Dell Technologies Inc. (DELL.US) Acquires Dataloop for $120 Million to Strengthen AI Data Infrastructure

Stock News12-18 11:53

Dell Technologies Inc. (DELL.US) has agreed to acquire Israeli AI startup Dataloop in an all-cash deal worth $120 million. This strategic move underscores Dell's growing commitment to AI infrastructure solutions for enterprise clients.

Founded in 2017 and headquartered in Herzliya, Israel, Dataloop specializes in a platform that manages, annotates, and processes unstructured data—critical for training AI models. The technology enables organizations to streamline workflows for handling complex datasets and building scalable information architectures tailored for large-scale AI models, which require vast amounts of curated and labeled data.

By integrating Dataloop’s capabilities, Dell aims to enhance its AI toolset and services, particularly in data management—a cornerstone of enterprise AI projects. Dataloop has raised approximately $50 million from investors, including NGP Capital, Alpha Wave Global, F2 Venture Capital, OurCrowd, and Amiti Ventures.

The startup has collaborated with clients across industries, such as Vimeo, Rentokil, UVeye, Taranis, Pixellot, Syngenta, Brunswick, and leading global automakers. Despite its small team of 80+ employees, Dataloop generated $3.5 million in revenue in 2024 with just two dedicated sales representatives—far smaller than competitors like Scale AI and Labelbox. Analysts suggest Dell's acquisition is primarily driven by technology and talent rather than customer scale.

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