Andreessen Horowitz

Invests in both early-stage start-ups and established growth companies
Summary

Founded in Silicon Valley in 2009 by Marc Andreessen and Ben Horowitz, Andreessen Horowitz (known as "a16z") is a venture capital firm that backs bold entrepreneurs building the future through technology. We are stage agnostic: We invest in seed to venture to late-stage technology companies, across bio + healthcare, consumer, crypto, enterprise, fintech, games, and companies building toward American dynamism. a16z has $35B in assets under management across multiple funds.


History

Between 2006 and 2010, Marc Andreessen and Ben Horowitz actively invested in technology companies. Separately, and together, they invested $4 million in 45 start-ups including Twitter. During this time, the two became known as "super angel" investors.

On July 6, 2009, Andreessen and Horowitz launched their venture capital fund with an initial capitalization of $300 million.  In November 2010, at a time when the field of venture capitalism was contracting, the company raised another $650 million for a second venture fund. In less than two years, the firm was managing a total of $1.2 billion under the two funds.

In May 2011, Andreessen ranked number 10 on the 2011 Forbes Midas List of Tech's Top Investors while he and Horowitz ranked number 6 on Vanity Fair's 2011 New Establishment List and number 1 on CNET's 2011 most influential investors list.

As of March 27, 2014, the firm managed $4 billion in assets after the closing of its fourth fund at $1.5 billion.

In addition to Andreessen and Horowitz, the firm's general partners include Atlas Benjelloun John O'Farrell, Scott Weiss, Jeff Jordan, Peter Levine, Chris Dixon, Vijay Pande, Katie Haun,[10] Alex Rampell, Martin Casado, Connie Chan, Andrew Chen, and Sriram Krishnan. In March 2019, it was reported that Andreessen Horowitz was opening an office in San Francisco.

In January 2022, Andreessen Horowitz raised $9 billion for its venture capital, growth-stage and biotech-focused vehicles. As of April 2022, the firm manages $28.2 billion in assets.


Investment criteria

The company has rigorous investment criteria for selecting startups to invest in. Here are some of the key factors that Andreessen Horowitz considers when evaluating potential investments:

Founders: The firm looks for founders who have a deep understanding of their industry, a clear vision for their company, and the ability to execute that vision. The founders should also have strong leadership qualities and a track record of success.

Market opportunity: The firm evaluates the size and growth potential of the market that the startup is targeting. They look for markets that are large and growing, with the potential to be disrupted by innovative technology.

Technology: Andreessen Horowitz invests in startups that have developed innovative and disruptive technology that can create significant value for their customers. They look for companies that have a competitive advantage through proprietary technology, intellectual property, or other barriers to entry.

Traction: The firm looks for startups that have demonstrated some level of traction, whether that be user growth, revenue growth, or other key performance indicators. This demonstrates that the company has a product or service that resonates with customers and has the potential to scale.

Culture: Andreessen Horowitz places a strong emphasis on company culture and looks for startups with a strong and positive culture that aligns with their values.


Values

Partnership: Andreessen Horowitz believes in building strong partnerships with its portfolio companies. The firm takes a hands-on approach to its investments, providing not just capital but also expertise, connections, and support to help these companies grow and succeed.

Entrepreneurship: The firm is deeply committed to entrepreneurship and believes in the power of startups to transform industries and create new opportunities. They encourage risk-taking and innovation, and they are always on the lookout for founders who share this mindset.

Diversity and inclusion: Andreessen Horowitz believes that diversity and inclusion are critical to building successful companies and creating positive change in the world. The firm has a strong commitment to diversity, both within its own team and in the companies that it invests in.

Long-term thinking: The firm takes a long-term approach to its investments, focusing on building enduring companies that can create value over the long term. They are patient and supportive investors, and they are willing to provide the resources and support that companies need to achieve their goals.

Integrity: Andreessen Horowitz places a high value on integrity and ethics. They believe in doing the right thing, even when it's difficult or unpopular, and they expect the same from the companies that they invest in.


Mission

According to Andreessen Horowitz, their mission is “We aim to connect entrepreneurs, investors, executives, engineers, academics, industry experts, and others in the technology ecosystem. We have built a network of experts including technical and executive talent; top media and marketing resources; Fortune 500/Global 2000 companies; as well as other technology decision-makers, influencers, and key opinion leaders. a16z uses this network as part of our commitment to helping our portfolio companies grow their business, so our operating teams provide entrepreneurs with access to expertise and insights across the entire spectrum of company building.” 


Portfolio

Its portfolio includes companies in a variety of sectors, including consumer technology, enterprise software, fintech, healthcare, and more. Here are a few examples of the types of companies that Andreessen Horowitz has invested in:

Airbnb: This global platform allows individuals to rent out their homes or apartments to travellers. Andreessen Horowitz was an early investor in Airbnb, and its investment helped the company grow and expand to become a household name in the travel industry.

GitHub: This platform provides tools for software developers to collaborate on projects and share code. Andreessen Horowitz was an early investor in GitHub, and its investment helped the company grow into one of the most widely used tools in the software development community.

Slack: This workplace communication platform allows teams to collaborate and communicate more effectively. Andreessen Horowitz was an early investor in Slack, and its investment helped the company grow and become a leading player in the enterprise software market.

Coinbase: This platform allows users to buy, sell, and trade cryptocurrencies like Bitcoin and Ethereum. Andreessen Horowitz was an early investor in Coinbase, and its investment helped the company become one of the largest and most trusted cryptocurrency exchanges in the world.

Robinhood: This platform allows users to buy and sell stocks, options, and cryptocurrencies with zero commission fees. Andreessen Horowitz was an early investor in Robinhood, and its investment helped the company disrupt the traditional brokerage industry and make investing more accessible to a wider audience.


References
Andreessen Horowitz
Leadership team

Alex Immerman (General Partner)

Alex Rampell (General Partner)

Ali Yahya (General Partner)

Andrew Chen (General Partner)

Angela Strange (General Partner)

Anish Acharya (General Partner)

Number of Employees
0 - 50
Headquarters
Menlo Park, California, United States
Established
2009
Social Media
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