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Microsoft

North America, Washington, United States, Redmond

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
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FAQ

Frequently Asked Questions

Learn who this investor regularly partners with—both firms and angels—and explore their latest activity.

Who does Microsoft frequently co-invest with?

SoftBank
Asia, Chiba, Japan, Minato
Co-Investments: 7
New Enterprise Associates
North America, California, United States, Menlo Park
Co-Investments: 6
Google
North America, California, United States, Mountain View
Co-Investments: 11
M12 - Microsoft's Venture Fund
North America, California, United States, San Francisco
Co-Investments: 9
Social Tech Trust
Europe, Oxfordshire, United Kingdom, Oxford
Co-Investments: 26
Andreessen Horowitz
North America, California, United States, Menlo Park
Co-Investments: 5
Tiger Global Management
North America, New York, United States, New York
Co-Investments: 6
Cisco
North America, California, United States, San Jose
Co-Investments: 7
NVIDIA
North America, California, United States, Santa Clara
Co-Investments: 9
Intel Capital
North America, California, United States, Santa Clara
Co-Investments: 10

Which angels does Microsoft often collaborate with?

LG
North America, California, United States, San Francisco
Shared Deals: 2
AK
North America, Pennsylvania, United States, Philadelphia
Shared Deals: 1
BG
North America, Washington, United States, Seattle
Shared Deals: 2
AO
North America, California, United States, San Francisco
Shared Deals: 1
Julien Machot
Asia, Dubai, United Arab Emirates, Dubai
Shared Deals: 1
JS
North America, New York, United States, New York
Shared Deals: 1
AZ
North America, California, United States, Los Angeles
Shared Deals: 1
Shared Deals: 1
JB
North America, Colorado, United States, Denver
Shared Deals: 1
CF
North America, California, United States, San Francisco
Shared Deals: 1

What are some of recent deals done by Microsoft?

Meter

San Francisco, California, United States

Meter provides managed network services with proprietary hardware and software, simplifying IT and connectivity.

Information TechnologyInternetIT InfrastructureSoftware
Series CJun 12, 2025
Amount Raised: $170,000,000
Ox Security

Tel Aviv, Tel Aviv, Israel

Ox Security is an application security platform that helps organizations manage software security throughout the development lifecycle.

Artificial Intelligence (AI)Cyber SecurityNetwork SecurityRisk Management
Series BMay 7, 2025
Amount Raised: $60,000,000
Cyclic Materials

Kingston, Ontario, Canada

Cyclic Materials recycles rare earth elements from magnet-containing products for sustainability.

CleanTechIndustrialRecycling
Series BApr 1, 2025
OpenAI

San Francisco, California, United States

OpenAI creates artificial intelligence technologies to assist with tasks and provide support for human activities.

Artificial Intelligence (AI)Generative AIMachine LearningNatural Language ProcessingSaaS
Series UnknownMar 31, 2025
Amount Raised: $40,000,000,000
Regulate

Portland, Oregon, United States

Regulate is an AI-driven SaaS company for market prediction, product validation, rapid formulation, and real-time regulatory compliance.

Artificial Intelligence (AI)Food and BeverageMachine LearningMarket ResearchNatural Language ProcessingPredictive AnalyticsSaaS
Series UnknownMar 24, 2025
Amount Raised: $250,000
GuidenAI

San Francisco, California, United States

GuidenAI is AI-focused Innovation Lab

Artificial Intelligence (AI)EnterpriseEnterprise SoftwareGenerative AIMachine LearningNatural Language ProcessingSaaSSoftwareTravel
Pre SeedMar 2, 2025
Amount Raised: $25,000
Veeam Software

Columbus, Ohio, United States

Veeam provides data resilience and data management solutions for cloud, virtual, and physical environments.

Cloud InfrastructureData CenterData ManagementEnterprise SoftwareSoftwareVirtualization
Corporate RoundFeb 25, 2025
Atrandi Biosciences

Vilnius, Vilniaus Apskritis, Lithuania

Atrandi Biosciences is a Lithuanian biotech startup that aims to commercialize droplet microfluidics technology.

BiotechnologyLife SciencePharmaceutical
Series AFeb 18, 2025
Amount Raised: $25,000,000
Vöiston S/A

São Paulo, Sao Paulo, Brazil

Vöiston is a startup tackling healthcare challenges by leveraging AI to analyze and understand unstructured clinical data.

Artificial Intelligence (AI)Generative AIHealth Care
Non Equity AssistanceFeb 1, 2025
Amount Raised: $25,000
beecrowd

São Paulo, Sao Paulo, Brazil

The Ecosystem where Innovative Companies find the best Tech Talent

Developer PlatformEducationInformation TechnologyProfessional Services
Non Equity AssistanceJan 30, 2025
Amount Raised: $25,000