Madrona is celebrating our 30th year in 2025. 30 years of building trust with founders, investors, and ecosystem partners. 30 years of being ahead of the curve in major technology inflections like Internet, SaaS, cloud, and applied AI (intelligent apps). 30 years of rolling up our sleeves to help entrepreneurs build long-term value. And 30 years of consistently delivering market-leading returns.
As we celebrate our 30th year, we proudly announce Madrona’s Fund X and Acceleration Fund IV with a combined $770 million in new capital. We intentionally sized the funds to provide founders with the capital and high-impact support they need, along with the depth of understanding and attention they value. We expect to make initial investments in approximately 30 companies in Fund X at pre-seed, seed, or Series A stage and 12 in AF IV primarily at a Series B or C stage over the life of the funds and support those companies as long as needed to achieve their business and societal goals. We will continue to invest heavily in the dynamic technology ecosystems in greater Seattle, the Pacific Northwest, and Silicon Valley.
Read more from The Information: Armed With $770 Million, a Seattle VC Firm Hunts for AI Apps
Just as the technology, venture capital, and company-building worlds have evolved, so has Madrona. We have evolved from seed investing “super angels” in 1995 to a multi-stage and multi-office firm in 2025. With Fund X, the whole Madrona team is as passionate as ever to help build companies from Day One (pre-seed, seed, and Series A) for the long run from both our home base of Seattle and our three-year-old Palo Alto office. Over the past eight years, through our Acceleration Funds, we have extended our company-building experience by leading or co-leading Series B and Series C rounds for category-defining companies at an inflection point of growth, including Snowflake, Rec Room, Observe, Deepgram, and others.
The new funds will leverage the unprecedented impact of applied AI, which is only beginning to have a transformative impact on consumers, businesses, and the world around us. Technology and business model changes are happening more quickly today than in the past. We have helped found and build transformative applied machine learning and AI companies for over two decades and will leverage those experiences with new investments. In 2003, we partnered with Oren Etzioni and the Farecast team (acquired by Microsoft) to reimagine consumer travel, and in 2013, with Carlos Guestrin and the Turi team (acquired by Apple) to launch the intelligent application era. Current portfolio companies in applied AI include Runway, the leader in AI-generated video; Unstructured.io, a core component to any AI data strategy; Read AI, the modern productivity copilot, and more.
Read more from GeekWire: Madrona raises $770M for new funds — here’s what the Seattle VC firm is betting on
In the current “risk on” macro environment for corporate spending and capital markets, opportunities for applied AI innovation abound. We believe that domain-specific applications of AI in sectors as varied as travel and life sciences, agentic-first consumer and commercial solutions, and horizontal, functional layers that reduce friction between the models, workflows, and end customers are all areas where transformative companies will be built. We also expect that multi-modal user interfaces, models, and combinations of digital and physical experiences will transform how humans and AI work together to solve priority problems in the years ahead.
The Madrona team has always believed that a healthy mix of prepared and curious minds can anticipate how customer problems, technological disruptions, novel business models, and, of course, exceptional founding teams are brought together to positively change the world. We will continue to leverage a deep Seattle perspective (shaped by our close relationships with and understanding of Amazon and Microsoft) alongside a strong Bay Area presence to provide founders with the best of both worlds. With a long track record of success and $770 million of new capital, we are excited to roll up our sleeves with amazing entrepreneurs to build transformative companies.