Andreessen Horowitz Raises $1.1 Billion for AI Hardware Fund

Andreessen Horowitz raised $1.1 billion for a fund that will invest in physical AI and infrastructure startups, the firm announced Friday. The money will be used to back companies building chips, memory, networking, storage and other companies involved in the AI buildout.

Investors on the firm’s infrastructure team, helmed by Martin Casado, and its American Dynamism team, which invests in defense tech and is led by David Ulevitch, can invest out of the fund, a person familiar with the effort said.

The new cash comes only nine or so months after Andreessen Horowitz raised $15 billion, which included $1.7 billion for a fund to invest in AI infrastructure, or the tech that underpins the AI stack, such as developer tools, cloud, and security. American Dynamism raised just under $1.8 billion in that effort. It’s also on the heels of two notable exits for the infrastructure team: SpaceX’s $60 billion acquisition of Cursor, and Stripe’s $7.5 billion acquisition of OpenRouter.