Sequoia has raised $7 billion for its largest late-stage fund to date.

      The institution in Silicon Valley has secured around $7 billion for its expansion strategy fund, nearly doubling its equivalent fund from 2022. Alfred Lin and Pat Grady, who became co-stewards in November 2025, are using this fundraising as their introductory statement regarding the AI era.

      According to Bloomberg, Sequoia Capital has raised nearly $7 billion for a new fund, marking the firm’s largest fundraising effort in this category and the first under new leadership. The funds will support Sequoia’s “expansion strategy,” a late-stage investment division focused on the US and Europe, significantly increasing from the approximately $3.4 billion fund raised in 2022.

      This substantial raise underscores the structural changes that AI has introduced to late-stage venture funding. Major AI companies, including OpenAI and Anthropic, are securing investments at speeds and volumes unprecedented in venture capital, driven by the high capital requirements for training leading models and developing the necessary computing infrastructure.

      Sequoia has invested in both companies, being an early investor in OpenAI and participating in a January 2026 funding round for Anthropic led by GIC and Coatue, which diverges from the typical VC practice of avoiding investment in competing firms. Both companies are reportedly planning public offerings in 2026, representing a notable liquidity event for Sequoia.

      This new fund is the first capital raise since Sequoia’s new co-stewards, Alfred Lin and Pat Grady, took over as joint managing partners from Roelof Botha, who was ousted unexpectedly in a vote in November 2025. The leadership change coincided with a period of considerable internal unrest, which included the resignation of COO Sumaiya Balbale in August 2025 due to criticism of the firm’s management of posts by senior partner Matt Maguire, which prompted over 600 individuals to sign an open letter urging Sequoia to implement a zero-tolerance policy against hate speech.

      Lin and Grady’s title of “stewards” is a nod to a model established by Sequoia’s founder, Don Valentine. In addition to core AI companies, Sequoia has also invested in various AI-adjacent startups, such as Physical Intelligence, a San Francisco robotics firm that raised $400 million in late 2024, and Factory, which develops AI agents for enterprise engineering processes.

      Following a restructuring completed in 2024, the firm’s US and European divisions have been separated from Peak XV Partners, which focuses on India and Southeast Asia, as well as from HongShan, the previously affiliated China-targeted business. The new $7 billion expansion strategy fund will focus solely on investments in the US and Europe. As of January 2025, Sequoia managed roughly $56 billion in assets globally.