Andreessen Horowitz has raised $1.1 billion for a new fund called Machine Age, dedicated to the physical infrastructure underpinning artificial intelligence1,2.
The fund marks a departure from the venture firm's traditional emphasis on software-driven scale. Machine Age will target hardware investments spanning computer chips, memory, data centers, and robots.
In a post on the firm's website, Andreessen Horowitz outlined the categories it considers underfunded relative to AI's trajectory: "We need faster, more efficient systems. We need cheaper and higher-bandwidth memory across the memory hierarchy. We need faster and more scalable interconnects between nodes and systems. We need power efficient edge devices for AI to explore and interact with the world. And of course we need all the cooling, materials, electrical, and real estate build out to support them".
The firm framed AI as "the strongest tool ever developed for solving problems and bestowing abundance," calling its advancement "a social and national imperative".
The fund was announced on August 28, 2026.
ANALYSIS A $1.1 billion vehicle focused exclusively on AI hardware, from a firm historically identified with software investing, represents a concrete capital reallocation toward the physical layer of the AI stack: silicon, interconnects, power, cooling, and robotics. The scope described in the firm's post covers nearly every bottleneck in current AI infrastructure, from chip-level compute to data-center real estate.