According to Fortune, Roelof Botha announced Tuesday that he’s stepping aside as Sequoia’s steward after seven years in the role. He’s passing leadership to partners Alfred Lin and Pat Grady, who will serve as co-stewards following the same structure that worked when Michael Moritz and Doug Leone led the firm. Botha, the former PayPal CFO who backed YouTube and Instagram, will transition to an advisory role while continuing to serve on startup boards. The leadership change comes as Sequoia deals with internal controversy over partner Shaun Maguire’s political posts that reportedly led to COO Sumaiya Balbale’s resignation. Meanwhile, the firm just launched two new funds totaling $950 million – a $200 million seed fund and $750 million venture fund – adding to its $56 billion in assets under management.
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Back to the Future
Here’s the thing about this move – Sequoia isn’t just changing leaders, they’re returning to a proven formula. The co-steward structure worked before with Moritz and Leone, and now they’re betting it’ll work again with Lin and Grady. Botha had been steering the ship through some pretty turbulent waters, including the 2021 restructuring that merged US and European funds into one evergreen fund and last year’s China split-off. Now he’s handing over the wheel to two seasoned partners who’ve been with the firm since 2010 and 2007 respectively.
And what a time to take over. Lin comes from that Zappos background that made him perfect for backing operations-heavy companies like Airbnb and DoorDash. Grady built his reputation on enterprise hits like Snowflake and Zoom. They’re inheriting a firm that’s simultaneously launching nearly a billion dollars in new funds while dealing with internal culture wars. Talk about walking and chewing gum at the same time.
The Elephant in the Room
Let’s be real – the immediate challenge for Lin and Grady isn’t just deploying that new capital. It’s navigating Sequoia’s “institutional neutrality” policy while partners are getting increasingly vocal about politics. Botha’s comments at TechCrunch Disrupt last week were telling – he basically said Maguire’s outspokenness appeals to some founders but comes with tradeoffs. That’s venture capital diplomacy speak for “we’ve got a problem here.”
So what happens when your COO resigns over a partner’s posts? And how do you maintain that careful balance between individual expression and firm unity? These aren’t abstract questions anymore. They’re the first test for the new leadership team. Silicon Valley firms are increasingly being forced to take stands on political issues, but Sequoia’s built its brand on staying above the fray. Can that strategy survive in today’s polarized environment?
What’s Next for Sequoia
Looking ahead, this feels like a maturation moment for Sequoia. The firm that backed Apple and Atari in the 70s is now dealing with 2020s problems – internal culture clashes, geopolitical tensions affecting their China operations, and the pressure to remain relevant in an increasingly crowded venture landscape. The new $950 million in funds shows they’re not slowing down, but the leadership change suggests they’re recalibrating.
Botha’s move to an advisory role makes sense – he’s been through the wringer these past few years. Now Lin and Grady get to put their stamp on what comes next. Will they double down on enterprise? Push deeper into AI with their OpenAI position? And most importantly, can they maintain Sequoia’s legendary returns while keeping the firm from tearing itself apart over politics? The venture world will be watching closely.
