Monday launches $200 million venture arm to reinvent itself around AI

Monday.com is responding to a 73% share-price collapse over the past year, driven by fears that AI could undermine its SaaS business model, by creating a new investment arm focused on AI-native startups. The enterprise software company, known for its work management platform, said it will allocate $200 million to the effort, a larger sum than the average early-stage Israeli venture fund manages. The first phase will total $50 million, and any expansion beyond that will require board approval.

The new unit will be called Monday Ventures and will be led by Aviel Shai, who previously worked at the venture firm NEXT47. Monday says the fund will look for startups building AI technologies aligned with its core business, including AI enterprise apps, AI agents, enterprise data, workflow automation, cybersecurity, and information security. It will invest from early-stage through growth rounds, with individual checks of $1 million to $5 million, and will weigh strategic fit alongside the usual technology and team criteria.

Monday said the venture arm has already made several investments. It led the seed round of Blocks.diy, founded by former Monday employees Michal Lupo and Tal Hermati, which helps organizations improve speed, efficiency, and operational capacity through digital workers that execute and manage business processes. It also joined Guidde’s $50 million Series B, and participated in NanoCo’s $12 million seed round for NanoClaw, an open-source platform for secure agents inside daily workplace tools such as Slack and Teams.

Roi Mann, Monday’s cofounder and co-CEO, said the company changed its vision about six months ago from a work-management platform to an agent-based AI platform that actually performs work. “Accordingly, we relaunched our platform around a model in which people and AI agents work together,” he said. “The establishment of Monday Ventures is a direct continuation of that vision.” He said the goal is to back founders building the next generation of AI companies and tools that reshape the future of work.