The growing demand for AI infrastructure is pushing investors back toward capital-intensive technology, with Seligman Ventures increasing its deployable capital to $1 billion less than a year after its launch.
The Silicon Valley-based investment arm started in February 2026 with $500 million. It has since invested more than $300 million across 14 companies working in AI hardware, connectivity and cybersecurity.
The expansion comes as investors show renewed interest in hardware after years of strong returns from software businesses. Venture investment in US and Canadian startups reached a record $392 billion in the first half of 2026. About $10.7 billion went into semiconductor startups, putting the sector on track to exceed its 2025 total, according to Crunchbase.
“The amount of deal flow we have gotten is 10 or 15 times more than what I anticipated when I joined,” said Umesh Padval, managing partner at Seligman Ventures. “We didn’t want to lose the AI, cybersecurity or the datacenter train.”
Seligman’s portfolio covers several parts of data centre infrastructure, including SambaNova and optical technology maker Lumilens. The firm plans to follow a barbell strategy, combining early-stage investments with late-stage and pre-IPO funding.
It will continue looking at opportunities in AI accelerators, networking, power, cooling and cybersecurity.
The larger fund is also part of a wider effort by public-market investment managers to enter technology companies earlier as startups remain private for longer. Seligman takes an active approach, with 6 board seats and 3 board observer positions.
For Paul Wick, chief investment officer at Columbia Seligman Technology and Information Fund, the move marks a second attempt at venture investing. An earlier late-stage effort launched in 1997 ended after the dot-com collapse. Wick said limited board representation, dependence on outside deal sourcing and team selection were key lessons.
“This time around we have two people who are going on boards of companies,” Wick said. “Our ability to protect ourselves and to better understand our private-company investments is just so enhanced.”
The venture platform works alongside a public-markets operation led by Wick, who manages the roughly $29 billion technology and information fund. The firm also manages a $7.5 billion technology hedge fund business.
“We have a private knowledge of 400 companies in the private world. We marry that with public-market data analysis to bring out a thesis as to which ones we invest in,” Padval said. He expects to make 5 to 10 new investments over the next 12 months.
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