Bloomberg Talks: Sequoia Partner Konstantine Buhler Talks Agentic AI

Date: October 7, 2025
Host: Bloomberg
Guest: Konstantine Buhler, Partner at Sequoia

Episode Overview

This episode features an in-depth conversation with Konstantine Buhler, Partner at Sequoia, focusing on the rapid evolution and real-world applications of "agentic AI"—AIs that not only make decisions but also autonomously take actions based on those decisions. The discussion moves from cutting-edge innovations and investment strategies in AI to the disruptive potential across industries, especially finance and healthcare. Buhler also shares insights from the frontline of AI investing and offers memorable, personal anecdotes illustrating the transformative power of agentic AI.

Key Discussion Points & Insights

1. OpenAI-AMD Deal and the Hardware that Powers AI

• Context: Recent major partnership announced between OpenAI and AMD, continuing a legacy previously marked by collaboration with Nvidia.
• Insight: “All of this AI revolution is powered by really impressive hardware.” (Buhler, 00:40)
• Notable Moment: Buhler recounts Nvidia's delivery of its very first factory unit to OpenAI back in 2016, at Sequoia offices in the presence of Elon Musk—a reminder of how foundational hardware advances drive AI breakthroughs.

2. Defining and Realizing Agentic AI

• Agentic AI Explained:
  • Buhler: "Agentic AI is AI that doesn't just make a decision, it actually takes an action on it. And we are now in the moment where it's really starting to make a difference in workflows." (01:11)
• Real-World Use Cases:
  • AI Security: Sequoia-backed startup Expo leads by autonomously finding and fixing software vulnerabilities for vetted clients.
    • "We only actually service companies that have shown that it is that we're finding vulnerabilities on their own platforms. So it's for companies that have been approved and gone through the vetting." (Buhler, 01:43)
  • Legal Sector: AI platform Harvey enables lawyers to rapidly complete tasks, exemplified by Buhler’s sister (a general counsel at a tech company) reducing contract turnaround from three hours to thirty minutes.
    • Memorable Quote: Buhler's sister: "'Harvey just saved my Friday night.'" (Buhler, 01:57)

3. Sequoia's Investment Approach in a Competitive AI Landscape

• Backing the Right Teams:
  • "We always look at the team at the end of the day, especially for early stage investing. We're looking for the founders that are going to endure and persist through ups and downs." (Buhler, 02:41)
• Long-Term Value:
  • Sequoia believes AI's value is still "undervalued" when looking at long duration returns, and not just short-term hype.

4. Returns and Monetization of AI Investments

• Investor Focus: Buhler highlights the industry's shift in 2026 towards demanding tangible ROI ("return on that AI"). (03:13)
• Monetization Strategies:
  • Subscription: Traditional model—pay for access.
  • Usage-Based: The more you use, the more you pay, similar to service industries.
  • E-Commerce: OpenAI’s integration into platforms like Shopify/Etsy enables end-to-end purchasing, fulfilling earlier Sequoia predictions—"We wrote a thesis that this is going to become an important way to do commerce." (Buhler, 03:45)
• Emerging Modalities:
  • Voice: AI now supports flawless conversations for customer service and market research (e.g., Sequoia-backed Sierra and Listen Labs).
  • Video: In 2026, AI-powered video (e.g., Sora, Nano Banana) will go mainstream.

5. Sequoia and Citadel Securities—Blueprint for Fintech Partnerships

• Background: Sequoia was the first outside investor in Citadel Securities, investing $1B in 2021 due to its innovative tech platform.
• Industry Disruption:
  • The digitization of equities trading was pioneered by Citadel; now, only 8% of fixed income is digital, leaving huge room for growth.
  • Analogy: “It also reminds us of the revolution and the agentic revolution, where it starts off manual and then you get AI to make a prediction, and then like an agent, you actually complete it digitally.” (Buhler, 05:37)

6. Industries Ripest for Disruption: The Promise of AI in Healthcare

• Healthcare as the Next Frontier:
  • “An industry that could have a lot of innovation and would help everyone is health care. Why do I say that? Well, there's a lot of spend in health care. It's incredibly important, and we're not all getting the services that we could." (Buhler, 06:24)
• Personal Insight:
  • Buhler shares his wife’s experience as a surgeon: AI tools like Open Evidence and Bridge are automating cumbersome medical documentation, freeing up doctors' time for patients.
  • “She uses open evidence, which is now used by 40% of physicians. She uses a bridge, which does transcription… so she can spend more time with patients.” (Buhler, 06:44)
• Hopeful Outlook: Buhler envisions AI profoundly improving healthcare delivery and efficiency.

Notable Quotes

• On agentic AI’s impact:
  “That's us actually feeling AI and agent OK, finishing workflows in the real world.” (Buhler, 02:26)

• On startup investment focus:
  “We're looking for the founders that are going to endure and persist through ups and downs." (Buhler, 02:41)

• On industry disruption parallels:
  “…Reminds us of the revolution and the agentic revolution, where it starts off manual and then you get AI to make a prediction, and then like an agent, you actually complete it digitally.” (Buhler, 05:57)

• On healthcare innovation:
  “So I'm very hopeful that one of the areas that AI helps with is healthcare.” (Buhler, 07:07)

Timestamps for Important Segments

• 00:40: Buhler on AI's hardware roots (OpenAI/Nvidia/AMD)
• 01:11: Defining agentic AI and security use cases (Expo)
• 01:57: Harvey and AI’s impact on legal work—personal anecdote
• 02:41: Sequoia’s criteria for investment in AI companies
• 03:13: Trends in AI monetization and investor focus on ROI
• 04:50: The Sequoia/Citadel Securities fintech partnership story
• 06:21: Potential for AI-driven disruption in healthcare
• 06:44: Real-life impacts of AI in medicine (Open Evidence, Bridge)

Tone and Style

The conversation is future-focused, practical yet optimistic, with Buhler using accessible analogies, real-world stories, and emphasizing both technological vision and human impact. There’s a subtle encouragement for listeners to consider how agentic AI will continue to reshape industries—especially as the boundaries between decision-making and automated action blur.

Summary prepared for those who want a concise yet detailed look at the episode's major insights and discussions.