Funders Launch $1 Billion AI Economic Development Initiative

Philanthropy News Digest is today reporting that a coalition of foundations and philanthropists— Ballmer Group, Gates Foundation, Stand Together, Valhalla Foundation, and John Overdeck—have announced the launch of NextLadder Ventures, a 15-year, $1 billion economic development initiative rooted in technology.

According to the Digest,

The initiative will focus on fostering technology and tools to expand economic opportunity for low-income Americans and invest in entrepreneurs who are developing personalized solutions that help individuals and families navigate critical challenges, such as job loss, housing instability, or health crises. To that end, the initiative will offer a mix of grants, equity, and revenue-based financing to back both nonprofit and for-profit organizations. AI partner Anthropic will provide expertise and technology to organizations backed by the initiative.

The report continues:

According to NextLadder, more than 90 million people in the United States are struggling economically. The initiative aims to equip frontline professionals serving economically disadvantaged communities—social workers, legal aid attorneys—with scalable tools to help reduce administrative burdens and provide personalized support.

Commenting on the initiative, NextLadder Ventures CEO Ryan Rippel, who is also the Gates Foundation director of economic mobility and opportunity, stated, “To better serve those in need, we need new, practical pathways to opportunity that help the helpers and the people they serve. Technology alone isn’t the answer. But when it’s built with the needs of people facing economic challenges in mind and paired with the extraordinary work of philanthropists strengthening communities and scaling promising strategies, it becomes a powerful force for change.”

I agree.

Vaughn E. James