to find out what has happened and how it might affect other suppliers.

Diskover’s upstream pipelining

Data management business Diskover was described in part one of a look at the company. In this second part we look at how its technology works and what sets it apart.

The core component is a scale out, schemaless database located on-premises or in the cloud, with Elasticsearch or OpenSearch used for indexing and crawling. Agents called Ingestors bring metadata into this database from various data sources and additional agents or plugins send data upstream via pipelines to for use in data warehouses and lakehouses, visualizing tools and management utilities. Diskover is extensible and new plugins, both ingesting scanners and data selection and action agents, have been and are being developed.

Data sources can be NFS mounts, CIFS/SMB shares, local mounts, public clouds such as AWS and Azure, and apps and SaaS apps like Autodesk, Jira, Saleseforce and SharePoint. On-prem storage supplier sources include Dell (PowerScale/Isilon), Hammerspace, NetApp, Pure Storage and VAST Data. New ingest/index plugins can be and have been developed.

The data sources, which can be scaled out to any number of repositories and locations, are scanned continuously, every 15 minutes say, and in parallel to obtain intrinsic metadata which is housed in a single location to provide a global view. Extra metadata harvesting provides business context data, such as project details.

The indexed metadata can be used for (1) searches to find data, (2) analytics to detect data characteristics, and (3) actions to move data and deliver it to upstream locations and applications. These actions can be automated with the actions based on rules and metadata content. Thus data can be selected by filter, cleaned, renamed, curated, moved across storage tiers have sensitive data masked, be delivered to upstream processes, archived and deleted.

The analytics can be used by knowledge workers, business users and not just storage admin staff, and they access Diskover through a web UI.

Will Hall

Data destinations include CortexAI, Databricks, Dell’s data lakehouse, Power BI and Snowflake. Diskover says it’s a good idea to curate data before sending it to a data warehouse.

CEO Will Hall told us: “I don’t want everything in the data warehouse. I don’t want stuff that you have in your recycle bin. If I just dump everything I found on your storage, I’m going to get trash into my data warehouse. So I don’t want that. … By the way, that happens all the time. People are taking their temp files and their scratch base along with all the valuable data and dumping that into a [data warehouse or data lake] where it’s second only to [GPUs] as the most expensive compute you can possibly waste.”

Supported visualization apps include Alteryx, Grafana, Kibana and Tableau. They can consume an elastic search index as a data source. There is no need, as in the past, to find your data, export it to a spreadsheet, massage it there and then build a graph from it. Hall again: “We found that the big customers are piping that into a visualization tool and then they were piping it into a data warehouse. So the data warehouses can also use an Elasticsearch index as a data source.”

Diskover says its software is lightweight and has a small footprint, with low CPU and memory requirements. It says this is demonstrated by a perfomance impact document measuring the performance impact to production application performance while the diskover indexing process is actively indexing file system storage. Based on the test results, the Diskover indexer process resulted in no performance degradation to playback when using the Resolve application for playback on NVMe based storage or on nearline SAS-based storage either.

When data is sent upstream to data lakes, Diskover uses Parquet to multi-stream the data. CPO Paul Honrud tells us: “Take data from Elasticsearch into Snowflake. When you’re dealing with 80 billion files, it introduces delay, multi hopping my data, and it’s air prone because that’s a lot of data to be dealing with. … We found that if we could index the file system …we were creating a JSON blob and pushing the JSON blob into Elasticsearch. Once we had married some metadata to it, we could take and drop that into a Parquet-formatted S3 object that is consumable right by these things. And we could curate it. We could down select the data going into the data warehouse.”

Pipelines used to be specific in kind for vertical application areas such as entertainment and media, life sciences, and oil and gas. The surge in GenAI interest has made AI pipelining horizontal.

Diskover says its customer  are getting bigger; “Well into six figures,” and growing fast requires cash. Hall told us: “We’ve never had VC funding. We’re doing a round right now and we’ve got some strategics involved in that.”

Paul Honrud

Honrud dislikes the idea of early-stage VC money: “if you take a bunch of VC money early, you spend it like a kid in an inheritance and the landscape is littered with these. They don’t know what to build. They burn through some money, then they realise they have to pivot. Komprise is right down this path. How many times did they pivot it? How much money have they taken to try to figure out where the market is? You have people like Igneous that didn’t survive. And so the VC funding early on I think distracts you from absolutely solving the problem for the customer.”

We were curious about how Diskover relates to Hammerspace, which it regards as a metadata source and not a competitor. Hall told us: “I think philosophically we align really well with Hammerspace. …It’s like if you have this global namespace, you still need to know where the relevant data is underneath that global namespace. And that’s where we are a nice kind of fit under something like that.”

In his view: “if you look at S3 as a protocol, I can store key value pairs native with the object. So the ability to store custom metadata with an object has been around with S3 for 10, 15 years [and] your general person is dropping data into S3 with no metadata.” Adding metadata requires human tagging and that doesn’t scale. There’s no automated metadata for the masses-type capability.

Honrud went on to opine that VAST and Hammerspace have moved that [KV pairs] over to the file system, adding that “Well I’ve had that with S3 and not a lot of people are taking advantage of it.”

Diskover can produce high-quality metadata in an automated way and that capability can be used by Dell, Hammerspace, NetApp, VAST Data and other supplier’s customers who need that metadata in order to automate data handling pipelines.

Hall said: “We sit in this kind of Switzerland world where we really aspire to be this kind of unstructured data platform that knows the most about your metadata and ultimately where you want to drop it off, meaning AI or data warehouses or what have you. … We’ve got a pretty cool little offering and we just haven’t told the world historically. Now we’re starting to try to tell the world.”

Quobyte v4 revamps storage for AI farms and cloud giants

Quobyte has developed v4 of its eponymous parallel file system software with an AI focus in mind.

Quobyte v4 adds cloud object storage, Arm support, and end-to-end observability. Previous point releases have introduced RDMA, using Infiniband, Omni-Path and RoCE, and a File Query Engine.

Co-founder and CEO Bjorn Kolbeck said: “AI is what HPC used to be – really the most demanding workload that drives the requirements for hardware and software.”

Bjorn Kolbeck, Quobyte

Arm support from Quobyte initially came out in 2018-2019, porting both its client and server software to Cavium Arm. Kolbeck told us: “Then AMD came out with the EPYC processors and no one wanted to talk about Arm anymore … And now they’ve changed completely with Apple Silicon and Nvidia completely switching to Arm. And then we see the AWS Graviton, Google, Ampere, so suddenly there’s significant investment in Arm.”

“We’ve revived our Arm support, updated it, and we both support the client and the server on Arms. You can mix and match. You can have x86 servers next to Arm servers or clients, whatever you like. It’s really completely transparent.”

The AI focus has not resulted in Quobyte supporting Nvidia’s GPUDirect protocol, with Kolbeck saying: “And I don’t know if we will because, how do I say this very diplomatically? GPUDirect is more or less a marketing point. It’s not really important for performance. One of the reasons is that the CPU is basically there just to shovel data into the GPUs. The other thing is that latency doesn’t matter in AI workloads. 

“There’s still people touting that. But if you look, for example, at the MLPerf benchmark, it’s not about latency, it’s about consistent high performance in terms of rating the link and delivering enough data for the GPU. Latency is not really the key there. It’s really about this consistent high throughput across a large number of devices [and] RDMA is the key.”

He claimed: “You can use GPUDirect with NFS and then it’s just an emulation layer that does shovel it directly from the NFS current module to the GPU. But I don’t think you win much by that.”

How about GPUDirect for objects? Kolbeck opined: “That is even more weird. I think that is just a translation layer as well, because your bottleneck is the HTTP request and the expensive parsing of the protocol. So if you look at how much CPU or overhead you create from that, so when you send HTTP requests, you’re parsing text. It’s very expensive compared to binary protocols. And this parsing needs to be done by the CPU. So in that case, the HTTP overhead is gigantic for parsing it and extracting the data and whatever. I don’t know what GPU Direct has there.”

The Cloud Tiering means that you can store petabytes of data more cost-efficiently. With AI workloads like training, “we’re talking about tens of petabytes and the cost factor is just insane on the cloud. So this is why we decided to integrate the tiering both to S3 but also Azure Blob store. Pretty straightforward, typical external tiering with the stub in the HPC world, we’ve known this for probably 30 years with all the pros and cons, but on the cloud it’s mandatory.”

Kolbeck said: ”We can tier to anything that speaks S3. So basically AWS, Google Cloud, and a long list. We also support the Microsoft Azure Blob store protocol, which is different.”

“I’m more excited about what we call copy-in, copy-out.” He talked about a scenario where “customers that use AI for the cloud;, they often have their entire dataset in S3 or some object store that’s cheaper because they started in the cloud. Suddenly they have tons of petabytes there and know how it’s locked in and is so hard to get off it. So what we offer here is the ability to say, ‘I have a Quobyte cluster and this data set – create a volume from it that I can access with high performance for the training phase. Now work on this data set. And then, once I’m done, throw it away.’ So the copy-in basically allows you to say, ‘Transform this bucket or this part of the bucket and this and this and this into a volume that I can use for my high performance training.’”

“You can also copy-out from Quobyte. It works in both directions; very convenient. And this was actually one of the features where we had customer input. Because we have customers doing this kind of training with a mix of on-prem and in the cloud, and that was a common request.”

He added: ”We are not crippling our customers here. They can choose between the tiering or the copy-in and out; they have all the options there. So that’s basically a cloud part of v4 to make that cost-effective. And another thing here is [that] some of our customers use Lustre in the cloud [which] is not easy to use [with] its drivers, kernel drivers and so on. So this makes Quobyte a very easy replacement for those FSX for Lustre workloads.”

The end-to-end observability feature “was developed with a lot of input from our customers with large infrastructures. And one of the big problems that large infrastructures have is there’s always something that doesn’t work, right? There might be this or that which is problematic. It might be a networking issue or the … the application isn’t working properly.”

He talked about typical scenarios involving “a data scientist running training workload with PyTorch or … a typical HPC job” and says that the E2E observability empowers storage admin staff.

“The user says the storage is slow … basically pointing at the admins, and then the storage admins are like, ‘Oh, we have to find out what’s going on because management is on our backs.’ And with this end-to-end observability, we basically track the requests coming from the application on a profile basis and monitor it over the network down to the disk. So you basically have the whole path and back monitored because we have our native client. Not only does this alert admins when there is slowness, or the client cannot communicate properly with the network, there are network congestion problems, all those kind of things. It alerts them that an application is waiting for IO or for file system operations that aren’t completing. That now alerts them before the users say anything.”

“It’s a huge game changer for them. We have this in production with a few customers and the feedback has been overwhelming because that’s really a problem. Now they’re ahead, they can see the problem, they can tell the users there’s a networking issue or there’s something wrong with your client. Or even more important, they can look at the file and see that how many requests on flight, what was the IO depth, the maximum I/O depth on the file. And then you see that the application [is] requesting, I don’t know, four kilobytes at a time. And then you can tell them: ‘Well, it’s your application, not the storage.’”

“This completely turns the game around for them because now they know ahead of time. They can advise the users instead of reacting. They are proactive. And that’s a much nicer position to be in rather than finding a big fat finger pointing in your direction and having to react as best you can.”

Kolbeck said that, in v4, “we also did performance improvements for NVMe. Depending on the drive and the configuration, we get up to 50 percent better throughput with our new release. Part of it is that we optimized, for example, for the new EPYC 5 CPUs that have significantly more memory bandwidth; it doubled between f4 and f5, which is a game changer for storage.”

“Quobyte also has an interface where you can use Quobyte like an object store to access the file system … We built this all on our own, tightly integrated with the file system. Everything is mapped on the file system layer. We extended this with S3 versioning mapped onto file versions that you can access from the file system. So in Linux with relinks you can see different file versions that access them. The object lock in S3, when you set that, it’s stored as a file retention policy in Quobyte So you can see it on the file, you can modify it on the file and, if you set a retention policy, when you create a file, you can see there’s an object like S3.”

v4 has an integrated DNS Server. Kolbeck said: “The integrated DNS server makes it easier to do things like load balancing, high-availability for services that rely on IP addresses like S3. You need round robin across all available gateways for NFS. We have virtual IPs. Just configure a pool, point to Quobyte or point your DNS sub domain to Quobyte and then NFS so cluster name just points at the right interfaces.” 

It also has single sign-on. “We built Quobyte as a solution that enables you to provide cloud-like services so that you, a storage admin, a storage group, and a company can act like a cloud provider. We have strong multi-tenancy built in with isolation, optional hardware isolation on, and our web interface and CLI are also multi-tenancy ready. So users can log in, create their own access keys, run file queries, and tenant admins can log in, create volumes, and so on.”

We asked Kolbeck for his views on DAOS. He said: “DAOS is first of all an object store; so not the file system semantics. It has a very different goal, being designed for what an HPC system was like 10, 15 years ago [with] burst buffers [and] super high performance.”

“The problem with the burst buffer is that there are only a handful of supercomputing centres at the very high end that can afford the high end infrastructure for buffering. … you need to put in substantial expensive hardware just for a burst buffer.”

As for Quobyte, “we wouldn’t go after this market because it’s in the high end in storage. It is always this kind of weird attitude for the super high performance … it’s not really for a larger market.”

“If we talk about AI now, no one cares about the lowest latency or the fastest … server. What you care about is that your farm of a thousand GPUs can have a massive pipe to read lots of data. So it’s a scale-out world.”

“What people forget is GPUs are very expensive. Data scientists are very expensive. The most important thing after delivering the performance [and] equally as important is availability and uptime. It’s the dirty secret of the supercomputers. If you look at a lot of them they don’t publish down times. It’s a dirty secret that the Lustre systems sometimes cause downtime where availability is less than 60 percent.”

“We all know the challenges of keeping Lustre up and you have to have downtime when you update kernel modules on the driver’s side and so on.”

“So with GPUs being really crazy expensive and … the power consumption is insane. So you have this energy bill for idle GPUs, you have the frustrated data scientists and it doesn’t matter that you have the fastest storage if your uptime isn’t great.”

Quobyte v4 is publicly available and in production. The v3 to v4 upgrade is non-disruptive.

Commvault topline surges as users snap up cyberattack products

Data protector Commvault sold record amounts of its products and services this quarter, as customers concerned themselves with a general rise in cyberattacks.

Revenues in the quarter ended March 31 were $275 million, 23 percent upon the year-ago quarter, with a GAAP profit of $30.9 million. This is 76 percent lower than a year ago, which was artificially boosted by a $103.1 million income tax benefit. Excluding that, profits were $23 million, which would make the current Q4 profit 34 percent higher.

Full year revenues were $996 million, up 19 percent Y/Y, with a $76 million profit compared to fy2024’s $169 million profit. Absent the previously mentioned tax break the underlying fy2024 profit was $65.9 million with fy2025 profit 15 percent higher.

Sanjay Mirchandani

CEO Sanjay Mirchandani talked about “another record breaking Q4 and full fiscal year 2025,” and said: “Fiscal year 2025 was a pivotal year. We reimagined resiliency for a cloud-first world. We doubled down on innovation and execution and we firmly positioned ourselves as a growth company.”

He added: ”We reignited growth in our land business, adding nearly 3,000 subscription customers. We drove a double-digit improvement in sales productivity and on a Rule of 40* basis, we achieved 41 for the full fiscal year. As we begin fiscal year 2026, Commvault has never been better positioned to succeed and win.”

The growth drivers were secular cyber-resilience tailwinds, business continuity for public cloud customers, and better sales execution both by Commvault and its partners. The company’s focus on cyber-attack recovery as well as cyber-attack defences is paying off, as is its intent to sell multiple products to its customers.

Financial summary:

  • Subscription revenues: $173 million, up 45%
  • Subscription ARR: $780 million, up 31%
  • Total ARR: $930 million, up 21%
  • SaaS ARR: $281 million, up 68%
  • SaaS Net Dollar Retention Rate: 127%
  • Gross margin: 81.5 percent – down from year-ago 82 percent
  • Operating cash flow: $77 million vs prior quarter’s $30.1 million
  • Free cash flow: $76 million vs prior quarters $29.9 million

Its large customer base grew 31 percent to 12,200.

Commvault’s Q4 outlook was for revenues of $262 million ± $2 million, a 17.3 percent year-over-year rise at the midpoint, and it beat that. This is the fourth successive quarter of rising revenues at Commvault:

Its Y/Y revenue growth rate is accelerating, this being the fifth such quarter in a row:

William Blair analyst Jason Ader commented: “[This] was the highest quarterly year-over-year revenue growth for Commvault since fiscal 2013. Fourth-quarter outperformance was attributed to balanced geographic performance, increasing contribution from new products (AirGap Protect, ThreatScan, Cleanroom, Cloud Rewind, Clumio, etc.), strong new customer growth (multiple lands in financial services and healthcare), and robust core business momentum (renewals/expansions).”

Next quarter’s revenues are guided to be $268 ± $2 million, a 19.3 percent increase at the mid-point. Total fy2026 revenue is expected to range from $1.13 billion to $1.14 billion, an increase of 14 percent at the midpoint. The cyber resilience and recovery market should continue its growth. 

* Bootnote

The “Rule of 40” is a principle that a SaaS company’s combined revenue growth rate and profit margin should equal or exceed 40 percent.

WEKA CFO exits four months into role

Just four months after being hired to replace departing CFO Intekhab Nazeer, Hoang Vuong has resigned from the role at WEKA.

A company statement said: “We can confirm that as of May 10, Hoang Vuong will no longer be WEKA’s CFO but will continue serving in an advisory role. We have a very strong financial leadership bench in place that will serve us well as we continue our search for a new CFO.”

Vuong’s departure is the latest of several recent senior exec and other changes at WEKA.

  • December 2024: President Jonathan Martin, CFO Intekhab Nazeer, and CRO Jeffrey Gianetti leave. Hoang Vuong is appointed as the new CFO.
  • February 2025: Approximately 50 staff laid off as WEKA restructured its go-to-market functions for the GenAI era, saying it had 75 open slots and expected to grow its headcount by 120 in 2025. 
  • April 2025: WEKA hires CRO Brian Froehling and chief product officer Ajay Singh, reassigning prior CPO Nilesh Patel to be chief strategy officer and GM for Alliances and Corporate Development.

When Vuong was appointed in December last year, CEO and co-founder Liran Zvibel said: “We are ecstatic to welcome Hoang Vuong as WEKA’s new chief financial officer. 2024 was a banner year for WEKA, as we achieved several major financial milestones and added many of the world’s leading AI and HPC innovators to our customer base. Hoang’s track record of driving growth and public company experience will help accelerate our momentum.”

Vuong’s LinkedIn CV shows he was CFO at B2B analytics SaaS supplier Amplitude from May 2019 to May 2023, an advisor at HackerOne from February 2015 to July 2022, and COO and CFO at GoFundMe from June 2015 to May 2019. He’s also a board member at software company Revinate as of 2013. He was with Amplitude when it went public via a direct listing on Nasdaq, not an IPO, in September 2021.

WEKA, with its fast parallel access file system software, is one of the most prominent storage suppliers in the GenAI market, alongside DDN, Hammerspace, Pure Storage, and VAST Data. Competition is intense and WEKA is a high-growth company with an IPO in its sights. Having to hire a new CFO, for the second time in five months, could be an unwelcome distraction.

Commvault expands Cleanroom Recovery and CrowdStrike partnership

Commvault has added more comprehensive Cleanroom Recovery capabilities and says it has forged a closer CrowdStrike partnership to detect and respond to cyberattacks more effectively.

Its Cleanroom Recovery facility provides recovery from immutable backups to a cleanroom in the Azure cloud for faster recoveries and incident response testing. Commvault integrated CrowdStrike’s malware-detecting Falcon XDR (Extended Detection and Response) into its Commvault Cloud in January. With this, a CrowdStrike alert can be used by Commvault Cloud to trigger its own ThreatScan check for affected data, and then restore compromised data to a known good state using its backups.

Nate Hauenstein, Chart Industries
Nate Hauenstein

Nate Hauenstein, IT Global Infrastructure & Operations Director, Chart Industries, stated: “Previously, recovery could take more than seven hours, causing significant disruption. Today, our Cleanroom environment ensures zero wait time for most applications – services are ready instantly. Reducing that downtime so dramatically is critical – it minimizes disruption [and] protects revenue.”

Commvault’s Cleanroom Recovery now includes a Factory Reset feature for restoring IT infrastructure – not just data and VMs – with a customizable recovery point in time. There is also an expanded CrowdStrike partnership for coordinated cyber recovery and incident response services. A third development is that Commvault Cloud has gained GovRAMP Authorized status for its cyber resilience SaaS offerings.

Commvault Cleanroom Recovery
Adding VMs to a Cleanroom

The Factory Reset function, referred to as “pave/repave,” enables customers to restore their infrastructure within the cleanroom, with an image that is hardened and verified in advance. The pave part refers to using a so-called golden image, a pre-configured, secure template of an operating system, application, or infrastructure setup that is free from vulnerabilities or malicious code, as a fresh, trusted base layer. The repave aspect means rebuilding or redeploying systems using the golden image and without manual reconfiguration.

When the infrastructure is restored, systems can be rehydrated with data, speeding up the overall recovery process. Commvault says admin staff “can focus on validating recovered data in the cleanroom instead of worrying about the underlying infrastructure.” They can customize recovery sequences, so data is recovered in a logical order, and use Commvault Cloud Threat Scan to scan their recovered data in the cleanroom as another way of making sure their data is clean.

Pranay Ahlawat, Commvault
Pranay Ahlawat

Pranay Ahlawat, Commvault CTO and AI Officer, said: “Unlike traditional approaches, cloud-based cleanrooms enable customers to spin up multiple isolated recovery environments in parallel, without concerns around compromised firmware or underlying hardware … We’re doubling down on infrastructure recovery, automation, and orchestration.”

Commvault is now supporting Cleanroom Recovery by its MSPs so that they can offer this technology to their customers. 

The expanded Commvault-CrowdStrike partnership integrates CrowdStrike’s incident response services and Commvault’s Guardian retainer-based services to provide readiness assessments, recovery validation, recovery testing, and incident response recovery assistance. The two say that, in the event of a cyber incident, CrowdStrike’s real-time threat visibility identifies the attack’s scope and Commvault’s recovery offerings, including its CleanRoom services, enable rapid restoration of affected infrastructure components. Integrated response workflows between Commvault and CrowdStrike enable better incident blast radius detection and recovery during a cyberattack.

Commvault CrowdStrike anomaly info
Commvault CrowdStrike anomaly info
Daniel Bernard, CrowdStrike
Daniel Bernard

Daniel Bernard, CrowdStrike chief business officer, said: “Cyber resilience isn’t just about recovery, it’s about being ready at every stage of an attack … In an AI-accelerated world of relentless and sophisticated threats, security and IT teams need to operate as one, and this collaboration helps make that possible.”

GovRAMP (formerly operating as StateRAMP) has a standardized approach for assessing the security posture of cloud products and services utilized by US state and local governments and educational institutions. It has three verified statuses: Ready, Provisionally Authorized, and Authorized. These are based on NIST 800-53 Rev. 5 controls and require a government sponsor for the latter two.

Commvault says it is GovRAMP Authorized at a High impact level, is FedRAMP High Authorized, and has FIPS 140-3 validated status for its SaaS cyber resilience offerings.

Commvault Cloud’s GovRAMP Authorized status is available immediately for US-based SLED (state and local government agencies and educational institutions) customers. 

The Cleanroom Recovery Factory Reset feature is available now, as is the unified suite of Commvault and CrowdStrike services for incident response, cyber recovery, and resilience. Find out more here.

Backblaze offers low-cost, fast B2 cloud storage tier

Cloud storage provider Backblaze is now selling B2 Overdrive cloud storage with accelerated data access speed for AI and high-performance computing (HPC) workloads.

Backblaze offers its existing S3-compliant B2 service costing $6/TB/month on a pay-as-you-go basis. Now it has added a high-performance variant with up to 1 Tbps sustained throughput and starting at $15/TB/month.

Gleb Budman, Backblaze
Gleb Budman

CEO Gleb Budman stated: “With B2 Overdrive, we’re challenging the industry’s assumption that organizations must pay colossal prices for colossal performance. We’ve engineered a solution that delivers the sustained high-throughput organizations need, without the egress fees and complex pricing tiers that are pervasive of legacy providers.”

The basic B2 cloud storage service has an object lock immutability feature and a 99.9 percent uptime service level agreement. Backblaze says it provides 100 percent performance at a fifth of the AWS S3 cost and free egress for up to three times the user’s average monthly storage amount. Egress exceeding this amount is priced at $0.01/GB. Volume and term discounts are available with the B2 Reserve service.

B2 Overdrive is more expensive, starting at $15/TB, but is claimed to be “a fraction of competitors’ costs,” and Backblaze is right about this point:

Blackblaze costs

It is based on disk drive storage, and connects through secure private networking to a customer’s infrastructure. Data at exabyte scale can be moved freely to any GPU cloud or HPC cluster with unlimited free egress. The service is designed for throughput-intensive use cases such as AI/ML training and inference, HPC, large-scale data analytics, media processing pipelines, research compute, and content delivery.

A comparison with the four main US public cloud high-performance object storage services – see the table above – shows that only Backblaze provides network throughput speed. AWS, Azure, GCP (Google), and OCI (Oracle) provide indicative latency numbers instead. No direct performance comparison is possible.

Their pricing includes storage, read (Get), write (Put), and egress fees, which don’t apply to B2 Overdrive. A chart showing these prices demonstrates Backblaze’s low cost:

Backblaze B2 Overdrive is generally available today for customers with multi-petabyte workloads.

NetApp boosts storage security with post-quantum encryption

NetApp is announcing stronger encryption and identity-checked access controls at the RSA Conference.

The increasing accessibility of AI is enabling malware crooks to automate cyberattacks, and businesses are themselves using AI and ML to automate threat detection. NetApp suggests these crooks could also steal encrypted data today, hoping to decrypt it when quantum computing becomes widely available. Post-quantum cryptography can defeat that tactic.  

NetApp claims it provides “the most secure storage on the planet,” but also points out that “no ransomware detection or prevention system can completely guarantee safety from a ransomware attack. Although it’s possible that an attack might go undetected, NetApp technology acts as an important additional layer of defense.” The incremental security updates it’s announcing today will, we’re told, strengthen these defenses.

Gagan Gulati, NetApp
Gagan Gulati

Gagan Gulati, SVP and GM, Data Services at NetApp, stated: “With built-in security capabilities that secure our customers’ data on any workload, anywhere, NetApp has made storage as critical to a sound cybersecurity strategy as perimeter and endpoint security tools.

“Security teams need to factor storage into their security strategies because it is the last line of defense for their data and the right storage can play an active role in protecting the enterprise.”

NetApp has announced:

  • Post-quantum cryptography embedded into its file and block storage product portfolio, using encryption algorithms standardized by NIST, preparing NetApp’s storage portfolio for the quantum era.
  • BlueXP Ransomware Protection now includes ransomware-specific role-based access controls (RBAC), with granular permissions to combat ransomware threats, plus support for ransomware protection for native cloud workloads.
  • The BlueXP Backup and Recovery service for ONTAP data has a redesigned user interface making it easier to integrate and define a 3-2-1 data protection strategy for workloads, including Microsoft SQL Server, VMware, and Kubernetes apps.
  • NetApp is offering expanded professional security assessment and security hardening services to help customers evaluate and tighten their security posture by enabling the built-in security capabilities in NetApp. 

BlueXP, NetApp’s SaaS-based storage control plane, has SIEM (Security Information and Event Management) integration to link with a customer’s overall security posture. Later this year, NetApp will expand the cyber resiliency protection of its ONTAP Autonomous Ransomware Protection with AI (ARP/AI) to include block storage workloads.

Learn more about the updates to NetApp’s cyber resiliency capabilities at booth #259 at the RSA Conference 2025, April 28-May 1, at the Moscone Center in San Francisco. Read more about post-quantum cryptography here.

Bootnote

RSA Security provides AI-powered Unified Identity Platform software to protect organizations against cyber threats. It is owned by private equity firm Symphony Technology Group (STG), which bought it from Dell Technologies in September 2020 for $2.1 billion. Dell acquired RSA when it bought EMC in 2016 for $67 billion. EMC acquired RSA for $2.1 billion in 2006. Though the conference originated under the company in the early ’90s, these days the two are only loosely connected.