San Francisco–based venture capital firm DVC has successfully closed its new fund, DVC AI Fund I, raising $75 million to focus exclusively on Series A and B investments. The fund zeroes in on transformative AI sectors, including core AI infrastructure, vertical model stacks, and application-layer solutions.
This step marks a significant evolution in DVC’s approach as it builds on the success of over 120 startups through its AI-driven investment model.
DVC’s co-founders, Marina Davidova and Nick Davidov, have overturned traditional venture capital norms by eliminating the conventional analyst team. Instead, the firm uses proprietary AI agents to conduct preliminary deal sourcing and due diligence.
Complementing this technological base is a robust, global network of more than 170 limited partners (LPs), all of whom are founders-turned-investors from elite tech companies, including OpenAI, Google, Meta, Microsoft, Tesla, and SpaceX.
This hybrid model enables DVC to efficiently build comprehensive deal memos from publicly available company data such as pitch decks and market analysis in mere minutes, a process that formerly required a full day of labor. The AI system evaluates over 120 signals, encompassing traction, team dynamics, and investor interest, generating data-driven and actionable insights for swift investment decisions.
Human Expertise with Automated Intelligence
While AI agents handle the heavy data workload, DVC’s LPs inject essential human judgment into the process. They assess qualitative factors such as founder motivation, company culture, and team chemistry to identify startups poised for breakout success.
This approach has empowered DVC to make swift, low-friction investments, often securing $1 million or more in SAFE notes well ahead of formal funding rounds. Early investments enhance founders’ negotiation positions while providing DVC with preferential allocations.
DVC has boosted its leadership with notable hires that deepen both technical and go-to-market expertise. Former Google and Yahoo executive Mel Guymon now serves as General Partner, leading enterprise strategies. Charles Ferguson, creator of Microsoft’s FrontPage and an Oscar-winning filmmaker, leads deal origination efforts, while Alexey Rybak, with a background in Meta AI and Perplexity AI, acts as Vice President, shaping product and technical vision.
DVC’s portfolio boasts remarkable companies pushing boundaries in AI innovation. This includes decacorn-level search platform Perplexity AI, chipmaker Etched, Mira Murati’s Thinking Machines Lab, and AI-powered video startup Higgsfield that achieved $50 million in annual recurring revenue within its first year. The fund’s diverse investments highlight DVC’s ability to spot and nurture high-potential startups shaping the future of AI.
DVC’s AI-driven model has transformed traditional venture workflows by automating stages like deal sourcing, due diligence, and portfolio tracking. This new approach enables the firm to manage megafund-level capacity using dramatically fewer resources, enhancing investment speed and precision.
“We fired our analysts and hired our LPs, empowering them with AI so they can focus on the most impactful work without the chore. We proved the model works. Now we scale,” said Nick Davidov.
