Andreessen Horowitz, a prominent venture capital firm founded by Marc Andreessen and Ben Horowitz, is reportedly planning to raise a substantial amount of funds, with a significant portion allocated to artificial intelligence initiatives.
What Happened: The Silicon Valley-based firm is aiming to raise a total of $6.9 billion from investors, with a focus on AI, Bloomberg reported, citing a person familiar with the matter.
The funds will be divided into a master fund, a growth fund, two AI-focused funds, a gaming fund, and a fund for startups in a sector termed “American Dynamism.”
See Also: Did MrBeast Sell His YouTube Channel To Disney For $5B? Here’s What You Need To Know
The American Dynamism category includes companies addressing critical issues in the U.S., such as aviation, defense, and manufacturing.
The firm will not seek additional funding for its crypto and bio funds until the following year. In 2022, Andreessen Horowitz allocated $4.5 billion to its crypto funds, the report noted.
Why It Matters: This move by Andreessen Horowitz aligns with its previous strategic focus on AI and related technologies. In December 2023, the firm highlighted the potential of decentralized marketplaces in democratizing AI, as well as the role of crypto in developing AI-generated video games, in its ‘Big Ideas in Tech for 2024’ report.
Earlier in the same month, the firm led a $415 million funding round for Mistral AI, a French startup and a rival to ChatGPT-maker OpenAI. In January 2024, the firm provided a $75 million funding to Quora, a question-and-answer website, to accelerate the growth of its AI chat product.
Photo Courtesy: rafapress On Shutterstock.com
Check out more of Benzinga’s Consumer Tech coverage by following this link.
Read Next: Perplexity AI Vs. ChatGPT Vs. Google Gemini: Which AI Chatbot Is The Best For You?
Disclaimer: This content was partially produced with the help of Benzinga Neuro and was reviewed and published by Benzinga editors.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
