Few venture capital firms have chased artificial intelligence opportunities with the same aggressive intensity as Sequoia Capital, and the storied firm is showing zero signs of slowing its AI-focused investment push.

According to recent reporting from Bloomberg, the iconic Silicon Valley venture stalwart has raised approximately $7 billion for a brand new investment fund. Sequoia declined to comment on the fundraising when reached by TechCrunch.

The fresh capital will support the firm’s self-described “expansion strategy”, which refers to its dedicated late-stage investing arm focused on dealmaking across the United States and Europe. The new fund comes in at nearly twice the size of Sequoia’s last comparable late-stage vehicle, a $3.4 billion fund the firm closed back in 2022.

This sharp jump in fund size reflects a much larger industry shift underway: late-stage investing has taken on an entirely new identity in the AI era. Modern AI companies can now scale their operations at a speed and cost point that would have been unimaginable just a decade ago, leaving venture backers forced to adapt their capital pools to keep up with this accelerated growth trajectory.

The massive fundraising makes clear exactly where Sequoia sees the future of technology: deeply rooted across every layer of the AI ecosystem, from the large players building core underlying AI infrastructure to early-stage startups putting new AI tools to practical use. The firm already backs two of the most prominent leaders in the global AI race: it was an original early backer of OpenAI, and more recently added Anthropic to its portfolio. Both companies are reportedly planning to launch initial public offerings in 2026, a milestone that could deliver a massive windfall for Sequoia.

Sequoia’s AI bets are not limited to the high-profile foundational AI giants that dominate headlines, however. The firm has also placed early bets on a range of other buzzy AI-enabled startups, including Physical Intelligence, a Bay Area-based robotics startup, and Factory, a firm that builds custom AI agents for enterprise engineering teams.

Notably, this fundraising is also the first major capital raise for Sequoia under its new leadership structure. The 54-year-old firm is now co-steered by Alfred Lin and Pat Grady as it enters its next chapter of investing.