Moonfire Ventures, launched in 2020 by former Atomico co-founder Mattias Ljungman, said on Wednesday that it had raised $115 million to invest in European startup technology firms and in the AI (artificial intelligence) sector.

The fund-raising by Moonfire Ventures highlights the growth in Europe of artificial intelligence, which has led politicians around the world to examine how AI could be better regulated.

"Europe has been a leader in AI and we find our best fit is to support the next generation of founders solving some of our greatest challenges within health, work, finance and gaming," said Ljungman in a statement.

The European Union's tech chief, Margrethe Vestager, said earlier this week that the EU and the United States are set to step up cooperation on artificial intelligence with a view to establishing minimum standards before legislation enters force.

(Reporting by Sudip Kar-Gupta in Paris; Editing by Matthew Lewis)