Bain Capital Ventures has officially closed its Fund XI, securing $1.6 billion to support early-stage artificial intelligence startups. This capital raise marks the largest venture vehicle in the firm's history, surpassing the $1.4 billion raised for Fund X in 2023.
The new fund focuses on four primary sectors: AI infrastructure, physical AI, including robotics and automation, security, and software applications. The investment strategy centers on the expectation that artificial general intelligence will fundamentally transform various industries over the coming decade.
Historically, over 82% of the firm's capital has been allocated to pre-seed, seed, and Series A or B funding rounds. Current portfolio companies include the data center operator Crusoe, the enterprise IT support firm Moveworks, and the AI coding startup Poolside.
The investor base for Fund XI comprises institutional allocators such as pension funds, endowments, and foundations, alongside the partners and employees of Bain Capital. The firm intends to address the capital-intensive nature of physical AI by providing support for hardware development and manufacturing.
