Sequoia Capital Partners Face Backlash Over Partner Shaun Maguire's Comments on Muslim Candidate Zohran Mamdani

Almost 600 people, including tech founders and startup CEOs, have signed an open letter to Sequoia Capital denouncing partner Shaun Maguire's comments against Muslim Democratic mayoral candidate Zohran Mamdani. The letter calls for Sequoia to condemn Maguire's comments, apologize to Mamdani and Muslim founders, and implement a zero-tolerance policy on hate speech. The signees are asking for a public response by July 14 or they will proceed with broader disclosure and media outreach.

Nearly 600 tech founders and startup CEOs have signed an open letter to Sequoia Capital, calling for the prominent venture capital firm to take action against one of its partners, Shaun Maguire. The letter, which has over 520 digital signatories as of July 2, 2025, follows a July 4th post on X in which Maguire referred to New York City mayoral candidate Zohran Mamdani as an "Islamist" [1].

Maguire, known for his investments in SpaceX and xAI, made controversial comments about Mamdani, claiming that he "comes from a culture that lies about everything" and is willing to lie "if it advances his Islamist agenda." The comments sparked outrage among the tech community, with many signing the open letter to Sequoia Capital.

The letter demands that Sequoia make a public apology for Maguire's actions, launch an investigation into his conduct, publish a zero-tolerance policy on hate speech, and create a hotline for founders to safely report discrimination or hate speech made by Sequoia employees. The signees also ask for a formal response to these demands by July 14, threatening broader disclosure and media outreach if their demands are not met [1].

Some of the notable signatories include Hosam Arab, CEO of Tabby, and Hisham Al-Falih, CEO of Lean Technologies, co-founders of Saudi fintech startups that raised funding from Sequoia Capital India before its separation from Sequoia Capital in the US. Ahmed Sabbah, co-founder of Egyptian payments company Telda, which raised funding from Sequoia in 2021, also signed the letter [1].

Maguire has since apologized for his comments in a 30-minute video posted to X on Sunday, clarifying that Islamism is a political ideology, not a race or religion. He also stated that his primary concerns are with Mamdani's father, Mahmood Mamdani, a Columbia University professor who Maguire says practices "radical left-wing Islamism" [1].

A spokesperson for Sequoia Capital declined to comment on the matter, while a spokesperson for Mamdani’s campaign did not respond to a request for comment. However, the open letter has gained significant attention and highlights the growing concerns within the tech community about hate speech and bigotry [1].

This incident underscores the importance of diversity, equity, and inclusion in the tech industry and the need for firms to address such issues promptly and effectively. As the tech industry continues to grow, it is crucial for venture capital firms like Sequoia Capital to maintain a reputation for inclusivity and respect.

References:
[1] https://finance.yahoo.com/news/sequoia-partner-maguires-post-mamdani-212430177.html
[2] https://www.devdiscourse.com/article/politics/3486397-zohran-mamdani-champion-of-democratic-socialism-faces-political-storm-in-nyc-mayoral-race