OpenView raises a massive $570 million for its Fund VII to invest in high-growth software startups
Tech startups continue to struggle to raise new capital amid the economic headwinds that forced investors to pull back. However, software startups, specifically startups in the artificial intelligence (AI) space are largely unaffected by the funding drought due to the success of ChatGPT. The good news didn’t stop there. Software startups just received another piece of good news after venture capital OpenView announced its seventh fund.
Today, OpenView announced it has closed $570 million in funding for its seventh fund (Fund VII) to invest in high-growth software startups. The latest fund, which represents OpenView’s largest funding to date and a 25% increase over the firm’s sixth fund, will provide greater support to entrepreneurs during this difficult macroeconomic period.
Since its inception in 2006, OpenView has raised a total of $2.4 billion across its seven funds and has partnered with more than 60 companies including Datadog, Calendly, Axonius, JumpCloud, UserTesting, and Workfront, among others.
Meanwhile, OpenView has already begun investing out of Fund VII and looks forward to supporting the next generation of software entrepreneurs as they scale through the expansion stage and beyond.
“As we have for nearly two decades, we remain focused on identifying and supporting innovative business software companies in high-growth product markets primed for rapid expansion,” said Mackey Craven, partner at OpenView.
OpenView is led by veteran investors including Scott Maxwell, Mackey Craven, and Blake Bartlett, along with a next generation of partners who joined the partnership in its sixth fund.
“During this time of turbulence in the financial markets, OpenView is excited to have a new fund to support software startups,” said Blake Bartlett, partner. “We are grateful for our partnership with world-class limited partners, which makes it possible to support these promising companies as they build the future.”
OpenView boasts a team of nearly 80 members, which results in a ratio of two and a half people per portfolio company. This high level of resourcing enables the firm to collaborate closely with its portfolio companies to attract and retain the most suitable customers and talent.
“OpenView is dedicated to helping its portfolio companies with meaningful and measurable value that accelerates their journey through the expansion stage,” said Kyle Poyar, operating partner. “Whether it’s running a pricing project, placing an executive hire, connecting a founder to a top-tier CMO, or helping companies access capital markets, our Expansion Platform removes hurdles to unlock growth.”