The co-founder of Andreessen Horowitz, Ben Horowitz, announced on Tuesday that the company has successfully raised a whopping $7.2 billion. The funds are earmarked for five major venture strategies, including American Dynamism, Games, Apps, Infrastructure, and Growth. Of this substantial amount, the Growth section received the largest share with $3.75 billion while Games and American Dynamism got an equal allocation of $600 million each.
The intended use of these recently garnered funds is so far unclear, though the firm’s Games venture has hinted at a keen interest in the emerging domain of Web3 gaming. Their venture page elucidates how games are revolutionizing the entire consumer ecosystem through innovative engagement, retention, and monetization techniques, such as microtransactions, battle passes, and Web3 tokens.
As per Bloomberg, Andreessen Horowitz is set to raise even more funds next year, although crypto was not initially part of the raised capital. In the words of Ben Horowitz, this latest fundraising is a significant milestone for the firm.
Backing up this disclosure, reports from last fall confirmed that the venture capital juggernaut was aiming for a target of $3.4 billion for its various funds. Following this trajectory, it seems likely that new investment opportunities could surface around 2025.
Last month, A16z disclosed that it had chosen 25 startups for its spring 2024 crypto startup accelerator, offering each a generous investment of $500,000 in exchange for a 7% equity stake. Additionally, the VC firm has been proactively leading funding rounds in the crypto space, such as the series B funding round for Espresso Systems.
Echoing the firm’s faith in the transformative power of crypto, Ali Yahya, a general partner at Andreessen Horowitz, stated earlier that crypto is fundamentally a tech movement that facilitates better cooperation at a larger scale, even amongst parties who mutually distrust each other. Earlier this year in February, it was revealed that A16z had invested $100 million in Series B funding for EigenLayer1.