Altos Ventures

Altos Ventures Research

Investment Thesis

Altos Ventures is a Silicon Valley venture capital firm founded in 1996 by Ho Nam and Han Kim, celebrating its 30th anniversary in 2026. Over nearly three decades, Altos has developed a distinctive investment philosophy centered on patient, pragmatic capital — seeking to be the first institutional investor in high-growth, founder-led companies. The firm is guided by the "Hedgehog" framework: they back founders with singular focus, deep commitment, and the persistence to build enduring, capital-efficient businesses rather than chasing valuation milestones or FOMO deals.

Altos explicitly rejects the trend toward multibillion-dollar funds, consistently capping funds below $1 billion every few years. This discipline — analogous to Benchmark Capital's approach — has enabled the firm to maintain focused portfolio construction and maintain alignment with founders over long investment horizons, sometimes a decade or more.

Stage Focus

Altos operates as a true multi-stage firm, making initial investments from Seed and Series A through growth-stage and late-stage rounds. They prefer companies at initial scale — typically those generating at least $1 million in revenue — and follow their strongest portfolio companies through subsequent financing rounds. The firm has backed companies all the way from early seed through pre-IPO. Their stated preference is to be the "first and lead investor" in companies, having achieved this milestone in more than 50 companies to date.

Check Size

Typical initial check sizes range from $500K to $100M, with the ability to write larger follow-on checks as companies scale. The average investment across the portfolio is approximately $17M. The firm manages over 15 funds across three vehicles: Altos Ventures (global), Altos Hybrid, and the Altos Korea Opportunity Fund, which specifically targets Korean startups.

Sector Focus

Altos focuses on two primary sectors:

• Enterprise software: SaaS, vertical software, HR tech, developer tools, e-learning, marketing technology, and fintech infrastructure. Examples: PandaDoc (document automation), Demandbase (ABM), BrightEdge (SEO analytics), Channel Talk (Korean CRM), Soraban (AI for accounting), OpenSesame (corporate e-learning).
• Consumer software and mobile: Consumer apps, social platforms, e-commerce, gaming, edtech, and marketplace businesses. Examples: Coupang (Korean e-commerce), Roblox (gaming platform), Quizlet (edtech), Outdoorsy (RV rental marketplace), Yamibuy (Asian e-commerce), HyperConnect (social discovery).

The firm has a particularly strong track record in Korean technology, having backed Korean market leaders including Coupang, Woowa Brothers (Baemin food delivery), Krafton/PUBG, Toss (fintech), and HyperConnect. They opened a Seoul office in 2014 and maintain a dedicated Korea Opportunity Fund.

Geographic Focus

The firm primarily invests in North America (United States and Canada) and South Korea, with selective investments in Southeast Asia, Europe (Sweden, Switzerland), and Japan. Their dual-market expertise in Silicon Valley and Seoul gives them a unique vantage point on cross-Pacific technology trends and enables deal flow in markets less crowded than the US alone.

Recent Activity

In November 2024, Altos closed its latest and largest-ever fund — a $500M vehicle — bringing total assets under management to more than $7 billion across all fund vehicles. The firm has been actively deploying from this fund throughout 2025 and into 2026:

• Led Urban Sky's $30M Series B (stratospheric microballoon remote sensing technology) — February 2025
• Led Clutch's C$50M Series D (Canadian online used car marketplace) — February 2025
• Co-led Conduit's $36M Series A alongside Dragonfly Capital (stablecoin cross-border payments) — May 2025
• Backed Versework's $2.7M round (South Korean Roblox UGC gaming studio, selected for Roblox Incubator 2026) — June 2026

As of mid-2026, Altos has made 446+ total investments and counts 7 unicorns, 9 IPOs, and 47 acquisitions among its outcomes.

Portfolio Highlights

Major exits and IPOs:

• Coupang — Korean e-commerce giant, IPO at $63 billion valuation (NYSE: CPNG, 2021)
• Roblox — Gaming platform, early institutional investor, IPO on NYSE (2021)
• Krafton — PUBG developer, Korean gaming IPO (Altos invested in 2008, held 11 years)
• Woowa Brothers (Baemin) — Korean food delivery leader, acquired by Delivery Hero for $4 billion
• HyperConnect — Korean social discovery platform, acquired by Bumble for $1.7 billion

Active portfolio highlights:

• Toss (Viva Republica) — Leading Korean fintech super-app with banking, investments, and payments
• PandaDoc — Document automation and e-signature platform
• Quizlet — Education technology and study platform
• Demandbase — Account-based marketing (ABM) software
• Self Financial — Credit-building fintech for thin-file consumers
• AfterQuery — AI training data for frontier model development
• Channel Talk — Korean CRM and customer communication platform
• Clutch — Canada's largest online used car marketplace
• Urban Sky — Stratospheric microballoon remote sensing platform
• Airspace Link — FAA-approved drone management (LAANC) platform
• Neo Financial — Canadian consumer fintech
• BrightEdge — Enterprise SEO and content analytics platform

Team

• Ho Nam, Co-Founder & Managing Director: Stanford GSB MBA (1992-1994), Harvey Mudd College (1984-1988, Radley Prize in Humanities). Has spent his entire 30-year career at Altos Ventures. Annual guest lecturer at Stanford GSB Finance 321 and Harvard Business School case instructor. Board member at uAspire (college access nonprofit) and Stanford GSB Trust. Speaks Korean and English. Located in Burlingame, CA.
• Han Kim, Co-Founder & Managing Director: Graduate of West Point Military Academy and former US Army Corps of Engineers officer. Background at Procter & Gamble before co-founding Altos. Known for humble, founder-first approach to venture investing.
• Tae Yoon, Partner: US-based partner with military veteran background. Active in sourcing and founder relations; appeared at VetraFi military veteran networking events.
• Anthony Lee, Partner: Korea-focused team member managing Korean investment relationships and deal sourcing.
• Dillon Krasnigor, Investor: US-based, next-generation team member active in sourcing and portfolio support.

Decision Process

Altos operates as a partnership, with investment decisions made collectively by the Managing Directors and Partners. The firm places particular emphasis on long-term founder relationships and often develops conviction through repeat interactions over months or years before writing a check. Warm introductions are appreciated but not strictly required. Founders should be prepared to answer "Why Big, Why Now, Why You?" — the framework Altos explicitly uses to evaluate pitches. They evaluate opportunities on independent merits, avoiding the crowded sectors receiving outsized capital.

Founder Preferences

Altos looks for "Hedgehog" founders — those with singular focus, deep domain expertise, and an ownership mentality. They prefer capital-efficient builders who prioritize durable, profitable businesses over maximum burn growth. They value founders who are deeply committed to their market with a long-term orientation. Prior domain experience or entrepreneurial history is valued. They deliberately avoid backing "Fox" founders — serial entrepreneurs who move fast from one venture to the next without building deep expertise.