Norrsken Foundation, the Swedish impact investment powerhouse, has just unveiled a new €300 million fund to support European startups utilising AI to address some of the world’s most significant social and environmental challenges.
Dubbed the “AI for Good” initiative, the fund will focus on early and growth-stage companies working across climate, healthcare, food, education, and economic development. The goal is to create long-term impact, not just short-term returns.
Norrsken’s fund comes at a time when venture capital is doubling down on artificial intelligence. According to Crunchbase, AI accounted for over 70 per cent of global VC investment in the first half of 2025. While most funding is flowing to foundation models and infrastructure tools, Norrsken’s approach is more mission-driven.
This move signals a growing trend in the European startup scene, investors are now looking beyond the hype to fund tech that solves real human problems.
The fund will back 30 to 40 companies over the next four years, with ticket sizes ranging from €1 million to €20 million. Startups in the portfolio will also receive access to Norrsken’s global network of advisors, founders, and partner organisations.
According to a fund partner, Agate Freimane, the firm wants to support entrepreneurs who are “using AI not just because it is trendy, but because it solves a real-world problem in a better and more scalable way.”
Norrsken already has a track record of backing companies like Northvolt, Einride, and 1KOMMA5°. The new fund will be based out of Norrsken House in Stockholm and will work closely with ecosystem hubs across Berlin, London, and Amsterdam.
With AI continuing to reshape every sector, from education to sustainability, Norrsken’s new fund offers a clear signal: purpose-driven innovation is not just a moral choice, but also a business opportunity. As Freimane puts it, “The best companies of tomorrow will be the ones solving the biggest challenges of today.”
