CAMBRIDGE, Mass. (Diya TV) — HubSpot has returned co-founder Brian Halligan to the chief executive role as the company adjusts its products, pricing and sales model to a shift it says is already changing how customers shop for software.
Halligan took over Nov. 12, the day Yamini Rangan stepped down as CEO and board member. She will stay through Dec. 1 to help with the transition. Halligan, who led HubSpot from its founding in 2005 until 2021, called the move a “refounding” and said he plans to rethink the company’s product strategy, sales approach and culture.
The leadership change follows a tougher outlook from HubSpot, which sells customer relationship management, marketing and sales software. The company reported third-quarter revenue of $947.6 million, up 17% from a year earlier, and 311,704 customers at the end of September. But it forecast fourth-quarter revenue growth of about 12% and said it expects net new annual recurring revenue to decline in 2026.
HubSpot’s latest filing describes a specific challenge: AI is changing how customers discover, evaluate and buy software. The company said those changes have led to longer sales and approval cycles among larger customers, while smaller businesses have become more price-sensitive and more focused on controlling budgets. HubSpot has responded with free trials of its AI agents and is testing pricing that ties more closely to product use and customer outcomes.
That strategy comes with organizational changes. In October, HubSpot announced plans to eliminate nearly 660 positions, about 7% of its workforce. Rangan told employees the company was reorganizing around customer outcomes; HubSpot’s SEC filing said the restructuring would create a flatter structure and redirect resources toward long-term growth and profitability. The company did not describe the cuts as a direct result of AI-driven efficiency gains.
Halligan’s first stretch as CEO coincided with HubSpot’s expansion from a startup into a publicly traded software company. The company says its customer base grew from 135,000 in 2021 to more than 311,000 today, while annual revenue rose from $1.3 billion to a projected $3.7 billion in 2026. Rangan led the company through that growth after succeeding Halligan in 2021.
HubSpot also announced a finance leadership transition. Karen Burgess, currently a senior vice president and CFO at Adobe, will join HubSpot on Nov. 30 and succeed Kate Bueker as CFO on Feb. 11, 2027. Bueker plans to retire from the role and will advise the company through the end of next year.
Halligan returns with the company still adding customers and growing revenue, but facing tighter customer budgets and weaker expectations for new recurring revenue. His challenge is to show that HubSpot’s AI products and pricing changes can translate into sustained customer demand.
