The VC firm behind Shopify is doubling down on robotics and defense

Felicis, the venture capital firm known for investing in Shopify, Notion, and Mercor, has appointed Graham Littlehale as a partner. Littlehale will focus on investing in hard-tech startups, which includes robotics, defense, aerospace, energy, and manufacturing. Felicis sees this as a strategic move to double down on the physical world, as the venture industry increasingly recognizes the value of hardware and physical AI.

Littlehale's expertise spans various sectors, including robotics, defense, and aerospace, having previously invested in companies such as Stoke Space and Rune Technologies. His background in natural resources and energy infrastructure further positions him well to navigate the evolving landscape of hard tech.

The investment focus on hard tech comes as investors across the Bay Area renew their interest in physical technologies. The growing importance of AI, falling costs, labor shortages, and geopolitical pressures have pushed companies to reshape their supply chains, making robotics and physical AI startups more attractive to investors. In the first quarter of 2026 alone, robotics and physical AI startups raised a record $16.3 billion across 492 deals.

Littlehale plans to concentrate on "manufacturing foundation models," which are AI systems that can guide products from concept to production. He is also interested in digital tools that streamline hardware development and robots tailored for industries such as construction. Additionally, he intends to explore investments in space and undersea technology, believing these sectors are crucial for the U.S.'s economic resilience and national security.

As Felicis reaffirms its commitment to the future of the physical economy, Littlehale's appointment signals the company's renewed emphasis on investing in the tangible aspects of innovation.