Cybersecurity Firm Ballistic Ventures Targets $490 Million Amidst AI-Powered Security Boom
Ballistic Ventures, a cybersecurity-focused venture capital firm co-founded by former Kleiner Perkins partner Ted Schlein, is aiming to raise $490 million across two new funds, according to regulatory filings obtained by TechCrunch.
The San Francisco-based VC firm filed with the U.S. Securities and Exchange Commission this week to secure $360 million for its third flagship fund, matching the amount raised in 2024, alongside another $130 million for a separate vehicle named Ballistic Ventures Fund B. Neither fund had recorded any commitments at the time of the filing.
This fundraising strategy coincides with the growing utilization of artificial intelligence, which has heightened concerns regarding the sophistication of cyberattacks. Simultaneously, the emergence of AI agents has opened new avenues for cybersecurity startups and the venture capital firms supporting them.
Established in late 2021, Ballistic Ventures’ founding team comprises Schlein, former AT&T Cybersecurity president Barmak Meftah, and Roger Thornton, who co-founded security companies Fortify Software and AlienVault. The firm has invested in companies such as Talon Cyber Security, acquired by Palo Alto Networks, and Pangea, purchased by CrowdStrike, alongside various startups like Armadin, GetReal, Nudge Security, and Oligo Security.
Ballistic’s connections to the storied venture capital firm Kleiner Perkins, where Schlein spent over two decades, distinguish it from competitors, according to a cybersecurity investor at another VC firm. The firm's investment approach mirrors that of other specialized cybersecurity investors, including Forgepoint Capital and Ten Eleven Ventures, the individual noted.
In 2022, Ballistic announced a $300 million debut fund and subsequently raised $360 million for a second flagship fund two years later. It also amassed approximately $130 million for a separate vehicle known as Ballistic Ventures Fund A, per PitchBook data. The new Fund B is targeting a similar sum.
U.S. cybersecurity startups raised $11.5 billion in 2025, marking the highest level since 2022, according to a recent report by JPMorgan Chase citing PitchBook data. The report indicated that AI-enabled companies accounted for roughly 72% of U.S. cybersecurity venture deals through May, compared to just 36% in 2019.
Separately, Microsoft, in its annual Digital Defense Report released last month, warned that hackers are increasingly leveraging AI for activities such as phishing, social engineering, and malware development. The technology enables attackers to operate more quickly and at a larger scale, even if their underlying techniques remain largely unchanged.
Ballistic Ventures declined to provide any comments regarding its fundraising plans.
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