
Microsoft
Description
Microsoft operates as a significant strategic investor, primarily through its corporate venture arm, M12 (formerly Microsoft Ventures). Established to support and accelerate B2B software companies, M12's investment strategy is deeply aligned with Microsoft's core business objectives, focusing on areas like cloud infrastructure, artificial intelligence, cybersecurity, and enterprise applications. The firm seeks to invest in innovative startups that can leverage Microsoft's vast ecosystem, technology, and global customer reach.
M12 typically targets companies in their Series A through C funding rounds, providing not just capital but also strategic support and access to Microsoft's resources. Their investments are designed to foster long-term partnerships, helping portfolio companies scale and integrate with Microsoft's platforms. M12 has a global footprint, having invested in more than 100 companies across 10 countries, demonstrating its commitment to supporting a diverse range of startups worldwide. Typical first cheque sizes for M12 range from $2 million to $15 million, reflecting their focus on growth-stage companies.
Beyond M12, Microsoft also engages in broader strategic investments and initiatives, such as the Microsoft Climate Innovation Fund, which committed $1 billion to accelerate global innovation in sustainability. These investments underscore Microsoft's commitment to leveraging its financial and technological power to address global challenges and expand its influence across emerging technology sectors. Overall, Microsoft's investment approach is highly strategic, aiming to cultivate an ecosystem of innovative partners that complement and enhance its product and service offerings.
Investor Profile
Microsoft has backed more than 294 startups, with 20 new investments in the last 12 months alone. The firm has led 100 rounds, about 34% of its total and boasts 55 exits across its portfolio.
Investment Focus Highlights
- Concentrates on Grant, Non Equity Assistance, Series Unknown rounds (top funding stages).
- Majority of deals are located in United States, United Kingdom, India.
- Strong thematic focus on Software, Artificial Intelligence (AI), Information Technology.
- Led 5 rounds in the past year.
- Typical check size: $2M – $15M.
Stage Focus
- Grant (20%)
- Non Equity Assistance (13%)
- Series Unknown (12%)
- Seed (9%)
- Series B (6%)
- Series A (6%)
- Series C (5%)
- Corporate Round (5%)
- Pre Seed (4%)
- Series D (4%)
Country Focus
- United States (46%)
- United Kingdom (15%)
- India (6%)
- Canada (5%)
- Russian Federation (3%)
- Israel (3%)
- Brazil (2%)
- Nigeria (2%)
- Ireland (2%)
- Singapore (1%)
Industry Focus
- Software
- Artificial Intelligence (Ai)
- Information Technology
- Machine Learning
- Internet
- Saas
- Analytics
- Enterprise Software
- E-commerce
- Health Care
Frequently Asked Questions
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