Ballistic Ventures, an investor that only backs cybersecurity startups, is seeking $490 million as AI makes online attacks faster and easier to scale.
Ballistic Ventures, a venture capital firm that focuses only on cybersecurity, is trying to raise $490 million across two new funds. TechCrunch learned of the plan through filings with the U.S. Securities and Exchange Commission. The money would go to startups that build digital defenses.
The San Francisco firm filed this week to raise $360 million for its third main fund. That matches the size of its previous fund, raised in 2024. It also filed to raise $130 million for a separate vehicle called Ballistic Ventures Fund B. Neither fund had recorded any sales when the paperwork was filed.
Ballistic was founded in late 2021. Its founding team includes Ted Schlein, a former Kleiner Perkins partner, Barmak Meftah, a former AT&T Cybersecurity president, and Roger Thornton. The firm announced a $300 million first fund in 2022.
Its backed companies include Talon Cyber Security, which Palo Alto Networks acquired, and Pangea, which CrowdStrike bought. Other startups in its portfolio include Armadin, GetReal, Nudge Security and Oligo Security.
Microsoft's annual Digital Defense Report, released last month, warned that hackers are increasingly using AI. The uses range from phishing, which means fake messages meant to trick people into giving up passwords or money, to building malicious software. AI lets attackers work faster and at greater scale, even though many of their basic tricks have not changed.
Investors are following the trend. A JPMorgan Chase report said U.S. cybersecurity startups raised $11.5 billion in 2025, the most since 2022. AI-enabled companies made up about 72% of U.S. cybersecurity venture deals through May this year, up from 36% in 2019.
A filing shows a plan, not money in the bank. It is not clear whether Ballistic will reach its targets or when. The firm declined to comment on its fundraising plans.
For everyday readers and business owners, the main point is direction. More investor money is flowing into security companies, so more tools aimed at AI-powered scams and attacks are likely to follow.
Investors are betting big on security tools as hackers use AI, so expect more products aimed at blocking AI-powered scams.
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