Crosspoint Venture Partners

Crosspoint Venture Partners was a prominent Silicon Valley venture capital firm, established in 1980, that became a significant force during the dot-com boom of the late 1990s and early 2000s. Based in Redwood City, California, the firm specialized in early-stage investments, primarily targeting companies within two strategic areas: E-Business Services and Broadband. Its investment thesis centered on identifying and nurturing nascent technologies and business models that were poised to revolutionize the digital economy.

During its active period, Crosspoint Venture Partners was known for its substantial fundraises, reflecting its ambition and the market's appetite for tech investments. For instance, the firm successfully raised a $600 million fund in 1999 and followed it with an even larger $1 billion fund in 2000, positioning itself as one of the largest venture capital pools at the time. The firm typically deployed capital in the range of $5 million to $20 million for its initial investments, aiming to provide significant runway for its portfolio companies to scale.

Crosspoint's portfolio included several high-profile companies that defined the internet era, such as Ariba, Netscape, and Kana Communications. These investments underscored its ability to identify and back promising ventures that later achieved considerable market presence. The firm's partners were often deeply involved with their portfolio companies, offering strategic guidance beyond mere capital injection.

However, the firm's trajectory was heavily impacted by the dot-com bust. By 2002, Crosspoint Venture Partners began winding down its operations, ceasing new investments and focusing on managing its existing portfolio through the downturn. This decision marked the end of an era for one of the most active and influential venture firms of its time, a testament to the volatile nature of early-stage technology investing during that period.