US-based proptech company Opendoor has laid off its entire India team, affecting around 250 employees as it shifts to leaner AI-native teams closer to its American customer base, according to inc42.com. The company announced the decision this week, marking a significant operational change less than two years after expanding to Hyderabad and Bengaluru.
Opendoor CEO Kaz Nejatian explained on X that the company is finalizing the process of winding down its India-based operations. The move follows the unification of manual workflows previously handled offshore in India, with new AI-native teams now hired for customer-facing roles in the US. Severance packages, outplacement services, and other support will be provided to the affected employees, with a small subset remaining until the transition completes.
This restructuring reflects Opendoor’s strategic shift away from stacking manual workflows on top of point-solution tools, aiming for more integrated processes. While the company is reducing its India footprint, it continues to expand operations in the European Union. Opendoor’s investor base includes Sam Altman, Khosla Ventures, General Atlantic, SoftBank Vision Fund, and Andreessen Horowitz, highlighting the company’s high-profile backing despite this contraction in India.
Opendoor had entered the Indian market less than two years ago, opening offices in Hyderabad and Bengaluru. The full layoff of its India team marks a reversal of that expansion, with the company now focusing on AI-native teams operating closer to its US customers, as confirmed by CEO Kaz Nejatian on X.