Index Ventures Receive $2.3 Billion in New Funding

Index Ventures, a leading global venture capital firm, on Wednesday announced $2.3 billion in new funds to forge relationships with exceptional entrepreneurs who are creating transformative, category-defining businesses.

Combined with its existing $300 million Origin seed fund, Index Ventures plans to deploy $2.6 billion in capital to back founders from seed to IPO. This brings Index’s total capital raised since its founding to $15 billion.

Index’s fundraise comes at a pivotal moment for the global start-up ecosystem. The rise of transformative technologies such as AI, the emergence of tried-and-tested playbooks for hyper-growth companies, and the critical mass of experienced global talent are feeding into and accelerating one another.

The result is that entrepreneurs stand at a historical tipping point in which they have unprecedented opportunities to create new, category-defining businesses.

Shardul Shah, partner at Index Ventures, said that even though technology has transformed daily lives, the reality is that it has so much further to go. AI alone will revolutionize virtually every sector of the economy and open up whole industries to venture that have remained virtually untouched, he said.

“Meanwhile, hundreds of thousands of people have worked in hyper-growth start-ups globally and can transfer those lessons to the next generation of companies. We are energised by the unique opportunities that this historical moment presents and excited to partner with founders to solve the world’s trickiest and most consequential problems,” Shah added.

With its new $800 million venture fund and $1.5 billion growth fund, Index is positioned to be the best long-term partner for entrepreneurs building upon this new foundation wherever they are in the world.

Index has a meaningful presence from San Francisco in the West to Tel Aviv in the East – spanning ten time zones and 24 of the world’s 30 most vibrant ecosystems.

Established on the West Coast with a portfolio that includes Figma, Discord, Notion, and Roblox, Index has stepped up its US presence with a new office in New York. This means it can partner closely with category leaders like Datadog, as well as start-ups such as Wiz and DataSnipper, using New York as a bridge to help them expand from Europe and Israel across the US.

Index’s Journey

Index has a nearly three-decade history of identifying, nurturing, and partnering with visionary founders. Most of these partnerships begin early in a company’s life, at Seed and Series A.

Index has invested in 109 companies that reached a $1 billion valuation, 23 that exceeded a $10 billion valuation, and 57 that became publicly traded. The businesses in the Index portfolio have created 200,000 jobs so far and are on track to hire 20,000 more in the next 12 mionths. Recent highlights from the Index portfolio include:

Wiz, the cloud security company in which Index was an early investor, grew to 100x its value within 18 months – becoming the fastest-ever company to hit $100 million in that time. Wiz has now reached over $350 million and serves over 40% of the Fortune 100.

Scale AI recently raised $1 billion and doubled its valuation to $14 billion, and its data foundry powers nearly every leading large language model. DeepL, the language AI company, is transforming the language industry, which is projected to grow to $95.3 billion by 2028. Index led DeepL’s $300 million raise at a $2 billion valuation earlier this year;

Revolut, the all-in-one finance platform, announced revenues exceeding $2.2 billion for 2023, with record pre-tax profits of $545 million and 45 million customers globally

When Index’s founders succeed, they generate outsized returns for the firm’s limited partners, which include non-profit foundations, educational endowments, healthcare and research institutions, and other impact-oriented organisations.