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Chronicles

The story behind the story

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Sequoia plans to split into three firms, Sequoia in the US and Europe, HongShan in China, and Peak XV in India and Southeast Asia, “no later than” March 2024

Venture capital's biggest global brand is breaking up, with Sequoia's China and India and Southeast Asia funds relaunching …

Forbes Alex Konrad

Context & Ripple Effects

Sequoia had already built substantial dedicated investment platforms in India and Southeast Asia, including separate regional funds launched in 2022, while its US and European holdings were organized through the Sequoia Fund structure. The planned separation turns those regional operating distinctions into independent firms.

Related coverage places the change amid rising US-China tensions affecting Silicon Valley's China ties. It also establishes a distinct Southeast Asia question: HongShan's Singapore presence could put it in competition with Peak XV for deals.

First-order effects

  • Sequoia, HongShan, and Peak XV will operate as separate regional firms, giving the China and India/Southeast Asia businesses independent brands and investment mandates.
  • Peak XV can pursue US opportunities, including AI, with fewer conflicts tied to a single global Sequoia platform, according to its leadership.

Second-order effects

  • HongShan and Peak XV may compete more directly for Southeast Asian startups and regional investor relationships as their geographic remits and fundraising identities diverge.
  • Founders and limited partners seeking cross-border capital may need to engage multiple successor firms rather than rely on one Sequoia-branded global network.

Third-order effects

  • If other global venture firms face similar geopolitical and regulatory pressures, regional autonomy may increasingly replace integrated cross-border venture brands.
  • The split illustrates a broader institutional reordering in which access to capital, portfolio support, and deal flow is organized more explicitly around national and regional boundaries.

The trend: Global venture capital is moving toward regionally independent platforms as geopolitical alignment and cross-border conflicts reshape investment networks.

Discussion

  • @sequoia @sequoia on x
    Here is the global business update we shared with our LPs. [image]
  • @alexrkonrad Alex Konrad on x
    Big VC news: Sequoia is splitting into three firms. Sequoia China is now HongShan. Sequoia India is now Peak XV Partners. And Sequoia's U.S. and Europe business continues as Sequoia Capital. I spoke to the leaders of all 3 firms exclusively for @Forbes: https://www.forbes.com/...
  • @anmolm_ Anmol on x
    Massive moment for venture in India https://www.forbes.com/...
  • @alex @alex on x
    really solid piece from @alexrkonrad https://www.forbes.com/...
  • @mayazi Maya Zehavi on x
    Nothing represents deglobalization & splintenet more than Sequoia splitting into the 2 new geopolitical hubs: * west * china * India - the neutral countries https://www.forbes.com/...
  • @_iainmartin Iain Martin on x
    “Many Chinese entrepreneurs probably don't even know how to spell Sequoia.” Neil Shen https://www.forbes.com/... @alexrkonrad on the break up of venture capital's biggest brand
  • @mdudas Mike Dudas on x
    the world's greatest global vc firm set to split into 3 regional firms as the tech world moves post-global https://www.forbes.com/...
  • @silvermanjacob Jacob Silverman on x
    things getting shaky for foreign investors and due diligence firms in China https://twitter.com/...
  • @eliotwb Eliot Brown on x
    Sequoia splitting up US arm and China arm (and India arm). Tensions have been simmering for years as Beijing / Washington technology fissures have grown https://twitter.com/...
  • @danprimack Dan Primack on x
    Will have more on the Sequoia Capital split in Pro Rata this morning. Remember when Sequoia Capital blew up its model? https://www.axios.com/... It was notable at the time that China/India wasn't part of it. That was the precursor.
  • @bernardleong @bernardleong on x
    The prediction by @beijingscribe from @theinformation finally happened for Sequoia China but it took a little longer. https://twitter.com/...
  • @akshaybd Akshay BD on x
    Pretty big news. Not sure if Peak XV (Sequoia India until 20 mins ago) is still allowed to invest internationally — but if they are — it may mark the internationalization of Indian Venture Capital. https://twitter.com/...
  • @alex @alex on x
    👀😳 https://twitter.com/...
  • @alexrkonrad Alex Konrad on x
    Frosty politics between the U.S. and China, especially involving TikTok parent ByteDance (a major Sequoia China position) were an obvious backdrop to this separation. But they were not a primary catalyst, all of the investors claimed to @Forbes. https://www.forbes.com/... [image]
  • @alexrkonrad Alex Konrad on x
    Sequoia went global in the mid-2000s with separate funds that shared back-office functions, some LP backers, and its well-known VC brand. Now, it'll end any back-office and profit sharing by Dec 31, and be fully separated “not later than” March 31, 2024. https://www.forbes.com/..…