Founded in 1979, Austin Ventures has grown from start-up size to one of the Southwest's -- and the nation's -- more prominent venture capital firms. With a focus on the Lone Star state, the company has funded well over 100 ventures since its founding, and shows no sign of slowing down. In November 1999, the firm closed Austin Ventures VII with committed capital of $825 million, bringing the firm's total capital under management to $1.6 billion.

Investment strategy: keeping it local