Earn with Nexo
Wix cuts 1,000 jobs, about 20% of workforce, as AI reshapes the company from the inside
The website-building giant is making its largest layoffs ever as AI integration renders entire teams redundant and its stock sits nearly 50% below where it started the year.
Wix is cutting roughly 1,000 jobs, eliminating about 20% of its global workforce in the largest layoff in the company’s history. CEO Avishai Abrahami confirmed the restructuring, which began in late May 2026, citing economic pressures and a fundamental shift toward AI-driven operations.
The company had 5,277 employees as of the end of Q1 2026. After these cuts, that number drops to somewhere around 4,300.
What happened and why it matters
The layoffs are directly tied to AI making entire categories of work obsolete within the company. Development and design roles are bearing the brunt of the cuts.
The company has been accelerating its AI integration on multiple fronts. Its Harmony AI system automates design services, and the acquisition of Base44, an AI coding platform, has further shifted the balance between human labor and machine output. Both initiatives contributed directly to the workforce restructuring.
Abrahami addressed the layoffs in an internal email to staff on May 26, 2026. He reportedly expressed regret that many employees learned about the cuts through media reports before receiving direct communication from the company.
Wix’s stock has declined nearly 50% year-to-date as of May 2026. Rising costs associated with AI development have also squeezed the company, as acquiring Base44 and building out Harmony AI aren’t cheap.