Andreessen Horowitz Plans Fresh $500 Million Investment in India

Andreessen Horowitz (a16z), one of the largest forces in the venture capital industry and also one of the biggest financial backers of Web 3-driven projects, is planning to invest an amount in the ball-park of $500 million (roughly Rs. 3,825 crore) in India’s growing startup ecosystem. While there’s been no official confirmation from the VC giant yet, general partner Marc Andreessen has in the past talked about how “tempting” India and other emerging markets are for investment opportunities.

Sources close to TechCrunch claim that a host of partners at the firm including Seema Amble and Sumeet Singh have engaged with several Indian startups in recent months although the names of those have not been disclosed yet.

A source close to TechCrunch adds that the VC giant which in January said it had raised $9 billion (roughly Rs. 68,865 crore) for its venture, growth and bio funds is exploring investment in an Indian startup that operates an opinion sharing platform at a valuation of about $250 million (roughly Rs. 1,915 crore).

A16z’s first investment in India was in local crypto exchange CoinSwitch Kuber, where it led a round that closed in October 2021 which saw the exchange raise $260 million (roughly Rs. 1,990 crore) at a $1.9 billion (roughly Rs. 14,540 crore) valuation.

Andreessen Horowitz isn’t the only venture capital giants interested in India-focussed Web 3 initiatives. Chinese crypto venture capital firm Sino Global Capital has also made a big push into India as part of its new $200 million funds (roughly Rs. 1,530 crore), which it announced last October.

According to Pitchbook data, venture capitalists in India have invested $23.5 billion (roughly Rs. 1,79,815 crore) in 2021, of which $587.16 million (roughly Rs. 4,490 crore) was allocated to crypto and Web 3 companies according to a report.