Veteran VC Tomasz Tunguz is stepping down from his leadership role at Redpoint

Veteran VC Tomasz Tunguz is stepping down from his leadership role at Redpoint

After a 14-year career at Redpoint Ventures, where he rose to become one of the firm’s stewards, Tomasz Tunguz plans to step down. He has also considered a departure from the famous Silicon Valley company, according to three people familiar with the matter.

When asked for comment, Redpoint denied that Tunguz would be leaving the firm in the near future, but said he will, and will, give up his duties as CEO (equivalent to the title “general partner” used in other VC firms). raising money belongs to limited partners to fund the company’s investment vehicles. Tunguz becomes a partner, a label more commonly used for junior investors. In a text to forbesTunguz reiterated what Redpoint said, “I’m still investing in the team but reducing some managerial responsibilities.”

The move for Tunguz, an integral part of Redpoint’s early practice, which also runs a popular technology blog, comes at a time when the company is trying to make a generational shift to a new set of leaders. Redpoint is also in the process of raising $650 million for its ninth fund, according to an April SEC filing first published in Venture Capital Journal. Tunguz is listed as managing partner in the financials for its two previous early-stage funds. But his name is missing from the latest filing, with the job replaced by Erica Brescia, who joined the firm in January.

According to two sources, Tunguz once considered launching its own fund. One of the people added that he had been considering exiting Redpoint for the past year, as hot capital markets spawned a flood of new venture capital funds. In May, Tunguz briefly changed the title on his personal blog site from “Venture Capitalist at Redpoint” to simply “Venture Capitalist” before resetting it a few weeks later, as documented by the Wayback Machine.

It’s unclear whether changing market conditions influenced Tunguz’s decision. He declined to comment on whether he was considering leaving the company and had changed his mind. A source speculated that the longtime VC could use the current period of uncertainty to bounce back. Despite the market downturn, some established investors in well-known companies are still opening their own stores, such as: B. Sarah Guo, who left Greylock earlier this month.

A Dartmouth College graduate, Tunguz spent three years as a product manager at Google before joining Redpoint during the 2008 recession. He was promoted to partner in 2013, the same year he secured his most notable VC deal, a Series A lead investment in data analytics firm Looker, valued at $80 million. The company exited in 2019 in a $2.6 billion sale to Google. In 2018, he assumed the position of Managing Director at the firm’s seventh early-stage fund. , and data startups Dremio (last valued at $2 billion) and Monte Carlo ($1.6 billion). Tunguz has also garnered a large following on social media for his blog, where he writes several data-driven columns a week about cloud software and venture capital.

Meanwhile, Redpoint is still working on his second generational transition, according to two people familiar with the matter. The first came about a decade ago, after Satish Dharmaraj (Midas list #16), Elliot Geidt (#57) and Tunguz joined and began taking bigger roles in the company. Along with Scott Raney (#39), who joined the company shortly after its founding in 2000, Redpoint reinforced its reputation for finding enterprise software winners with investments in companies like Twilio, Snowflake and HashiCorp.

This time around, the firm appears to be experimenting with new strategies to attract founders, such as being one of the first VC firms to use the social networking app TikTok. Still, recent hires to the position of CEO, Brescia, and Jason Warner — both former GitHub executives — suggest it’s doubling down on its bread and butter. It remains to be seen how the new generation will fare as stewards in Tungus’ place.

Additional reporting by Alex Konrad.

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