Norrsken Foundation commits €300M to AI startups tackling global challenges

The Norrsken Foundation has committed €300 million to investing in European startups using AI to solve the world’s greatest challenges.

In an open letter, Norrsken’s funds confirmed that it will commit €300m to invest in ‘AI for good’. Specifically, the funds will be invested in European companies using AI to solve challenges in climate, health, food, education, and society.

The €300 million will be drawn from the collective liquidity pool of Norrsken VC, Accelerator, and Launcher. 

The funds have strict criteria, linked to UN Sustainable Development Goals (SDGs), that assess impact and sustainability across the entire investment process, from deal screening, and due diligence to deal structuring and exit. 

In an open letter undersigned by all funds (which you can read in full here), the Norrsken Partners AI the most powerful tool humanity has ever created. 

“Yet, so far we are mainly using it to optimise clicks and automate emails. Helpful, yes. But we’ve barely scratched the surface of what this technology can do. AI is not just another productivity boost, it’s a real chance to fix what truly matters.”

It further expands that in 2024 alone, AI startups attracted over $110 billion in VC funding, accounting for approximately one-third of all global VC investments. 

“It’s one of the most aggressive capital flows we’ve seen into any tech wave, ever. The message is clear: investors believe AI will reshape the world. 

But most of this capital is chasing the same old playbook of productivity growth and convenience. Meanwhile, the real opportunity is sitting wide open: using AI to solve the world’s most urgent challenges.” 

However, mindful of hype cycles, it alludes to the era of the AI gold rush, cautioning,“right now, we’re in a full-blown AI gold rush. But if history repeats itself, 80 per cent of today’s AI startups will disappear.

"The other 20 per cent are the ones solving real problems. Not building incremental tools, but using AI to fix broken systems, meet fundamental needs, and reshape industries with deep, lasting demand.”