Tech's top venture firm faces backlash over partner's Islamophobic remarks against Mamdani

• Startup founders saw Maguire's statements as "inflammatory attack".
• Maguire doubles down, calls Mamdani "wolf in sheep's clothing".
• Sequoia partner defends remarks, says they target Islamists only.
  

Venture capital giant, Sequoia Capital, is facing mounting pressure from the tech industry after one of its partners, Shaun Maguire, made controversial remarks targeting New York City mayoral candidate Zohran Mamdani, The New York Times reported.

In a July 4 post on X, Maguire accused Mamdani of promoting an "Islamist agenda" and belonging to a "culture that lies about everything."

The comments, widely condemned as Islamophobic, triggered a swift backlash across the tech ecosystem.

Over 1,100 technologists and startup founders have signed an open letter calling for Sequoia to investigate and discipline Maguire, according to the publication.

The letter, the publication said, described his statements as a “deliberate, inflammatory attack” that promotes anti-Muslim stereotypes. At least one company that signed the letter is backed by Sequoia.

Maguire later posted a video reaffirming his stance, referring to Mamdani as "an Islamist" and "a wolf in sheep’s clothing".

He attempted to draw a distinction between Islamists and Muslims and issued a partial apology “to any Muslim that is not an Islamist.”

Sequoia has not issued a formal statement, but internal emails reviewed by The New York Times revealed that senior partner Doug Leone defended Maguire’s remarks, asserting they did not condemn Muslims as a whole.

Another partner, Pat Grady, acknowledged the controversy, saying Sequoia values "aggressive truth-seeking" and "healthy conflict of ideas."

The controversy has followed Sequoia’s managing partner Roelof Botha to high-profile events, including the recent Allen & Company conference in Sun Valley, where he faced repeated questions about the issue.

Founded in 1972, Sequoia Capital is one of Silicon Valley’s most prominent venture firms, having invested in companies like Google, Apple, Nvidia, and SpaceX. Known historically for maintaining political neutrality, the firm now finds itself entangled in escalating cultural and political divisions.

While some have called for accountability, others have voiced support for Maguire.

A counter-letter backing him attracted more than 1,000 signatures, including high-profile investors like Bill Ackman.

Supporters described Maguire as a "principled thinker" who has contributed meaningfully to the startup ecosystem.

Amid rising tensions, activist groups have urged Sequoia’s institutional backers — including the University of Michigan and Duke University — to take note of the situation and press the firm for accountability.