M12, Microsoft's Venture Fund

AI is no longer confined to hyperscale data centers. It's moving to regional facilities, and to the edge — phones, sensors, machines. Latency isn't just a service metric anymore. Alongside cost, throughput, and token consumption, it now dictates how compute gets allocated and where it gets built. M12 Managing Partner Michael Stewart joined Chris Heinrich and Emma Strutton on DatacenterDynamics to talk through what that shift means for how edge infrastructure gets designed and paid for. Watch the full episode: https://lnkd.in/gPvd_vRv

A single central server wasn't built to handle agents cloning and pushing around the clock. At scale, that constraint shows up as rate limits, latency, and outages. Entire, founded by Thomas Dohmke is rethinking that model. Today marks their first launch since we backed their seed round in February: a preview of the Entire Git network, letting developers host repositories across regions instead of on a single central provider, so agents clone and pull from a fast regional endpoint instead of hammering one origin. As Michelle Gonzalez said when we invested, developer platforms evolve in generational waves, and the next one is being built for a world where agents work alongside developers at scale. This launch is a clear step in that direction. Full details in Thomas's post: https://lnkd.in/gQakagNH

One engineer runs 30 to 90 agents at once. Most professionals have only ever used a single chat window for an entire task. GitHub hosted Future Code, an evening centered on next-gen coding tools, opened by M12's Todd Graham before CVP and Global Head Michelle Gonzalez took the stage to lead a discussion with Alex Zenla, Benny Yufei Chen, Cam Immesoete, Tejas Bhakta, and Vincent Koc on the realities of agent adoption. While most enterprises are still deciding how much autonomy they're ready to hand agents, Vincent Koc, OpenClaw Chief Architect, shares what it takes to fully trust an agent with production.

In PitchBook's latest report on the growth of quantum computing funding, M12 Managing Partner Michael Stewart shares his perspective on this new frontier of investing. Full report linked in the comments.

Today during AI Engineer World's Fair, we hosted a lunch for the founders and investors building the agentic SDLC. The room was full of people influencing how software gets written, and this conversation will continue tomorrow at Future Code: Rewriting the Developer Frontier, a summit bringing together engineers, open source maintainers, and founders rethinking the next generation of code. CVP and Global Head of M12, Michelle Gonzalez, will moderate a panel on agentic and AI coding infrastructure alongside Cam Immesoete, Benny Yufei Chen, and Alex Zenla. There's still time to sign up at the link in comments. Thank you to Kevin Crosby and GitHub for co-hosting today's lunch, and to Cheryl Cheng, Michelle Gonzalez, Peter Lenke, CFA, and everyone else who joined us. 

Founders raising today want more from their investor partners than capital. They want access to customers, enterprise distribution, and compute. It's a shift M12 Corporate Vice President and Global Head Michelle Gonzalez saw early, and Global Corporate Venturing just named her to their annual Powerlist for the fifth year in a row. We're glad to see Michelle recognized again, and proud of the part she's played in building M12. Under her leadership, M12 has built a model around people, access, and partnership, opening real doors for the founders we back.

The AI bottleneck was never content creation. It's everything that happens after. Typeface's new Signal Report — The AI Speed Paradox — surveyed 200+ enterprise marketing leaders and found that 93% say AI increased pressure to move faster, yet campaign timelines have gotten longer. Only 16% say their organization is fully prepared to operate at AI speed. As Abhay Parasnis, Founder and CEO of Typeface, an M12 portfolio company, puts it: "The next phase of transformation is about orchestration." Read more here: bit.ly/4uT3Vjs

The way software gets built is changing fast. Coding agents are taking on more of the work, reshaping the tools and infrastructure they run on. On June 30, during AI Engineer World's Fair, CVP and Head of M12 Michelle Gonzalez will moderate a panel on agentic and AI coding infrastructure, hosted at GitHub HQ. She'll be joined by Thomas Dohmke of Entire, Alex Zenla of Edera, Benny Yufei Chen of Fireworks, and Cam Immesoete of Microsoft AI. If you're building the next generation of developer tools, or following where they're headed, we hope to see you there. Register here: https://lnkd.in/gVs4S5Kr

Most enterprise data isn't in a database. It's in PDFs, emails, presentations, and documents that AI systems can't process. Unstructured's platform parses, chunks, and prepares complex content and turns it into AI-ready data for RAG pipelines, LLMs, and agentic workflows. Unstructured is collaborating with Microsoft to help enterprises accelerate AI adoption on Azure. In heavily regulated industries, data complexity and compliance requirements have long stood in the way of successful AI deployment. For these organizations, unlocking enterprise connectivity is what turns an AI pilot into production-ready workflows. Congrats to M12 Managing Partner James Wu, Unstructured Founder and CEO Brian S. Raymond, and the entire Unstructured team on this milestone. https://lnkd.in/gdDX6MCG