Wix to cut 1k jobs in largest layoff round in company history

5 hours ago

Wix will cut approximately 1,000 jobs, or 20% of its workforce, marking its largest layoff in history.
The layoffs follow a 50% stock decline since the start of the year and increasing AI-related costs.
The job cuts will affect all departments, not just service and support roles like previous reductions.
Wix reported a net loss of $57.5 million in Q1, reversing previous profits, despite a 14% revenue increase to $541 million.
The company invested heavily in its $1.6 billion share buyback program and AI acquisition Base44, reducing cash reserves to $900 million.
Base44's AI-driven platform, achieving an ARR of $150 million, has led to high computing costs and additional payments to its founder.
Wix is developing its own AI model to improve its Harmony system, aiming to cut future inference expenses.

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