The U.S. Department of Justice is investigating venture capital firm Andreessen Horowitz over potential antitrust violations regarding board seats. Regulators are examining whether co-founder Ben Horowitz's seat at Databricks and partner Martin Casado's seat at Fivetran violate Section 8 of the Clayton Act, which prohibits interlocking directorates at competing companies. While the probe has lasted nearly a year, no final decision on enforcement has been made.
DOJ antitrust investigation into a16z
- ▪The U.S. Department of Justice has been investigating venture capital firm Andreessen Horowitz for nearly a year over whether Andreessen Horowitz partners improperly serve on the boards of competing artificial intelligence and data companies.
- ▪A spokesperson for the U.S. Department of Justice declined to confirm or deny the investigation into Andreessen Horowitz but stated that the department under the Trump administration will prioritize affordability.
- ▪The U.S. Department of Justice has not made a final decision on whether to take enforcement action against Andreessen Horowitz, leaving open the possibility that the inquiry could end without action.
Clayton Act interlocking directorates
- ▪The U.S. Department of Justice investigation into Andreessen Horowitz focuses on Section 8 of the Clayton Act of 1914, which prohibits directors or officers from simultaneously serving on the boards of competing companies.
- ▪In 2022, seven directors resigned from five companies, including representatives from investment firms Prosus and Thoma Bravo, after the U.S. Department of Justice raised concerns about interlocking directorates.
- ▪The U.S. Department of Justice interprets Section 8 of the Clayton Act to apply to investment firms represented by multiple partners across competing boards, an interpretation accepted by several courts.
- ▪Under former Assistant Attorney General Jonathan Kanter, the U.S. Department of Justice revived enforcement of Section 8 of the Clayton Act, pushing directors at multiple companies to resign from boards.
Databricks board seat scrutiny
- ▪Andreessen Horowitz co-founder Ben Horowitz serves as a director on the board of Databricks, a data and artificial intelligence company backed by Andreessen Horowitz.
- ▪Databricks raised $5 billion in new funding at a $190 billion valuation in August 2026, reporting an annual revenue run rate above $7 billion.
Fivetran board seat scrutiny
- ▪Martin Casado served on the board of dbt Labs before Fivetran acquired dbt Labs on June 1, 2026, a transaction cleared without conditions by the U.S. Department of Justice.
- ▪Andreessen Horowitz partner Martin Casado serves as a director on the board of Fivetran, an enterprise data company backed by Andreessen Horowitz.
Venture capital board conflicts
- ▪If the U.S. Department of Justice applies Section 8 of the Clayton Act to venture capital, firms may respond by taking fewer board seats in startup companies.
- ▪Venture capital firms have historically been spared from Section 8 investigations because emerging tech competition is often undefined and many startups fall below the law's size and revenue exemptions.
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