After an 82% Share Collapse, monday.com Launches a Venture Arm for Israeli AI Startups

Investors have been worried that the rise of AI could hurt monday.com’s business model, a concern that helped drive the stock down in recent months. Since its 2021 peak, the share price has fallen 82.6%, though it has rebounded about 32% from a low reached roughly two months ago.

At the same time, monday.com has been reshaping its own product around AI. The company recently introduced AI agents inside its platform, so it can offer customers not only work management but also actual work execution, and it shifted its pricing to a consumption-based model. It describes the new approach as an “AI Work Platform,” a single work environment where people and AI agents work together to get work done across organizations of any size.

The company now says its next step is monday Ventures, an investment arm designed to accelerate innovative Israeli tech companies building AI technologies for the world of work. The vehicle will be sized at $200 million, with an initial $50 million deployment, and any expansion beyond that will require board approval. monday Ventures will back startups at any stage, from early-stage to growth, with individual investments of $1 million to $5 million, focusing on AI enterprise applications, AI agents, enterprise data and similar areas central to digital transformation.

monday.com says it is looking for technological differentiation, strong teams and strategic fit with its ecosystem. It has already made four investments, including lead backing of Blocks.diy’s seed round, an investment in Guidde’s $50 million Series B, and participation in NanoCo’s $12 million seed round. Another investment has been made and will be announced later.

CEO and co-founder Roy Mann said the initiative follows “the most significant change in monday’s history” about six months ago, when the company updated its vision from a work-management platform to an agent-based AI platform. Aviel Yishai, who leads monday Ventures, said the team has already begun investing and is “only at the beginning of the journey.”