Key facts
- Bain Capital Ventures (BCV) has raised a new $1.6 billion fund.
- The fund is 14% larger than BCV's previous $1.4 billion fund.
- BCV will use the funds to back startups focused on AI, particularly artificial general intelligence (AGI).
- Key investment themes include infrastructure, healthcare, physical AI, and security.
- BCV plans to invest in 30 to 40 companies, primarily at the seed through Series B stages.
- BCV's affiliation with Bain Capital provides access to credit, real estate, insurance, and private equity expertise.
Bain Capital Ventures (BCV), the venture capital arm of private equity firm Bain Capital, has successfully raised a new fund totaling $1.6 billion. This latest fund is 14% larger than its predecessor, which was announced three years ago and valued at $1.4 billion.
BCV intends to deploy the new capital to support startups primarily focused on artificial intelligence (AI). The firm believes that artificial general intelligence (AGI), defined as AI agents capable of performing numerous tasks at a human level, has already emerged. Consequently, BCV aims to invest in companies that not only leverage AGI's capabilities but also develop the necessary infrastructure for its efficient operation.
According to partner Kevin Zhang, key investment themes for BCV in what it terms the "post-AGI era" include infrastructure, healthcare, physical AI, and security. Zhang stated that the firm's goal for compute infrastructure investment is to drive down the cost of running AI to near zero, making it "too cheap to meter." He highlighted Crusoe, a data center developer reportedly valued at $30 billion and considered a potential IPO candidate, as an example of a portfolio company contributing to this mission. BCV initially led Crusoe's Series A funding round in 2019, when the company's focus was on crypto mining.
The firm's interest in healthcare stems from its belief that AI will significantly transform the sector. In the security domain, BCV sees potential for investment following recent public discussions about AI agents malfunctioning during training. Notable investments in these areas include Loyal, a pet longevity startup, and Dream, an AI-powered national infrastructure defender.
Zhang also noted that BCV's affiliation with Bain Capital differentiates it from other venture firms, offering founders access to a broader range of financial products and expertise in credit, real estate, insurance, and private equity. This allows BCV to support founders with debt facilities and infrastructure partnerships, in addition to equity capital.
This 11th fund from BCV is expected to back between 30 and 40 companies, with a primary focus on seed through Series B funding stages. Zhang mentioned that BCV's investment process often involves partners collaborating in pairs or trios to support specific deals, emphasizing the firm's commitment to being thoughtful partners to the teams it backs.