Sequoia shutting down its Scouts program marks the end of an era
News Source
β’Sat, 07 Nov 2026 05:01:54 +0000
π° What Happened
Sequoia Capital is shutting down its scout program and closing its London office. The firm announced the changes in a memo this week. It said it wants to put more energy behind fewer things.
Scouts are founders and operators who invest small amounts for a venture firm. Sequoia started the model 17 years ago, and many other firms copied it.
π The Backstory
The idea was to spot young companies early, through people already working in tech. It helped Sequoia find deals before rivals did. But critics say scouts miss big winners and add little.
Rival Andreessen Horowitz has changed its own program instead of ending it. It cut the number of scouts but gave each more money and a bigger role.
π― Why It Matters
Scout programs were a ladder for young investors and founders. Closing them makes it harder for newcomers to break into venture capital.
Sequoia Capital is shutting down its scout program and closing its London office. The firm announced the changes in a memo this week. It said it wants to put more energy behind fewer things.
Scouts are founders and operators who invest small amounts for a venture firm. Sequoia started the model 17 years ago, and many other firms copied it.
The idea was to spot young companies early, through people already working in tech. It helped Sequoia find deals before rivals did. But critics say scouts miss big winners and add little.
Rival Andreessen Horowitz has changed its own program instead of ending it. It cut the number of scouts but gave each more money and a bigger role.
Scout programs were a ladder for young investors and founders. Closing them makes it harder for newcomers to break into venture capital.