Sequoia Capital restructures global operations, raises USD 10 billion in new funds

Global venture capital firm Sequoia Capital has restructured its operations, streamlined its investment teams and raised around USD 10 billion in new funds as part of a broader effort to sharpen its focus on selective investments and strengthen support for startups.

Global venture capital firm Sequoia Capital has restructured its operations, streamlined its investment teams and raised around USD 10 billion in new funds as part of a broader effort to sharpen its focus on selective investments and strengthen support for startups. In an announcement on X, marking a year since its leadership transition, the firm said it had simplified its operating structure, discontinued its Arc accelerator and Scouts programmes, and streamlined its investment and operating teams.

It said the changes would allow it to concentrate resources on fewer activities and provide better support to the founders it backs. "We are best at high-conviction, highly selective venture capital investing. This is our focus," the firm said.

As part of the restructuring, Sequoia has brought its early-stage and growth investment operations under a single structure, ending the distinction between the two teams. The move is aimed at making the firm's engagement with founders more seamless as their businesses move through different stages of growth. The firm also announced the closure of its London office, saying it would continue supporting European founders from its base in the San Francisco Bay Area. It clarified that the decision was not related to the performance of its London team but reflected its view that a local presence was no longer necessary.

Sequoia said it had raised around USD 10 billion in new funds and strengthened its team by bringing in new talent, reuniting with former leaders and giving greater responsibilities to its operating team. It has also made changes to flatten its partnership structure and reduce internal hierarchy, allowing founders to access the wider team's expertise regardless of their lead investment partner.

The firm said it had moved away from its fixed Monday partner meeting cycle to make its internal processes more responsive to founders' requirements. "Founders shouldn't have to adhere to our process - we will do our best to adhere to yours," it said. Sequoia further said it intends to focus on emerging areas including artificial intelligence, space, biology and reindustrialisation, which it believes could drive significant changes across industries.

The firm said its objective was not to expand its scale but to improve the quality of its investments and deliver better returns to investors while supporting founders in building companies. (ANI)