New York-based venture capital firm Betaworks has announced the closure of its US$66 million Fund III. This fund will focus on early-stage investments in AI startups.

The fund aims to target pre-seed to seed-stage investments.

It plans to support at least 25 companies directly and over 50 startups through its Betaworks Camp program.

Fund III will concentrate on areas such as AI agents, native AI interfaces, and application-layer AI, Crook said.

Average investment amounts are expected to be around US$500,000, according to partner Jordan Crook.

Betaworks has been investing in AI since 2016. Previous investments include Hugging Face and Granola.

The firm previously raised US$48 million and US$46 million in its last two funds, launched in 2016 and 2020, respectively.

Founded in 2008, Betaworks operates as a venture studio and has made investments in companies such as Tumblr and Kickstarter.

Recent Betaworks developments