AMD acquires AI Lab, Index Ventures' $2.3B fund, Shein's $250M Circularity Fund
What happened in the European startup and VC ecosystem over the past week
👋 Hello, I'm Davide and this is my weekly newsletter Seed Europe. Every Monday, I dive into what happened over the past week, highlighting key news, recent funding rounds, and newly announced venture capital funds.
🤖 AMD acquires Europe’s largest private AI lab in a $665M deal
AMD has acquired Silo AI, Europe’s largest private AI lab, for $665 million in a strategic move to bolster its artificial intelligence capabilities and expand its market presence.
This acquisition aligns with AMD’s broader strategy to
enhance its AI portfolio
strengthen its competitive edge in the semiconductor industry.
Silo AI’s robust AI infrastructure and experienced team are expected to accelerate AMD’s AI initiatives, providing significant advancements in machine learning, data processing, and intelligent systems. This integration will enable AMD to offer more comprehensive AI solutions to its customers across various sectors, including automotive, healthcare, and financial services.
This acquisition highlights the growing trend of major tech companies investing heavily in AI to stay ahead in the rapidly evolving tech landscape.
📈 Index Ventures announces $2.3B fund to support founders from seed to IPO
Index Ventures has unveiled a new $2.3 billion fund aimed at supporting founders at every stage of their journey, from seed funding to IPO. The fund is divided into two parts: $800 million dedicated to venture investment for early-stage startups and $1.5 billion set aside for growth- and late-stage companies.
A significant portion of the investment will be directed towards startups leveraging AI to drive innovation across various industries. Additionally, the fund aims to back companies in sectors such as healthcare, fintech, and enterprise software, reflecting Index Ventures' broad investment approach.
Over nearly three decades, Index Ventures has supported 108 unicorns, 23 decacorns, 57 IPOs, and created 200,000 jobs. Their portfolio includes prominent companies like DeepL, Revolut, Datasnipper, Tacto, Cradle, Cloover, Figma, Roblox, Scale AI, and Wiz.
This initiative is expected to significantly impact the startup landscape, providing much-needed capital and expertise to help founders navigate the challenges of building and scaling their businesses.
👕 Shein launches $250M circularity fund in UK and EU
Shein, the fast fashion giant, has announced a $250 million circularity fund to promote sustainability in the fashion industry across the UK and EU. This investment aims to enhance recycling and waste management by supporting eco-friendly practices.
The company plans to achieve this by
investing in early-stage startups working on textile-to-textile recycled materials innovation and related areas
entering into offtake agreements or other commercial partnerships with more mature startups that have existing production capacity in recycled materials or new and emerging preferred fibres.
Shein's initiative aims to reduce textile waste and increase the use of recycled materials, setting a sustainability benchmark for the fashion industry.
🗞️ Other news
Visma has acquired Moj eRačun, a Croatian SaaS business tool provider, to enter the Croatian market, continuing its European expansion strategy while allowing Moj eRačun to operate independently. LINK
Team.blue, a digital solutions provider for SMBs across Europe, secured a €550 million investment from CPP Investments, valuing the company at €4.8 billion, to support its continued expansion and product development. LINK
SoftBank has acquired AI processor manufacturer Graphcore, making it a wholly owned subsidiary, to enhance its capabilities in AI and next-generation semiconductor technologies. LINK
German e-commerce unicorn About You has achieved profitability and continues to grow despite challenging market conditions. LINK
🚀 Last week's funding rounds
🇩🇪 allO raised $5M to scale its restaurant SaaS platform in Germany and Europe from 20VC, Keen Venture Partners, NL Startup Fund, 20Product, 20Growth, angel investors.
🇮🇹 Exein raised €15M to lead the charge in embedded IoT cybersecurity from 33N Ventures, Partech, United Ventures, eCAPITAL ENTREPRENEURIAL PARTNERS, Future Industry Ventures.
🇬🇧 Tracebit raised $5M to expand its cloud-native threat deception technology from Accel, Tapestry VC, angel investors.
🇩🇰 Dynelectro raised €11M to advance its solid-oxide electrolysis technology for green hydrogen production from Denmark’s Export & Import Fund Organisation (EIFO), Yara Growth Ventures, Vsquared Ventures, PSV, The Footprint Firm.
You can find all the rounds announced here.
💰 New funds announced
The European Investment Fund invested €350 million in Kembara's deeptech and climate fund, managed by Mundi Ventures, focusing on AI, quantum computing, and next-gen energy systems.
LUMO Labs has launched the €100 million LUMO Rise Fund to invest in 30-35 impact-driven startups across Europe, focusing on emerging technologies like AI, blockchain, IoT, and VR/AR that align with UN Sustainable Development Goals.
BrightCap Ventures has closed €60 million for a new fund targeting pre-seed and seed-stage tech startups in Southeastern Europe, focusing on Future of Work, Digital Health, and Fintech.
Icelandic Frumtak Ventures has closed its fourth fund at $87 million. The fund, Frumtak IV, will invest in early-stage startups, particularly in B2B SaaS, AI, and deeptech sectors.
Index Ventures announced $2.3 billion in new funds to support founders from seed to IPO, focusing on transformative technologies like AI across various sectors.
BOOOM, a new B2B software microfund, has announced plans to invest €17 million in 30 early-stage startups across Europe. The fund targets pre-seed and seed stages, focusing on angel-only rounds. Investments will range from €100,000 to €400,000.
Alpine Space Ventures announced a €170 million fund for spacetech startups, focusing on industrialization, connectivity, and data solutions. The fund primarily targets Series A rounds in Europe and includes backing from the European Investment Fund and NATO Innovation Fund.
🎟️ Startup events around Europe
SHIFT | 🇫🇮 Turku | 📅 22-23 August
TechBBQ | 🇩🇰 Copenaghen | 📅 11-12 September
Infobip Shift | 🇭🇷 Zadar | 📅 16-17 September
Italian Tech Week | 🇮🇹 Turin | 📅 25-27 September