Opendoor Lays Off 250 in India as AI Teams Replace Offshore Work

Opendoor has laid off its entire India team, roughly 250 people, CEO Kaz Nejatian announced on X. The proptech company is winding down its Hyderabad and Bengaluru offices, opened less than two years ago, and replacing offshore manual workflows with smaller AI-native teams based in the U.S.

Nejatian said the company unified manual workflows previously handled by Indian employees and hired AI-native teams for customer-facing roles. Those roles operate better closer to Opendoor's U.S. customer base, he wrote. The India offices had supported manual processes that the company now considers redundant as it invests in automation.

Calls to reduce reliance on Indian IT workers and prioritize domestic hiring in the U.S. have gained momentum over the past two years. Visa restrictions and layoffs have hit both onshore and offshore tech workers. Rising automation from generative and agentic AI has driven thousands of job cuts globally, including in India. Opendoor's decision fits that pattern.

The company will provide severance packages and outplacement services to affected employees. A small group will stay on until the transition is complete. Nejatian said Opendoor will stop layering manual workflows on top of point-solution tools and instead focus on integrated processes.

Opendoor's investors include Sam Altman, Khosla Ventures, General Atlantic, and Andreessen Horowitz. The company did not take similar steps for its EU operations, which continue to expand.