Opendoor (Decline)
Opendoor pioneered iBuying—using algorithms to instantly buy and resell homes. The company lost $1.4 billion in 2022 when housing prices fell faster than its models predicted. Opendoor discovered that machine learning can't predict macro regime changes—the algorithm was trained on a rising market and failed when conditions reversed. Like an organism with fixed behavior patterns that can't adapt to environmental shifts.
Key Leaders at Opendoor (Decline)
Eric Wu
Founder/CEO
Key Facts
2014
Founded