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2d ago

Opendoor’s New Regime Signals Deep Cuts and a Culture Reset

He says the business model remains sound, with past stumbles stemming from bloated overhead rather than strategy.

Keith Rabois rejoined the Opendoor board as chairman

Overview

  • Kaz Nejatian started as CEO this week as cofounder Keith Rabois returned as chairman to drive a founder-led turnaround.
  • Rabois said Opendoor has roughly 1,400 employees and "doesn’t need more than 200," flagging potential layoffs, a return to offices, and a shift toward "merit and excellence."
  • He defended iBuying as viable, arguing that 2022 mispricings followed rapid rate hikes while later home cohorts were priced correctly.
  • Shares jumped about 80% after the leadership changes and remain volatile, with traders eyeing a potential 25-basis-point Fed cut on Wednesday.
  • Fortune reported about $40 million in new funding from Eric Wu and Khosla Ventures, as revenue has fallen to roughly $5.2 billion from a $15.6 billion peak in 2022.