Betaworks is a New York City-based venture capital firm and startup studio founded in 2008. Originally known for launching products such as Giphy and Bitly, the firm has evolved into a hybrid investor-builder model, supporting early-stage startups through capital and studio infrastructure. Over the years, Betaworks has established itself as a foundational player in the NYC tech ecosystem, known for its emphasis on design, product experimentation, and emerging technologies.
Betaworks focuses on early-stage technology companies, particularly in the pre-seed and seed stages. While historically broad in its investment themes, the firm’s most recent funds have concentrated heavily on artificial intelligence. Fund III will continue this AI-first thesis, targeting startups working on AI agents, native AI interfaces, and applications at the AI-powered layer. Betaworks typically writes initial checks averaging $500,000 and complements direct investments with its accelerator-style program, Betaworks Camp.
In July 2025, Betaworks closed its third venture fund at $66 million, marking its largest to date after a $46 million Fund II in 2020 and a $48 million Fund I in 2016.
Fund III is specifically dedicated to investing in early-stage AI companies, continuing the firm’s evolution from generalist to theme-driven investing.
The fund will support at least 25 direct investments in pre-seed and seed-stage startups, alongside approximately 50 investments through Betaworks Camp, the firm’s structured program for emerging founders.
Despite a challenging fundraising environment in 2024, Betaworks was able to secure strong support from existing LPs, which helped the firm upsize this latest vehicle.
Leadership
The Betaworks team includes Jordan Crook, a partner at the firm and former TechCrunch journalist, who now helps lead the fund’s investment strategy and public voice. The broader Betaworks team brings experience across product development, media, and venture investing. While the firm’s roots are in venture building, its evolution has been marked by an increasingly defined investment approach, particularly around AI.
Investment Strategy
Betaworks blends traditional seed investing with in-house incubation and acceleration through Betaworks Camp. The firm targets AI-native startups developing tools, platforms, and consumer or enterprise applications powered by artificial intelligence.
Betaworks is especially interested in founders building new user interfaces and interactions shaped by AI, and it actively engages with its portfolio companies through product strategy, community support, and design resources.
The firm maintains a high-volume, small-check model and sees its strength in being first money in.
Notable Investments
Betaworks has backed well-known early-stage companies including Huggingface and Granola in the AI space. Historic investments from prior funds or studio efforts include:
Many of these startups were launched or supported via the Betaworks studio model before transitioning into venture-backed companies.
Notable Exits
Betaworks has had a number of notable exits from its earlier investments and studio projects, including the acquisitions of Giphy (by Meta), Bitly, and Tumblr.
These exits helped establish the firm’s reputation as a product-driven venture studio before its transition to a more fund-centric investment model.
Other
Betaworks continues to differentiate itself by combining the studio ethos with institutional investing, and it remains one of the few NYC-based firms focused specifically on early-stage AI companies.
DeIts Camp program allows founders to access not only capital but a structured platform of mentorship, community, and design support.
