New leaders, new fund: Sequoia has raised $7 billion to expand its bets on AI

Few venture firms have bet more aggressively on AI than Sequoia Capital, and it’s not slowing down.

The Silicon Valley stalwart has raised approximately 7 billion dollars for a new fund, according to Bloomberg. Sequoia declined TechCrunch’s request for comment. The money will go into what the company calls its “expansion strategy” (essentially its late-stage investment arm, focused on the United States and Europe) and is almost double Sequoia’s last comparable fund, a $3.4 billion vehicle raised in 2022.

That growth in fund size reflects something bigger: Late-stage investing has taken on a whole new meaning in the age of AI. Companies can now scale at a speed and cost that would have been unimaginable a decade ago, and the companies behind them have to keep pace.

The money indicates where Sequoia sees the future: deeply rooted in AI, from the giants building the underlying technology to the startups putting it to work. The company has backed two of the most prominent players in the AI ​​race (OpenAI originally and, more recently, Anthropic), both of which are reportedly considering going public in 2026. The development that could mean a significant payday for the company.

Sequoia isn’t just betting on the fundamental AI heavyweights, though. It has also opted for other fashion startups, including Physical intelligencethe Bay Area robotics startup, and Factorywhich creates artificial intelligence agents for enterprise engineering teams.

The fundraising is also the first major capital raise under Sequoia’s new leadership, with Alfred Lin and Pat Grady now co-managing the 54-year-old firm.