Reach Capital raises $265M Fund V to back AI founders building to ‘expand human potential’
Reach Capital has closed a $265 million fund to invest in early-stage AI startups focused on learning, health, and work. The firm aims to support founders who use AI to expand human potential rather than replace it.
Why it matters
The successful raise highlights the continued investor appetite for specialized, conviction-based venture capital funds despite a broader market trend favoring massive, generalist firms.
Reach Capital announced Tuesday the close of a $265 million Fund V. The thesis of the 11-year-old, San Francisco firm is to back founders building AI applications that can “expand human potential,” Tony Wan, head of platform at Reach Capital, told TechCrunch. In practice, he added, that means looking at founders building across three areas: learning, health, and work.
“We believe AI should serve human flourishing, not replace it,” Wan said. The firm’s previous investments include Replit, ClassDojo, and Coral Care.
The new fund will write checks of $1 million to $10 million, spanning pre-seed through Series A, into roughly 50 companies over the next three years. So far, no companies have been backed through Fund V.
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