The chip-friendly VCs

Abstract

August Capital may be the best kept secret in Silicon Valley. It was cofounded in August 1995, by David Marquardt, a Silicon Valley legend and the only VC who invested in Microsoft Corp. 19 years ago, and Johnston. It now has three funds totaling nearly $700 million, with more than $1.5 billion in assets under management. Marquardt believes entrepreneurs, not investors, are meant to be heroes. August Capital thrives on early stage funding, preferably as lead investor, in companies that seek to fundamentally change their industry. According to Marquardt, August Capital has a company-building strategy. Some long-time Silicon Valley watchers express concern that more VC firms do not have a similar commitment.