US-based venture capital firm Sapphire Ventures is to invest $1bn (£774m) into AI start-ups globally.
The capital will come from the firm’s existing funds, it said, with the majority of cash going directly into AI start-ups – including those operating in the generative AI space. Another portion will be reserved for early-stage AI-focused venture funds.
Over the past six months, over $40bn (£31bn) has been pumped into AI start-ups – a quarter of all start-up investment according to Pitchbook – and PwC says it has the potential to add $15.7tn (£12.1tn) to the global economy by 2030.
“AI is really game-changing because it’s impacting the way new software is going to be built,” Jai Das of Sapphire Ventures said at a Reuters conference. “This is not just a commitment in dollars, it’s also the commitment that we are going to build up the infrastructure within the firm to help AI companies be successful.”
“AI represents a profound technology shift, and our $1bn commitment reflects our conviction in the opportunity,” Nino Marakovic, CEO and co-founder of the VC firm said. “We believe companies are only beginning to see the benefits of AI and generative AI, specifically.
“Soon, we expect there to be a massive, AI-driven productivity boom that will benefit workers at every level and create value throughout the global economy. We’re eager to back the next wave of enterprise innovators driving this evolution.”
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