USV Raises $900M, Shrinks Partnership to Four for AI Era

Union Square Ventures has raised $900 million across two new funds and cut its active general partnership to four people, Bloomberg reported on October 8. The early-stage vehicle is $500 million, up from $275 million in 2024. The opportunity fund is $400 million, up from $350 million.

The four partners now running the firm are Fred Wilson, Nick Grossman, Rebecca Kaden and Michael Mignano, who joined in April. Longtime partners Brad Burnham, Albert Wenger, Andy Weissman and John Buttrick are moving into reduced or advisory roles while keeping board seats and investment capabilities.

The capital is targeted at four themes: AI applications; data obtained through physical intelligence or AI; consumer and enterprise intelligence; and energy. Wilson said the larger funds would let USV "lead rounds requiring checks of about $30 million," a size that moves the New York firm up from the seed-era checks it has historically written and into direct competition with Series A funds it used to co-invest alongside.

Neither Bloomberg nor the corroborating coverage names USV's new LPs, says whether any prior investors declined to re-up, or spells out how fees and carry split now that half the historical partnership is part-time. Of 429 funding stories we have logged in the last 90 days on our AI funding tracker, few involve a firm explicitly shrinking rather than expanding its roster to chase the next wave.