In a strategic move to boost its AI capabilities, Crusoe, a provider of AI infrastructure, has acquired Israeli startup Atero. This acquisition is set to enhance Crusoe Cloud’s AI infrastructure by integrating Atero’s cutting-edge technology that improves GPU efficiency, memory utilization, and scalability, all crucial for handling demanding AI workloads. The specifics of the financial transaction have not been disclosed.
Atero, founded in 2024, specializes in augmenting GPU management and memory optimization for AI tasks like large language model inference. Until now, the company was relatively quiet in the tech circles, having received initial investments from Primary VC in New York and Lool Ventures in Israel. The integration of Atero’s proprietary technology with Crusoe’s platform promises superior performance, faster scalability, and a more energy-efficient infrastructure for AI developers and enterprises.
Joel Lochmiller, co-founder and CEO of Crusoe, expressed enthusiasm about the acquisition: “Atero’s low-level expertise in high-performance computing infrastructure will be instrumental in Crusoe delivering unmatched performance, scale, reliability, and efficiency in our GPU clusters.” This reflects Crusoe’s commitment to vertical integration in the AI cloud sector.
The acquisition doesn’t just enhance technology; it also signifies Crusoe’s geographic expansion. The establishment of its first office in Tel Aviv provides access to Israel’s talent and broadens its customer reach across the Middle East. Commenting on this expansion, Lochmiller noted, “By establishing our first Middle East office in Tel Aviv, we not only gain access to the incredible workforce across the region but also the ability to better serve our global community of customers and partners.”
For Atero, this deal is a fast track to scaling its vision with a larger platform. Alo Yariv, Atero’s CEO, echoed this sentiment, asserting that joining Crusoe is the quickest way to achieve their technological goals.
The acquisition aligns with Crusoe’s ambitious efforts, such as a recent joint venture to develop a significant AI data center in Abilene, Texas. This project, supported by Blue Owl Capital and Primary Digital Infrastructure, underscores Crusoe’s commitment to expand its AI capabilities and infrastructure. The Texas campus will serve as a flagship for OpenAI’s Stargate initiative, a significant project with notable economic backing.
