C4 Ventures launches €100M Fund III to back Europe’s next generation of AI and Deep Tech leaders
Paris, September 23, 2025 – C4 Ventures, a leading European venture capital firm led by a team of seasoned tech operators, announces the launch of its third fund, with a target fund size of €100 million. C4 Ventures III will focus on early-stage investments in AI and deep tech startups across Europe, reinforcing the continent’s ability to create global contenders in the field.
Backing the next generation of European leaders in AI and Deep Tech
Europe has a vast market, the talent, research base, and entrepreneurial drive to compete in AI and deep tech and build a sovereign European ecosystem. C4 Ventures believes this shift will drive a major reallocation of capital toward regional startups and create the conditions for Europe to compete in AI over the coming decades.
“The AI revolution is bigger than any previous technological shift we’ve seen since the Internet,”comments C4 Ventures Founder & CEO Pascal Cagni. “We are at the forefront of a massive transformation that will redefine industries. With C4 Ventures III, we are doubling down on this moment, backing talented founders in AI, robotics, quantum computing and beyond”.
A dual thesis: Software and Physical AI
C4 Ventures sees artificial intelligence as the defining technological shift of our time, one that will transform both software applications, where most of the industry is focused, and Physical AI (robotics and autonomous systems), where C4 Ventures has been a pioneer since its inception.
C4 Ventures is recognized for its hardware expertise, with 5 hardware unicorns and leading portfolio companies such as NEURA Robotics (cognitive robots), Graphcore (AI processors), Alice & Bob and PsiQuantum (quantum computing), and more recently Arago (AI semiconductors). These investments reflect the firm’s unique ability to bridge frontier hardware and cutting-edge software, a combination it believes will shape the AI revolution.
A team of seasoned tech operators backing entrepreneurs
C4 Ventures stands out from traditional venture firms thanks to its operator-led, founder-first ethos. The boutique fund was built by former Apple and Microsoft executives like Pascal Cagni and Eric Boustoullerwho have scaled tech companies across Europe and beyond and now apply that experience to support visionary entrepreneurs from inception to exit. Moreover, C4 Ventures draws on a global network of over 30 operating partners from the world’s leading tech companies. These experts provide strategic guidance, operational support, and access to a powerful network of industry leaders.
“C4 Ventures was built on a vision of Operators backing Entrepreneurs with global ambition and strong involvement,” says C4 Ventures Co-Founder and Managing Director Boris Bakech. “Fund III will extend this vision into the AI era, combining our operating and investing experience with the determination of founders to build Europe’s next champions.”
A proven track-record
Since its inception in 2014, C4 Ventures has invested in 54 tech startups, 12 of which have become unicorns. This exceptional ratio is rarely seen in European venture capital. The firm has now seen a full investment cycle, with over 20 exits, 2 IPOs on NYSE (Riskified and Via) and 7 corporate M&A deals.
C4 Ventures II, launched in 2020, has significantly outperformed industry benchmarks. The fund already ranks in the top quartile for value creation and nearly top decile for liquidity, just five years after inception, demonstrating the strength of C4 Ventures’ investment strategy and execution.
“The success of C4 Ventures II has strengthened our conviction to launch C4 Ventures III to seize the defining technological shift of our time: artificial intelligence” concludes C4 Ventures Partner Eric Boustouller.“Technology’s next chapter is unfolding right now, in Europe as much as anywhere else, and we are committed to supporting the founders who will shape it.”