Hitachi Ventures has announced the closing of its fourth fund, securing $400 million to fuel investments across a range of deep tech sectors, including fusion energy, artificial intelligence (AI), quantum computing, life sciences, and space technology.
Despite bearing the Hitachi name, the Munich-based corporate venture capital (CVC) firm operates independently, with Hitachi serving as its sole limited partner (LP). The firm’s investment strategy aligns with Hitachi’s broader interests in energy, manufacturing, biotech, and AI, but decisions are made exclusively by Hitachi Ventures’ partners—without corporate oversight from Hitachi.
“We’re open to breakthrough opportunities,” said Stefan Gabriel, Managing Director and CEO of Hitachi Ventures. “We focus on technologies that can truly transform industries, from nuclear fusion to advanced AI systems.”
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Series A Investments Remain the Sweet Spot
The new fund will primarily target Series A investments, with an average initial check size of around $5 million. Approximately 55% of the fund’s capital is reserved for follow-on investments, ensuring continued support for portfolio companies as they scale.
Gayathri Radhakrishnan, Partner at Hitachi Ventures, emphasized their proactive approach:
“We don’t just invest; we help our portfolio companies understand what potential customers—like Hitachi—are looking for. But ultimately, the product has to sell itself.”
A Diverse Portfolio Across Sectors
Hitachi Ventures’ portfolio reflects a broad interest in deep tech innovations. Notable investments include:
- Energy: Ascend Elements (battery recycling), Thea Energy (fusion technology), and Wase (wastewater-to-energy).
- AI: Ema (enterprise workflow automation), Strikeready (cybersecurity), and Makersite (AI-driven supply chain optimization).
Bridging Startups with Global Corporations
While Hitachi Ventures doesn’t guarantee commercial deals with Hitachi, it often facilitates introductions, providing startups with valuable access to potential enterprise customers.
Pete Bastien, Partner and President of Hitachi Ventures’ U.S. operations, added:
“We act as scouts, identifying innovative companies that align with Hitachi’s business goals. But at the end of the day, success depends on the startup’s ability to deliver value.”
Looking Ahead
With its latest $400 million fund, Hitachi Ventures aims to accelerate the growth of disruptive technologies that could shape the future of industries worldwide. The firm’s deep tech focus and strategic corporate connections position it as a key player in fostering the next wave of technological breakthroughs.
