Radical Ventures Closes $650M Fund to Back Next-Gen AI Startups
Radical Ventures, the Toronto-based venture firm focused exclusively on artificial intelligence, has closed a US$650 million fund to invest in early-stage AI companies. The firm, founded in 2017 by Jordan JacobsDealroom has a profile for this one. Try Dealroom → and Tomi PoutanenDealroom has a profile for this one. Try Dealroom →, was among the first to bet on AI long before the sector’s recent boom.
Founded in 2017, Radical was among the first venture firms to focus exclusively on AI, backing companies developing core technologies long before the current boom. The firm’s strategy targets early-stage founders building foundational AI systems and infrastructure.
Radical’s portfolio includes, Cohere, now valued at about US$7 billion, World Labs, co-founded by Fei-Fei LiDealroom has a profile for this one. Try Dealroom → to develop spatially aware AI, and Periodic Labs, founded by former OpenAI and Google researchers to advance automated scientific discovery.
The new fund extends Radical’s long-term partnership with major institutional investors, including the Canada Pension Plan Investment Board, which has backed several of the firm’s previous vehicles. It will allow Radical to continue leading early rounds in companies based in North America and beyond, while selectively expanding its global footprint.
The close comes as AI dominates global venture capital, accounting for more than two-thirds of total funding in 2024. Amid growing concern about overvaluation, Radical’s founders maintain that AI represents a structural transformation rather than a short-lived cycle.
Source:
The Globe and Mail
J.V.
