NovaWave Capital announced it has reached a new milestone for its NovaWave Fund I generation, adding AZ Venture Capital Inc. and Sunny Day Sports as incoming investors, as it expands its public-private capital base to support innovation across the U.S.
Announced at CES 2026 alongside anchor limited partner LG Electronics, the Silicon Valley–based firm also revealed a collaboration with the Arizona Commerce Authority to launch “WaveX,” an AI venture studio designed to help create and scale new companies across Arizona. The initiative will focus on venture development in sectors including healthcare, energy, sports, and media, according to the company.
Arizona Gov. Katie Hobbs said the venture studio will add momentum to the state’s innovation ecosystem, while Arizona Commerce Authority President and CEO Sandra Watson said the partnership is intended to help Arizona-based startups and early-stage companies scale through a combination of venture studio resources and fund support.
NovaWave Capital was created to support businesses aligned with LG Electronics’ North America Innovation Center, LG NOVA, and is focused on scaling AI companies in energy, health and business sectors, according to founding managing partner “Tonton” Ali Diallo, who also founded Aurion Capital. NovaWave said its platform is structured to connect Silicon Valley innovation with regional and international markets, leveraging partnerships across Arizona as well as existing hubs and relationships in West Virginia, Nevada and Silicon Valley.
LG NOVA Executive Vice President of Innovation Dr. Sokwoo Rhee said the organization is working with NovaWave to identify and scale “AI-first” ventures with community and industry impact.
NovaWave said its investor base spans corporate, institutional and government participants, including LG Electronics as anchor investor, along with Nevada’s Governor’s Office of Economic Development and the West Virginia Division of Economic Development, among others. The firm also described a broader network of collaborators across the U.S., Asia and the Middle East, including academic and regional partners tied to its innovation corridor strategy.
NovaWave Capital is managed by Aurion Capital, which the company described as a global investment group headquartered in Silicon Valley with offices in Seoul, Dubai and Abu Dhabi, working with corporations, sovereign funds, governments and family offices on capital and innovation programs.
KEY QUOTES:
“Arizona is proud to welcome NovaWave Capital’s venture studio to our state, a powerful addition to our thriving innovation ecosystem. This prominent initiative reflects Arizona’s growing global importance in advanced technologies and our commitment to fostering next-gen innovations across artificial intelligence, energy, advanced manufacturing, and more.”
Katie Hobbs, Governor, Arizona
“With our collaborative business environment, world-class talent, and advanced technology ecosystem, Arizona offers unparalleled opportunities for startups and early-stage companies to scale and succeed. We are excited to partner with NovaWave Capital on the creation of a new AI venture studio and venture fund to support Arizona based companies.”
Sandra Watson, President and CEO, Arizona Commerce Authority
“Our collaboration with AZ Venture Capital Inc., Sunny Day Sports and the Arizona Commerce Authority is a testament to the vision shared by our investors and regional partners across the public and private spectrum to build and scale AI-first companies in collaboration with LG NOVA.” “By bridging Silicon Valley innovation with the fast-growing ecosystems of regional and international markets, we are seeking to build the next generation of AI, energy and health companies that will accelerate America’s innovation economy.”
“Tonton” Ali Diallo, Founding Managing Partner, NovaWave Capital, who also founded Aurion Capital
“LG NOVA is committed to building a strong foundation for breakthrough innovation in the United States.” “Our collective work with NovaWave Capital allows us to identify, support, and scale impactful AI-first ventures that benefit communities and industries nationwide.”
Dr. Sokwoo Rhee, Executive Vice President of Innovation, LG Electronics; Head of LG NOVA
