Menlo Ventures has announced a historic $3B capital raise split between Menlo Ventures XVII and Menlo Inflection IV, the largest in its 50‑year history. The funds target AI companies from foundational models to enterprise, healthcare and consumer applications, enabling the firm to support startups from seed through Series B and beyond.

The capital gives the Silicon Valley firm flexibility to back companies in their earliest days and later rounds that may require hundreds of millions of dollars. It also underscores AI’s rising importance to a firm once best known for investments in Uber, Roku and Siri.

Matt Murphy, a partner at Menlo Ventures since 2015, has driven the AI strategy, investing in infrastructure, developer tools and AI‑native software. His portfolio includes Anthropic, Lovable, Suno, Open Router, Wispr, Fireworks AI, Modal, Skild AI and Goodfire.

In an interview, Murphy explained that AI companies need more capital than earlier software generations, justifying larger checks and a barbell approach that doubles down on standout firms like Anthropic while keeping the firm’s founder‑focused culture intact.