Ted Schlein’s Ballistic Ventures seeks $490M for new funds amid AI-driven cybersecurity boom

Ballistic Ventures, the cybersecurity-focused VC firm co-founded by Ted Schlein, filed with the SEC this week to raise $360 million for its third flagship fund and $130 million for a separate vehicle called Ballistic Ventures Fund B, with no sales recorded at filing. The firm, founded in late 2021, has backed companies including Talon Cyber Security and Pangea, and previously raised a $300 million debut fund and a $360 million second fund. The fundraising comes as AI raises concerns about more sophisticated cyberattacks; JPMorgan Chase reported U.S. cybersecurity startups raised $11.5 billion in 2025, the highest since 2022, with AI-enabled companies accounting for about 72% of U.S. cybersecurity venture deals through May this year.