"Only 1% of venture-backed startup founders are black; only 8% are female."
Background
In June 2015, Intel Capital announced the venture industry's largest-ever commitment to invest in technology companies led by women and underrepresented minorities (African Americans, Hispanics, and Native Americans).
Initially envisioned as a five-year, $125 million fund, the Intel Capital Diversity Initiative was expanded in October 2016 to also invest in startups led by entrepreneurs living with disabilities, U.S.-based entrepreneurs from the LGBTQ community, and U.S. military veterans.
In May 2018, Intel Capital announced that the Diversity initiative had exceeded its initial $125 million investment target more than two years ahead of schedule. Through September 2019, we have invested $381M in companies led by diverse teams; such companies make up 15 percent of our active portfolio.
“86% of all venture-funded businesses have no women in management positions.”
FAQs
What kinds of companies are you looking to invest in?
All Intel Capital investments cover a broad spectrum of innovative industries, including artificial intelligence, autonomous mobility, data center and cloud, 5G communications and next-generation compute. To learn more about our investment sectors, visit Intel Capital Portfolio.
What criteria do companies need to meet to qualify as “diverse”?
- Global companies: Women and entrepreneurs with disabilities
- U.S. companies: Underrepresented minorities (African Americans, Hispanics, and Native Americans), members of the LGBTQ community and/or U.S. military veterans
Which geographies does this initiative serve?
We are open to investments from all regions.
How many people are on your diversity investment team?
Every Intel Capital investor around the world is expected to bring forward diverse candidates for potential investment.
How do you decide which companies to fund?
All of Intel Capital’s potential investments are be judged both by anticipated financial return and by strategic fit with Intel’s global technology ecosystem. Potential Diversity Initiative investments are screened by the same Intel Capital committee as other investments; our goal is to widen the funnel, not lower the bar.
How much do you invest in these companies?
We are a stage-agnostic investor, working with companies of virtually every size.
What other benefits do selected companies receive besides equity?
Funded companies gain access to Intel Capital’s industry leading business development programs, global network, technology expertise, and brand capital.
Why is Intel making this diversity commitment? Is it good business strategy, or just good PR?
Without employees of diverse backgrounds and problem-solving skills, companies are ill- equipped to address the needs of the market. Diverse teams and companies create more opportunities for innovation, creativity, and strategic thinking. Unconscious bias – when people seek out people and ideas that are similar to their own – hinders decision-making and leadership.
Why is diversity important in venture capital?
Startups that have more women in senior positions are more successful than those that do not, according to several studies. And private firms led by women achieve a 35 percent greater return on investment. Meanwhile, the United States is expected to reach minority- majority status by 2043; that means the economy of tomorrow is likely to be driven by women and underrepresented minorities.
“The greater the number of diverse investors and entrepreneurs at the table, the greater capacity we have as a nation to innovate and bring the best ideas to bear.”
Learn More About Intel’s Diversity and Inclusion Efforts
The Diversity Initiative complements Intel’s $300M investment to encourage diversity at Intel and the technology industry at large.
Have an Idea to Change the World?
We welcome diverse teams and invite you to contact us.