San Francisco-based real estate technology company Opendoor is shutting down its operations in India, impacting nearly 250 employees in Chennai and Bengaluru as the company shifts toward a leaner, AI-driven operating model and relocates key functions closer to its American customer base.
The decision was announced by CEO Kaz Nejatian in a message to employees on Wednesday, which he later shared publicly on X. The move comes as Opendoor continues rolling out what it calls “Opendoor 2.0,” a restructuring effort focused on simplifying workflows, reducing reliance on manual processes, and increasing the use of artificial intelligence.
“I shared this note earlier today with the entire team at Opendoor.
Today we began to say goodbye to our colleagues in India as we wind down our India operations.
Our customers are in America, and that’s where our operational work belongs.”
In an internal memo, Nejatian said the company had already begun transferring some positions back to the United States over the past several months. He described the latest announcement as the final step in that transition and acknowledged the contributions of the India-based workforce.
“Team,
I want to update you on a change we are making to Opendoor. When we launched Opendoor 2.0 a few months ago, Opendoor had nearly 250 employees in India. Over the last few months, some of these jobs have been relocated back to the United States.
Today, we are finalizing bringing these roles closer to our customers in America and beginning the process of winding down our India-based operations. This affects all of our colleagues in India who have done meaningful work for Opendoor.
I am grateful for their dedication and this decision is not a reflection of the quality of their work. Our colleagues in India are great people, and we recommend them to anyone hiring.”
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The company said the decision reflects a broader shift in how work is being organized internally. According to Nejatian, advances in automation and the consolidation of previously fragmented systems have reduced the need for large operational teams spread across multiple geographies.
Explaining the rationale behind the move, the CEO said Opendoor increasingly believes customer-facing operational work should be performed closer to the market it serves.
“Why we are making this change
Our customers are in America, and the operational work we do for them is best done close to them. For years Opendoor built a large team in India to handle manual workflows across fragmented systems. As we’ve unified these systems and have hired small AI-native customer-facing teams throughout the US, we need all this operational work to be done in person and close to our customers.
After today, Opendoor 2.0 will be a much smaller company by headcount, but a much larger company by impact. Our people, aided by the tools we have built, will own more, build more, and have broader scope than ever before.”
Nejatian also outlined how the company expects its operations to change under the new structure. He said Opendoor plans to reduce complexity by eliminating redundant tools and manual workarounds while building a more unified platform for managing transactions.
“We will simplify: fewer tools, fewer steps, fewer workarounds.
We will build one platform, so anyone at Opendoor can see how a home moves through buy, reno, and sell.
We will stop stacking manual workflows on top of point-solution tools. Every new process will earn its place.”
For employees affected by the closure, the company said it will provide severance packages, outplacement support, and other transition resources. A smaller group of workers will remain temporarily to help transfer responsibilities and complete ongoing workstreams.
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“What this means for our colleagues in India
For the people affected, this is a significant and difficult change and we are providing transition packages including severance, outplacement services, and other resources. A small subset of team members will stay on to complete the transition of key workstreams.”
Despite the workforce reduction, Nejatian told employees that Opendoor’s long-term strategy remains unchanged and that the company believes it is emerging from the restructuring in a stronger position.
“What this means for the rest of the company
Our priorities and direction have not changed, and Opendoor is in a strong position and getting stronger.
Our colleagues in India helped get Opendoor to where it is today, and we’re grateful for it. Our job now is to keep tilting the world in favor of homeowners. Let’s fix America’s housing problem.”
Following the announcement, Nejatian publicly endorsed the employees affected by the shutdown and encouraged other companies with operations in India to consider hiring them.
“If you’re hiring and have a presence in India, these are excellent people. Consider this my reference letter and hire them.”