European VC Index Ventures raises $2B for tech funds
Index Ventures has secured $2 billion in fresh capital, ensuring Europe's premier venture firm can continue backing early-stage startups and artificial intelligence developers without inflating fund sizes.
Index Ventures raised $2 billion in fresh capital on Friday, distributing the funds across three vehicles. The 30-year-old firm dedicated $400 million to a seed-focused fund and $900 million to a core venture fund. It also injected $700 million into a growth fund raised in 2024, bringing that vehicle's total available capital to $3.5 billion.
This latest haul comes two years after the firm closed $2.3 billion across two funds, including $800 million for a predecessor venture fund. While many rival venture firms have aggressively inflated their fund sizes in recent years, Index has deliberately avoided that trend. Instead, the firm is relying on standout recent performance to attract institutional capital.
That performance is heavily anchored by the $32 billion sale of cybersecurity company Wiz to Alphabet. Index backed Wiz at the seed stage, ultimately holding a 12% stake likely worth $3.8 billion. The firm also posted a major win as an early investor in Figma, which went public last year.
The new capital will further fuel Index's push into artificial intelligence. The firm has already backed robotics company Physical Intelligence and inference platform Fireworks AI. Index also invested in Anthropic during the AI model maker's September funding round, when it raised capital at an $183 billion valuation.
For the broader European tech economy, Index's ability to raise substantial funds is a notable marker of stability. It ensures a major homegrown player retains the firepower to compete with massive American tech investors for top deals. The strategy proves European firms can generate top-tier returns without blindly following market trends.
The dedicated $400 million seed fund is particularly significant for local entrepreneurs. It guarantees a deep pool of early-stage capital is available across the continent to support founders at the very beginning of their journeys. Meanwhile, the venture and growth funds provide the necessary follow-on capital to scale European startups into global competitors.
