New fund · AI & Deep Tech

Activate closes maiden fund at $105 million

By Startup Enthusiast · 16 September 2026

What they do

Activate backs AI-native startups at pre-seed or idea stage

It closed its first fund at $105 Mn, 125% above target, within a year

The fund has more than 50 founders and AI researchers as LPs, including Vinod Khosla

Activate has closed its maiden fund at $105 Mn (~₹1,000 Cr).
The flagship early-stage fund is $85 Mn; growth vehicles make up $20 Mn.
The flagship fund closed at 125% above its original target.
The fund closed within a year of launch, with first close at $75 Mn in December 2025.
It has made 10 investments since first close.
Its early-stage strategy, called Inception, has backed 7 startups in stealth.
Activate partnered with NVIDIA in February 2026 for model access and compute.
Portfolio companies can get up to $1 Mn in credits and benefits from partners.

AI startups in India raised $676 Mn across 57 deals in H1 2026, over 4X year-on-year.
Bajaj Finserv is planning a ₹450 Cr AI-focused fund.
Accel closed a $550 Mn fund for AI and deeptech.
Elevation Capital launched a $500 Mn AI-focused Fund IX in July 2026.
Early-stage AI deal activity is at an all-time high per Aakrit Vaish.

Activate backs AI-native startups at pre-seed or idea stage.
It works with founders from ideation stage, sometimes before incorporation.
It supports product, architecture, hiring, go-to-market, and fundraising.
It has two founder cohorts: super early-stage deeptech/infra founders, and seasoned corporate execs building AI services.
Cheque sizes are the same for both cohorts, depending on area, opportunity, and team.
Initial equity investment range is $500K to $3 Mn.
It targets 25-30 startups across AI applications, foundational models, and physical infrastructure.
Its ecosystem includes a GenAI community of 15,000+ practitioners across 40+ groups.

Activate plans to back 25-30 startups across AI applications, foundational models, and physical infrastructure.