Sequoia has announced a broad overhaul in a memo posted to X, including the closure of its London office and the end of its scout program. The scouts model, which Sequoia pioneered 17 years ago, lets select founders and operators write checks on the firm's behalf.
The memo did not argue against scouts. Sequoia framed the change as a push for focus, saying it wants to put "more energy behind fewer people and things." Closing the London office is not seen as a signal on the city, which has a thriving AI scene. The scout decision is read as the more telling move on where venture investing is heading.
Not everyone backed the model. Investor Sheel Mohnot wrote on X that it never made sense to him, arguing that scouts don't care much about the investments and that firms can still miss deals, as Sequoia did with Uber. He expects other firms to close theirs.
Andreessen Horowitz built a global scout network aimed at the U.S. and smaller European hubs, but has since revamped it. Partner Gabriel Vasquez said the firm has cut the number of scouts and given the remainder more budget, while expecting them to be more active, such as co-hosting dinners with the firm.
Station F boss Roxanne Varza, a Sequoia scout from 2020 to 2025, said she was sad to see the program end. She said it helped scouts build track records and fund relationships, and fostered Europe's early-stage investment culture.
Two factors may explain the shift. Seasoned operators can earn more as angels investing their own money, and leading firms are now well known enough that top founders come to them. Early-stage, niche and under-covered markets still matter, so programs are more likely to be revamped than to vanish. Varza expects venture partner-style deals to continue, calling scouts "a way to scale the format."
