business
SUSE to cut one in ten employees citing automation and AI
SUSE will cut about 10 percent of its workforce, citing automation and AI shifts.
Key points
- SUSE will cut approximately 10 percent of its global workforce of about 1,900 people.
- Staff affected by the redundancies will be informed by November 4, with the fiscal year 2027 strategy shared on November 16.
- EQT bought SUSE from Microfocus in 2018 for $2.5 billion and floated it on the Frankfurt Stock Exchange in 2021.
Why it matters. The cuts show how AI and automation are reshaping staffing at software firms, and the CEO's memo says the current organizational design and cost base will not carry SUSE forward successfully.
SUSE will cut approximately 10 percent of its global workforce, CEO Dirk-Peter van Leeuwen said in an email to staff on Monday. The privately owned open source software firm, bought by Swedish private equity provider EQT, reviewed its future strategy, required capabilities and team structures before deciding. Van Leeuwen said AI capabilities are advancing exponentially, and affected staff will be informed by November 4.
Latest updates
SUSE to cut one in ten employees citing automation and AI
Open source software company SUSE is planning to cut about one in ten of its employees, according to a memo from management seen by The Register. The cuts are attributed to automation and AI. In an email to its roughly 1,900-strong workforce on Monday, CEO Dirk-Peter van Leeuwen, a former Red Hat executive, said modern tooling is already changing the company's daily workflows. The memo indicates the reductions are tied to how the business is restructuring around these technologies. The report does not detail which functions or regions will be affected.