Former British Deputy Prime Minister Nick Clegg has taken on a new position as a general partner at the London-based venture capital firm Hiro Capital. This move marks another chapter in Clegg’s post-political career following his tenure at Meta, where he served as head of global affairs until earlier this year. Hiro Capital, founded in 2018, focuses on investments in technology sectors such as video games, esports, and artificial intelligence.
Clegg’s appointment comes at a time when Hiro Capital is planning to raise a new fund exceeding €500 million (approximately £375 million). According to the Financial Times, the fund aims to target industries where Europe has strong academic and research capabilities, including robotics, longevity, gaming, space, defence, and AI.
At a recent conference organized by the Financial Times, Clegg highlighted the challenges facing Europe, stating, “[Europe has a] very, very profound dilemma. We’re not only completely dependent on US tech … [but] when we have good people with good ideas, we export them to the US.” This sentiment reflects a broader concern about Europe’s reliance on American technology firms and the need to cultivate local talent and innovation.
Clegg’s hiring was praised by Luke Alvarez, co-founder of Hiro Capital, who noted that Clegg’s understanding of government and regulatory frameworks would be beneficial for the firm’s portfolio companies. The venture capital landscape is also witnessing the entry of prominent figures, such as Yann LeCun, who recently announced his departure as chief scientist of Meta AI. LeCun will serve as an adviser for Hiro, focusing on investments in AI companies.
LeCun remarked, “We are entering a new phase of AI – an era of systems which can understand the physical world, have persistent memory and which can reason and plan complex actions.” He emphasized that Hiro is well-positioned to seize opportunities in this evolving sector across Europe.
Clegg’s shift to venture capitalism is part of a broader trend among former politicians seeking roles in the private sector. During his leadership of the Liberal Democrats, Clegg played a crucial role in forming a coalition government with the Conservatives in 2010. His political career faced challenges, culminating in his resignation as party leader in 2015 after the Liberal Democrats suffered significant electoral losses. Following his defeat in the 2017 general election, where he lost his parliamentary seat, Clegg expressed a lack of interest in joining the House of Lords.
Other former politicians have made similar transitions, including David Cameron, who has held various roles in the business sector since leaving office, and George Osborne, who has taken on multiple positions, including editor of the Evening Standard and adviser at BlackRock.
As the venture capital landscape continues to evolve, Clegg’s experience and insights may provide valuable perspectives for emerging technology companies in Europe. Hiro Capital is expected to announce its first investment from the new fund in the first half of 2024, as it seeks to capitalize on the dynamic and rapidly changing tech ecosystem.
