Copyright © HT Digital Streams Limit all rights reserved. Belle Lin, The Wall Street Journal 2 min Read 05 Jun 2025, 05:20 IST Josh Kushner founded Thrive Capital about 15 years ago. Photo: All Drago/Bloomberg News Summary The Holding Company of the venture capital firm places $ 100 million in an entity that will integrate artificial intelligence into information technology businesses. Thrive Capital’s holding company, Thrive Holdings, raised $ 100 million for an entity set up to submit artificial intelligence in the Information Technology Services Enterprises. The entity, Shield Technology Partners, has already acquired four IT services businesses: Clearfuze Networks, Ironorbit, Delval Technology Solutions and Onenet Global, said that. Thrive Holdings calls Shield Technology Partners an “AI-activated IT service platform.” IT services enterprises, also called managed service providers, or MSPs, usually provide IT support and management tools such as software and cloud calculations on behalf of businesses. Thrive Capital, founded by Josh Kushner about 15 years ago, is known for some of his startup investments with a high -fly, including in Openai, Data Analytics Company Dataricks and CyberSecurity firm firm Wiz. Investing in traditional services businesses – especially those that rely a lot on administrative knowledge work – and to add AI to offer it, are becoming popular among venture capital firms, as AI finds its way into everyday processes. Shield Technology Partners is the first initiative for Thrive Holdings, a holding company whose foundation was announced earlier this year by Thrive Capital to acquire and expand businesses using AI. The company is a permanent capital vehicle that will constantly reinvest cash from its businesses and raise capital. As part of his effort, Shield Technology Partners will include software engineers in each of its IT portfolio businesses, says Anuj Mehndiratta, Thrive Capital’s head of portfolio impact, data science and product. The purpose of the engineers is to build an AI-powered solution that all the portfolio companies will use, he said. Mehndiratta said that we all the ways in which MSPs may have been on their back foot, “Mehndiratta said, adding that IT services are” incredibly well suited “to what AI can streamline. Jake Sloane, co-founder of ZBS Partners, the investment firm with which he is working together to launch Shield Technology Partners, said it previously kept to invest in IT services until they ‘understand the power of AI and other latest technology’. Some of the areas in which AI can make an impact on IT services include AI agents that can help autonomously start a computer or reinstate a password, Thrive Mehndiratta said. In the future, AI will also help IT services to develop better sales and marketing capabilities, he said. Other industries that are heavy for knowledge work and repetitive processes have also seen investments of traditional private equity firms, as well as venture capital. In the accounting sector, for example, Bessemer Venture Partners and General Catalyst joined Thrive Capital to take interest in accounting firms. This follows a series of similar transactions led by private equity. Last year, General Catalyst said it collected $ 1.5 billion for a fund that would incubate in the same way and acquire businesses across industries and use AI to improve their productivity of the workforce. Thrive Holdings are in the late stages of closing a first round of about $ 1 billion, according to people familiar with the case. Write to Belle Lin at Belle.lin@wsj.com, catch all the business news, market news, news stories and latest news updates on live currency. Download the Mint News app to get daily market updates. More Topics #Kartic Intelligence #it Companies #indian It -Firms Read Next Story
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