SAN FRANCISCO, March 27 Andreessen Horowitz, a
venture capital firm that has backed Facebook and Twitter,
raised $1.5 billion for a its fourth fund, the firm said in a
The firm will continue to invest largely in technology
businesses, said chief operating officer Scott Kupor in a blog
post, based on the thesis that technology markets will grow
enormously thanks to developments such as mobile Internet
penetration, cloud computing and falling costs.
Sometimes criticized by other venture firms for its
techniques such as outsized bets on companies and a heavy
emphasis on marketing, Andreessen acknowledged the venture
business was going through a difficult time. Specifically,
limited partners, those who invest in venture funds, are
allocating much less cash to the sector than they were 15 years
ago, and fewer venture firms exist.
"While such transitions can indeed be painful, this is a
positive sign of a professionalizing market - one in which the
supply and the demand are in closer equilibrium," Kupor wrote.
Andreessen, which has backed companies such as Facebook,
is part of an elite group of funds which experience
little trouble raising more cash.
Earlier this month, Accel Partners raised two funds totaling
(Reporting by Sarah McBride; Editing by David Gregorio)