Emergence Capital announced the closing of its $1 billion seventh fund on March 25, 2025. This marks the firm's first capital raise in nearly four years, after it secured nearly a billion dollars in capital commitments across two funds in May 2021. At that time, the firm closed its sixth early-stage fund with $575 million and raised an opportunity fund of $375 million.
Founded in 2003, Emergence Capital initially focused on investing in enterprise tech (B2B) startups. However, the firm has shifted its focus to artificial intelligence (AI) investments. General partner Joe Floyd told Fortune that investing in AI is a “generational opportunity.”
Over the years, Emergence Capital has backed notable companies such as Bill.com, Salesforce, Gusto, Zoom, and Box. The firm has had the backing of Stanford University since 2007, with Rob Wallace, CEO of Stanford Management Company, noting that Emergence has “careful investors” and “deep domain specialists in SaaS and software.”
The closing of this new fund signals Emergence Capital's increased commitment to investing in AI and further supporting innovative B2B startups in the field.
