AI Venture Capital Broadens Into Deep Tech, Defense, and Growth Funds

a16z's reported $8.5B growth fund, following a new $1.1B fund, confirms abundant later-stage and sector-spanning AI capital, but does not yet demonstrate attractive returns. Quantum imaging, adversarial cybersecurity, clean-air infrastructure, defense aerospace, and embodied AI show capital moving below the application layer while commercialization and deployment evidence remains limited.