Transition Ventures raises €128 million Fund II for early-stage companies at the intersection of AI and the physical world

Transition Ventures has successfully closed its €128 million Fund II, significantly boosting its Assets Under Management to over €257 million. This substantial capital raise underscores a growing European trend of investment firms focusing on early-stage companies at the critical intersection of artificial intelligence and the physical world, signaling a strategic shift towards tangible technological innovation. The firm's investment thesis targets ambitious founders creating impactful, long-term solutions across software, hardware, and DeepTech. With a team that has a proven track record of founding companies valued at over €12 billion, Transition Ventures is well-positioned to identify and nurture the next generation of European innovators addressing complex global challenges. This fund’s focus aligns with a broader European initiative to foster independent technological development and digital sovereignty. This development mirrors a wider surge in European venture capital activity in DeepTech and AI. Numerous London-based firms, alongside significant funding rounds in Denmark, Poland, France, and Germany, have collectively raised over €1 billion in similar specialized funds. This concerted effort demonstrates a strong European commitment to advancing cutting-edge technologies and building a robust digital ecosystem, aiming to compete on the global stage.