Lux Capital has closed a $1.5 billion ninth fund, marking the largest fundraise in the venture firm’s 25 year history, as limited partners continue to commit capital despite a broader slowdown in US venture fundraising.
The new fund brings Lux Capital’s assets under management to about $7 billion.
Fundraising Amid A Broader Slowdown
The close comes during a challenging period for venture fundraising. Data from PitchBook shows that 2025 marked a 10 year low for the number of new venture capital funds raised in the United States.
Even so, investors have continued to back Lux, which focuses on early stage investments in frontier science, artificial intelligence, and defense related technologies.
Early Defense Technology Investments
Lux has invested in defense technology companies for years, well before the sector drew increased attention amid shifting geopolitical conditions.
The firm was a seed stage investor in Anduril, which was last valued at $30.5 billion, and in Applied Intuition, an autonomous vehicle startup that has secured contracts with the US Department of Defense and reached a $15 billion valuation last year.
AI Bets Ahead Of The Boom
Lux also made early investments in artificial intelligence companies prior to the surge in interest following the release of ChatGPT.
Its AI portfolio includes Hugging Face, Runway AI, and MosaicML. MosaicML was acquired by Databricks for $1.3 billion in 2023.
Notable Exits And Public Listings
Beyond defense and AI, Lux has recorded major exits across healthcare and robotics. The firm invested in Recursion Pharmaceuticals, an AI driven drug discovery company that went public in 2021.
Lux also backed Auris Health, a surgical robotics company that was acquired by Johnson & Johnson for up to $6 billion in 2019.
Positioning Going Forward
The ninth fund reinforces Lux Capital’s focus on early stage investments tied to scientific and engineering advances, even as overall venture capital activity remains subdued.
Featured image credits: Lux Capital
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