DIG Ventures has closed its third fund at $120 million, deepening its bet on early-stage enterprise infrastructure and artificial intelligence startups across Europe and Israel. The firm, which positions itself as an operator-led venture capital outfit, plans to use Fund III to find and support technical founders tackling complex, globally relevant problems rather than chasing short-term trends.
The fund's limited partner roster reflects a strategy built on operator credibility rather than purely financial backing. Returning and new institutional investors include Horsley Bridge Partners, Sofina, Hillman, and Granite, alongside a notable group of individual founders who have built category-defining companies themselves. Many of the startups DIG backs serve enterprise customers that increasingly rely on infrastructure tools, including something as fundamental as a reliable business vpn, to secure distributed teams and protect sensitive data as they scale across borders.
Among the individual limited partners are Datadog co-founder and CEO Olivier Pomel, Slack co-founder Cal Henderson, former GitHub chief executive and Entire founder Thomas Dohmke, Nord Security co-founders Tomas Okmanas and Eimantas Sabaliauskas, and Dash0 founder Mirko Novakovic. Their involvement signals something beyond capital: a bet that founders who have already built and scaled infrastructure companies are well positioned to identify which early-stage teams have the technical depth to do it again.
Why Enterprise Infrastructure Still Draws Capital
Enterprise infrastructure has remained a resilient category for venture investment even as broader funding has tightened. Unlike consumer applications, infrastructure tools - databases, observability platforms, security layers, developer tooling - tend to generate durable revenue once embedded into a company's technical stack. Switching costs are high, and enterprise buyers prioritize reliability over novelty. That dynamic has made the category attractive to investors seeking companies with longer shelf lives and clearer paths to recurring revenue, particularly as artificial intelligence adds new layers of complexity that require fresh infrastructure to manage data, compute, and security.
Europe and Israel as a Deliberate Focus
DIG's geographic focus is not incidental. Europe and Israel have produced a disproportionate number of technically sophisticated founders who have gone on to build global infrastructure companies, yet early-stage capital in these regions has historically lagged behind what is available in the United States. By concentrating on the earliest stages of company formation, DIG aims to fill a gap before founders either relocate for funding or get overlooked by investors less familiar with the technical depth required to evaluate infrastructure and AI startups at the concept stage.
What Fund III Signals for the Sector
The close of Fund III suggests continued institutional confidence in enterprise-focused venture strategies, even as broader startup funding has grown more selective. For founders, it means a pool of capital explicitly reserved for technically demanding, globally ambitious ideas rather than quick consumer wins. For the wider ecosystem, it reinforces a pattern in which operators who built the last generation of infrastructure companies are now financing the next one, a cycle that tends to compress the time between founding and credible execution.