SUSE to cut 190 jobs, blames AI and automation for restructuring
German open-source software company SUSE is reducing its workforce by 10%, affecting around 190 employees. CEO Dirk-Peter van Leeuwen attributed the decision to AI and automation, which the company says are reshaping software operations. SUSE is owned by private equity firm EQT, which is exploring a potential sale.
Editor, Lazyfounder
TABLE OF CONTENTS
KEY HIGHLIGHTS
- SUSE will cut 10% of its workforce, affecting approximately 190 employees.
- CEO Dirk-Peter van Leeuwen cited AI and automation as key drivers of the restructuring.
- EQT, SUSE’s owner, is considering selling the company after taking it private in 2023.
- Affected employees will be notified by 4 November, with a new strategy for fiscal year 2027 to be shared on 16 November.
190 jobs to be cut in AI-driven restructuring
SUSE, the Germany-based open-source software company, will reduce its global workforce by approximately 10%, affecting around 190 employees. The decision was announced in an internal memo by CEO Dirk-Peter van Leeuwen, who cited AI and automation as primary reasons for the cuts. SUSE employs over 1,900 people, according to its owner, EQT.
AI and automation reshape software operations
Van Leeuwen stated that AI and automation are transforming how software companies operate, enabling teams to function with less overhead and flatter hierarchies. The memo acknowledged the difficulty of the decision for SUSE’s culture and open-source community but emphasized that the cuts reflect changing operational needs rather than employee performance.
In September, SUSE had invited long-serving employees to consider voluntary separation packages. On 27 October, the company announced new AI capabilities for its Linux management tools, signaling its focus on integrating AI into its products.
EQT explores sale amid broader industry shifts
SUSE is owned by Swedish private equity firm EQT, which acquired the company from Micro Focus for $2.5 billion in 2018. EQT took SUSE public in Frankfurt in 2021 before returning it to private status in 2023. Reuters reported earlier this year that EQT is now exploring a sale, which could accelerate the restructuring timeline.
The layoffs follow a broader trend of job cuts linked to AI adoption. American Express recently announced plans to reduce its workforce by 5%, while Barclays is cutting 5,000 jobs. The Dutch government also revealed plans to eliminate 25,000 public sector roles, citing similar reasons.
How this fits into broader industry changes
Lazyfounder’s earlier reporting on Barclays’ job cuts highlighted a similar reliance on AI and technology to drive efficiency. SUSE’s restructuring aligns with this trend, as companies across industries reassess their workforce needs in light of automation and AI advancements.
What this means
Lazyfounder analysis — our interpretation, not reported fact.
SUSE’s decision to cut 10% of its workforce underscores how AI and automation are forcing companies to rethink their operational structures. For founders and operators, this signals a growing pressure to integrate AI not just as a tool but as a core driver of efficiency—even if it comes at the cost of jobs. The potential sale by EQT adds another layer of uncertainty, suggesting that SUSE’s restructuring may not be the last chapter in its evolution. For competitors like Red Hat, this move could create opportunities to absorb talent or market share, while investors may see it as a sign of broader industry consolidation.
Key takeaways
- Founders in open-source and enterprise software should monitor how AI-driven efficiency gains reshape workforce requirements, particularly in companies owned by private equity.
- SUSE’s layoffs reflect a broader trend where AI adoption is accelerating operational changes, not just in tech but across financial services and public sectors.
- EQT’s potential sale of SUSE could lead to further restructuring, creating risks or opportunities for competitors and employees alike.
Related on Lazyfounder
Sources
- The Next Web · 2026-11-02
SUSE to cut about 10% of jobs as CEO cites AI, The Register reports
This story is an original summary drafted with AI by Lazyfounder from the reporting listed above and checked by automated validation. Facts are attributed to their original publishers; sections marked as analysis are Lazyfounder's. Where a source is in another language, facts were machine-translated and quotations are reported, not reproduced. Read the original coverage via the links, and see our AI policy and corrections policy.
About the author
Editor, Lazyfounder
Tarun Mottlia edits LazyFounders, covering Indian startups, funding rounds, AI and product launches. Every story on the site is AI-assisted and checked against its cited sources before publication.
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