Bessemer and Lightspeed ready new funds focused on AI startups
The two venture firms are arming themselves with fresh capital for AI deals, from early-stage to growth rounds and across India and Southeast Asia.
Bessemer Venture Partners has secured $5.75 billion for two funds, setting aside $1.75 billion for seed and early-stage investments and $4 billion for growth startups as it backs companies across the AI stack. The firm says its AI investments total $3 billion, spanning areas from compute and infrastructure to foundation models, developer tools and applications. Lightspeed is targeting $250 million for its India early-stage fund, Lightspeed India Partners V, about half the size of its $500 million 2022 predecessor, which has committed 80% of its capital. Lightspeed expects to start investing from the new vehicle within two months, over an investment period of roughly two and a half years. Its thesis is that AI could deliver greater value in India than the internet generated, and it plans to seek AI startups in India and Southeast Asia.
Why it matters
The new capital reshapes the funding landscape for AI companies at multiple stages and in different regions. Bessemer’s $5.75 billion across seed, early-stage and growth funds expands the pool of money available to AI-focused startups globally, while Lightspeed’s smaller but dedicated India and Southeast Asia fund signals a concentrated bet that AI in those markets will outstrip the value once created by the internet, with deployment beginning in the near term and running over several years.
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Sources
- TechCrunch