Andreessen Horowitz has collected a little more than $15 billion in new capital, the firm said on Monday, a haul that lifts its assets under management to just over $90 billion and underscores its stature among the world’s largest venture investors. And by the firm’s own reckoning, that raise alone constitutes over 18% of all U.S. venture dollars deployed in the last year — a number so large it betokens how concentrated power in venture has become.
The scale matters. With that much dry powder, a16z is in the position to set terms, write follow-ons up and down market cycles and define entire categories — from offense tech to AI — that only small numbers of firms can compete with.
AUM Scale and How the Money Is Being Allocated
The firm says the capital is divided among five funds:
- Approximately $6.75 billion toward growth
- $1.7 billion toward apps
- $1.7 billion for infrastructure
- Some $1.176 billion for the American Dynamism strategy
- Another $700 million dedicated to biotech and healthcare
There is also an additional $3 billion set aside for other venture strategies. That allocation telegraphs a barbell: late-stage firepower on one end, deep-tech bets with long runways on the other.
Those operations are now organized across U.S. hubs and international outposts, with employees on six continents and a first Asian office in Seoul attached to its crypto practice. It’s no longer so much a Sand Hill partnership as it is a global capital platform.
Who Supports the War Chest Behind A16z’s Raise
The firm has not disclosed individual limited partners or performance metrics such as DPI, a critical indicator of realized returns. Notably, investors in the fund include CalPERS, which allocated roughly $400 million to the firm — its first to an Andreessen Horowitz growth fund — and Sanabil Investments, a Saudi Arabian-backed entity backed by the Public Investment Fund of Saudi Arabia that counts Andreessen Horowitz on its roster of investments.
That sovereign wealth link isn’t so subtle: firm leaders have shown up at Saudi-backed events and courted state capital from around the globe — a development that puts a different shine on late-stage venture as mega-funds search for LPs with equally mega-sized balance sheets. The flip side is scrutiny on governance, transparency and geopolitical risk.
American Dynamism and the New Industrial Stack
One central focal point in this raise is American Dynamism, a16z’s banner for national-priority sectors that includes defense, aerospace, public safety, housing, education and advanced manufacturing. The portfolio is already beginning to sound a lot like a Defense Department wish list: Anduril (autonomous systems), Shield AI (smart aircraft), Saronic (unmanned naval vessels) and Castelion (hypersonics).
The thesis is a blunt one: The U.S. needs to reindustrialize and reshore vital capacity. a16z has claimed that existing stocks of precision munitions would last only a few days in a major conflict, with replacement times measured in years. If that calculus is correct, the upside for dual-use startups — and their investors — could stretch a generation.
Andreessen Horowitz Asserts a Full-Stack AI Position
At each layer of AI, the company has placed itself: infrastructure (Databricks), foundation models (stakes in OpenAI, xAI and Mistral AI) and applications (Character.AI and others). Model training costs have soared, and data center buildouts are capital-intensive, so a $15 billion war chest is a competitive advantage. It enables the firm to back capital-hungry rounds and protect its ownership as a wave of consolidation unfolds.
The portfolio is constructed to spur cross-pollination: model companies serving apps, apps spurring demand for infrastructure and infrastructure in turn feeding back into modeled efficiency — a flywheel that can gyroscopically add returns if the trajectory of the market so continues.
What the Track Record Shows, and What It Does Not
a16z has marquee wins to point to: an early Coinbase stake that took the company all the way to a huge public valuation, plus exits of Airbnb, Slack and GitHub that anchored previous funds. In addition, market intelligence firm Tracxn tracks 115 unicorns, 35 IPOs and 241 exits related to the firm’s portfolio.
But disclosure around what returns have already been realized is scant, particularly with regard to the value of its token holdings and marks from the growth era of the last boom-and-bust cycle. Until DPI numbers are public, outsiders have to read the tea leaves: LPs keep re-upping in size, and that’s typically the best vote.
Why This Raise Is a Game Changer for Venture Capital
For founders, the upside is clear: a single counterparty that can lead early, mid and late rounds; recruit executive talent; and open doors in Washington and around the world. The downside is market concentration. When a company as large as one of these announces terms, a lot of other companies follow — and that’s an effect that can reduce the competitiveness of deals and ripple through deal pricing across stages.
To competing firms, the message is as clear: scale is an imperative strategy, not just a scoreboard. In a universe where the largest checks define the frontier, as compute, defense manufacturing and biotech platforms demand billions. With this raise, Andreessen Horowitz isn’t merely betting on that future — it is staking itself as an underwriter of it.
