Ashley Smith closes $25M Fund II for AI and security bets
DIRECT ANSWER 40-60 words Solo GP Ashley Smith announces a new $25 million Fund II for Vermilion Cliffs Ventures to back early-stage technical founders, with a focus that includes AI infrastructure, security, and developer tools. The close matters because it increases her check-writing power—and her promise to help founders with go-to-market—at a time when deep-tech building is accelerating.
Key Takeaways
- Fund size: Vermilion Cliffs Ventures closed a $25M Fund II, announced Wednesday.
- Investment focus: AI infrastructure, security, and developer tools for technical founders.
- Pace and plan: Smith said it took about four months to raise, with Fund II aiming for 25+ investments over ~2.5 years.
- Check sizes: Average checks are expected to be $500K to $1M.
- Track record: A prior $13M debut fund backed 35 companies, including Keycard and CopilotKit.
What exactly did Ashley Smith announce—and why does it matter?
Vermilion Cliffs Ventures announced the close of a $25 million Fund II, according to TechCrunch. The firm was founded in 2023 by operator-turned-investor Ashley Smith, who runs it as one of the few solo women GPs in venture capital.
Why it matters is simple: with more capital, Smith can write larger early checks—while doubling down on a thesis built around technical teams shipping foundational tech. In her words, she wants to help founders avoid costly early go-to-market missteps, especially in tough-to-sell categories like developer and security products.
Primary source: TechCrunch’s report on Vermilion Cliffs Ventures Fund II.
Where will Fund II invest, and how will it be deployed?
Smith told TechCrunch the new fund will continue Vermilion’s thesis of backing technical founders building in AI infrastructure, security, and developer tools. Fund II’s average check size is expected to land between $500,000 and $1 million.
On timing and rollout, Smith said it took around four months to raise the fund this year, with much of the capital coming from existing investors. Vermilion hopes to invest in at least 25 companies over the next two and a half years—and has already backed six companies.
What has Vermilion Cliffs Ventures done before this $25M close?
Before Fund II, Vermilion raised a $13 million debut fund that backed 35 companies, TechCrunch reported. The article cited examples including the cybersecurity startup Keycard and the AI infrastructure company CopilotKit.
Smith’s value-add is tied to her operator background. TechCrunch notes she has experience working in marketing at Twilio, Facebook, GitHub, and GitLab, and she intends to help founders with go-to-market strategy.
As Smith put it: “Selling to developers and security teams is its own discipline, and most founders learn it the expensive way with time,” she said. “I try to help them skip mistakes I’ve made or seen other founders make.”
How does this fit into the bigger tech moment right now?
Smith’s Fund II close lands on a news-heavy day for ambitious tech building. In separate reporting, TechCrunch said Apple signed a $30 billion-plus multiyear deal with Broadcom to design and produce more than 15 billion U.S.-made custom wireless connectivity chips for Apple products. TechCrunch also reported Venus Aerospace raised a $90 million Series B to build out its Rotating Detonation Rocket Engine (RDRE) effort.
Put together, those headlines underscore the same theme: big bets are being placed across the stack—from chips to propulsion to the software infrastructure and security layers that make modern products viable. That’s the lane Vermilion is explicitly targeting.
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