Cathay Innovation has announced the launch of a $1 billion global venture capital fund dedicated entirely to artificial intelligence (AI), marking a pivotal moment in the race to fuel next-generation tech disruptors. This fund, the firm’s largest to date, is backed by industry giants including Sanofi, TotalEnergies, and BNP Paribas Cardif, and is aimed at driving growth in AI-powered startups across sectors such as digital health, consumer applications, energy transition, and autonomous mobility.

The announcement comes amid a global surge in AI investments, driven by breakthroughs in generative AI, edge computing, and enterprise automation. The fund’s launch not only positions Cathay Innovation as a serious player in AI venture capital, but also signals increased corporate interest in leveraging AI to accelerate transformation.

“We’re entering a phase where AI isn’t just enhancing industries—it’s reinventing them,” said Denis Barrier, co-founder of Cathay Innovation. “This fund is our response to the incredible wave of global innovation, and our aim is to support startups that are building trustworthy, scalable, and impactful AI solutions.”

The move aligns with broader trends of consolidation in the AI startup ecosystem, with corporates seeking to gain early access to cutting-edge innovation amid growing competition. According to analysts, the $1 billion fund will help bridge the gap between frontier research and real-world deployment, especially in regulated sectors like healthcare and energy.

Startups supported through the fund will also gain access to Cathay Innovation’s global network of over 20 corporate partners, providing critical market entry support and co-development opportunities.

As AI investment fever continues across Silicon Valley, Europe, and Asia, this fund marks one of the most significant institutional bets on applied AI since the start of 2025. The firm plans to begin deploying capital in Q3 2025, with a sharp focus on startups demonstrating ethical AI frameworks, enterprise readiness, and scalability across global markets.