Market & RegulationInvestment · $490M
Ballistic Ventures seeks $490M for AI cybersecurity funds
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Why it matters
- →AI-enabled cybersecurity startups now dominate venture deal flow, capturing 72% of U.S. funding through May 2025.
- →Ballistic Ventures' $490M raise signals strong institutional confidence in the defensive AI security sector.
- →The fund targets the growing threat landscape where attackers leverage AI for phishing and malware at scale.
Cybersecurity-focused venture capital firm Ballistic Ventures has filed to raise $490 million across two new funds, matching the size of its previous flagship vehicle. The fundraising effort comes as U.S. cybersecurity startups raised $11.5 billion in 2025, with AI-enabled companies comprising 72% of deals through May. This surge follows Microsoft's recent warning that attackers are increasingly using AI for phishing and malware development. Ballistic Ventures, co-founded by Ted Schlein, aims to capitalize on the demand for defensive AI tools against these sophisticated threats.
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TopicAI Startup Funding And M&ARising
Earlier coverage that leads up to this article, and what followed. Lines connect each piece to the closest one after it, converging here.
How we got here
- 1Cybersecurity Startup Funding Remains Strong in 2026
Crunchbase News · July 14, 2026 · Related
- 2Spur raises $200M to combat bot traffic
TechCrunch AI · July 28, 2026 · Background
- 3Index Ventures raises $2B to invest in AI
Sifted · August 3, 2026 · Background
- 4Exein raises $270M to combat AI hackers
Sifted · September 15, 2026 · Background
- 5Cybersecurity Funding Hits $6.8B in Q3 2026
Crunchbase News · October 15, 2026 · Related
- 6Disruptive raises $10B fund for AI and defense bets
TechCrunch AI · October 27, 2026 · Background
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