America’s Frontier Fund Raises $315 Million to Boost U.S. National Security Startups
America’s Frontier Fund, a venture capital firm focused on national security and strategic technologies, is in the process of raising up to $315 million for its debut fund. According to documents viewed by Business Insider, the fund will combine $140 million in private capital with $175 million in U.S. government-backed loans. The financing is being structured under the Small Business Investment Company Critical Technology Initiative, a joint program of the Department of Defense and the Small Business Administration. This program aims to accelerate private investment into advanced technological sectors deemed critical to U.S. economic and geopolitical competitiveness.
The size and structure of the Frontier Fund are notable given current conditions in the venture capital market. While VC fundraising has slowed due to market volatility and delayed public exits, America’s Frontier Fund is pursuing one of the largest first-time raises in recent history. According to PitchBook, the average first fund size in the U.S. was just under $41 million in 2024. In contrast, the Frontier Fund’s $315 million target represents a significant outlier and reflects both political momentum and strategic urgency. The fund’s thesis is aligned with the Trump administration’s renewed emphasis on defense technology as a foundation for long-term national security.
The capital will support startups operating at the frontier of American technological capacity, including in areas such as hypersonics, compute infrastructure, advanced manufacturing, and materials science. Recent investments include Venus Aerospace, which develops hypersonic propulsion systems, and Foundation Alloy, a company focused on new-generation metal production. These startups reflect the fund’s intention to back deep-tech companies that offer potential both for military application and industrial scalability. The fund is based in Arlington, Virginia, and operates in parallel with Roadrunner Venture Studios, an affiliated entity targeting seed-stage companies in New Mexico.
The fund also benefits from high-level support within both the technology and defense communities. Its CEO, Gilman Louie, previously led In-Q-Tel, the CIA-backed investment firm that pioneered dual-use technology funding models. Co-founder Jordan Blashek has ties to Schmidt Futures and brings experience in philanthropic technology policy. Meanwhile, the fund’s affiliated nonprofit, the America’s Frontier Fund Foundation, has received support from prominent figures including Eric Schmidt and Peter Thiel. The foundation works with educational institutions such as Austin Community College to expand training programs in fields like advanced manufacturing, further embedding the fund’s efforts within a national innovation ecosystem.
America’s Frontier Fund operates at the intersection of public funding and private capital, and its approach reflects a broader policy trend aimed at restoring American leadership in high-stakes technologies. In the first quarter of 2025 alone, investments in defense tech reached $1.4 billion, compared to $200 million in the same period the previous year. With government-backed loans, bipartisan support for strategic re-industrialization, and a growing consensus on the role of frontier tech in national defense, the fund is positioned to influence the structure of the next generation of critical U.S. industries.