IBM to Enhance watsonx AI Model with DataStax AcquisitionIBM to Enhance watsonx AI Model with DataStax Acquisition

IBM says it will acquire AI and data solution provider DataStax, whose solutions and products will improve and accelerate IBM watsonx's use of generative AI and help companies to get more value from their internal data.

Watsonx is IBM's cloud-based AI and data platform.

DataStax is best known for developing AstraDB, DataStax Enterprise and NoSQL. It also specializes in vector database capabilities powered by the open-source NoSQL distributed database Apache Cassandra, as well as Langflow, the open-source tool for AI app development. The addition of DataStax's assets to the IBM portfolio should help customers to scale their generative AI tools and transform their use of the technology. DataStax's tools will also help clients harness unstructured enterprise data and save time while turning it around into a usable format.

IBM isn't saying how much it's paying for DataStax, but Big Blue expects the deal to close in the second quarter, barring regulatory issues.

DataStax is already used by hundreds of companies – including FedEx, Capital One and Home Depot – for their data needs.

IBM's Dinesh Nirmal

"Businesses cannot realize the full potential of generative AI without the right infrastructure — open-source tools and technologies that empower developers, harness unstructured data, and provide a strong foundation for AI applications," says Dinesh Nirmal, SVP of IBM Software. "DataStax possesses deep competency in this area and shares IBM's relentless commitment to simplifying and scaling generative AI for the enterprise."    

Related:IBM, Driven by AI, Hybrid Cloud, to Buy HashiCorp for $6.4 Billion

DataStax customers shouldn't see an immediate change in the company's offerings, as IBM says it intends to continue to support, engage and innovate DataStax's research within the open-source Apache Cassandra, Langflow, Apache Pulsar, and OpenSearch communities.

DataStax's Chet Kapoor

"Enterprises want to deliver production AI fast, but are still struggling to unlock the value in their data to power AI applications and agents," said Chet Kapoor, chairman and CEO of DataStax. "DataStax's products solve this problem, accelerating AI's promise with the scalability, security and accuracy developers and enterprises need. We've long said that there is no AI without data, and are excited to execute this vision with IBM." 

IBM has been active on the M&A front in recent months. That includes its purchase of Applications Software Technology, an Oracle Cloud specialist. The vendor also got approval from the United Kingdom competition watchdog agency this week to move forward with its acquisition of infrastructure software company HashiCorp for $6.4 billion.

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