European venture capital firm DIG Ventures has closed its third fund at $120 million to invest in early-stage companies building AI-native enterprise and cloud infrastructure. Fund III is backed by limited partners including Horsley Bridge, Sofina, Granite and a leading US university endowment fund. Its entrepreneur LPs include founders behind Slack, Datadog, Nord Security, Cast AI, Supercell and Dash0.
The fund plans to back approximately 30 European companies at the pre-seed and seed stages, with a focus on infrastructure underpinning AI-native enterprise software. DIG intends to lead most of the rounds and has already begun deploying capital from the fund.
DIG's investment thesis centres on the infrastructure needed as AI makes software faster and cheaper to develop. The investor expects areas such as data, identity, compliance and orchestration to become increasingly important as companies seek to build and distribute enterprise software.
Our conviction as a fund is clear: as development accelerates and differentiation erodes, the truly scalable, defensible companies will be the ones building the foundations on which wider enterprise software depends. These are the companies whose advantages compound as the cost of building software falls,
said Ross Mason, founding partner at DIG Ventures.
Founded in 2018, DIG Ventures is led by Ross Mason, founder of enterprise integration company MuleSoft, which was acquired by Salesforce for $6.5 billion, Melissa Klinger, former UK sales lead at MuleSoft, and Rytis Vitkauskas, founder of YPlan and a former partner at Lightspeed Venture Partners.
DIG draws on its team’s operating experience to support portfolio companies, particularly as they develop their go-to-market strategies and expand internationally. According to DIG's internal portfolio data, 80 per cent of Fund II companies raised additional institutional capital within two years of its investment, while more than 90 per cent of commercially launched Fund II companies entered the US market within 12 months.
Fund II, DIG's first institutional vehicle, includes companies such as AI-native observability platform Dash0, decision platform Taktile, regulatory technology company CUBE, AI HR platform Jack & Jill and AI orchestration platform Nexos.ai.
DIG has also recorded several portfolio exits, including insurance infrastructure company Flock, acquired by Admiral for $109 million, data infrastructure platform Tower, acquired by MotherDuck, and workload identity platform Cofide, acquired by Keyfactor.
With Fund III, DIG plans to continue backing European founders developing AI infrastructure while supporting portfolio companies as they pursue international growth.
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