Reports suggest that Andreessen Horowitz have announced that there has been a formation of a $200 million investment fund. This has helped to increase the total to reach an amount of $1.2 billion in the investments. This announcement was done on Wednesday.

"These companies have a substantial need for capital -- they're hiring aggressively, expanding internationally, making acquisitions, investing in facilities, pouring money into marketing -- all to double down on their success and win the entire market", O'Farrell said of the types of companies the fund will target.

He claimed that the size of the market gets many investors and also gets various attractive returns from the investors.

Andreessen is well known for his investments in tech companies and with his investments these companies are presently ruling the technology market. Few such companies are Box. net, Facebook, Groupon, Skype, Twitter, and Zynga.

His company invests in more than 30 companies at present.

His main target is to boost the growth of the companies and to do the technology deals. His investments are mostly in the private tech companies. He chooses them because he feels that these private companies have the potential to develop and grow big.