Lightspeed targets US$250m for India and Southeast Asia AI fund
The fifth India fund would be half the size of its 2022 predecessor, with Lightspeed planning to invest over a shorter period and align regional fundraising with its global cycle.
Lightspeed is targeting US$250 million for Lightspeed India Partners V, an early-stage fund focused entirely on AI companies in India and Southeast Asia. The target and planned strategy were set out in an investor letter seen by TechCrunch; Lightspeed declined to comment.
The target is half the size of the firm’s US$500 million predecessor, raised in 2022, which has committed 80% of its capital. Lightspeed plans to begin investing from the new fund within two months, while continuing to make final investments from the existing vehicle.
The new fund is designed around an investment period of roughly two and a half years. Lightspeed said in the letter that the smaller size reflects its investment pace and would allow it to focus on individual deals and raise its next fund sooner.
For the first time, Lightspeed will align its India fundraising cycle with its global funds. Rival Accel made a similar move in August, raising its latest India fund alongside other vehicles in a coordinated fundraising effort.
The AI mandate marks a sharper focus for a regional portfolio that has spanned consumer businesses, software and services. Lightspeed’s investment thesis, as described in the letter, is that AI could create more value in India than the internet did; the fund will seek opportunities across India and Southeast Asia.
