Israeli website-building and hosting company Wix.com said it will lay off about 20 percent of its employees — more than 1,000 people. The announcement was posted on X by CEO Avisaj Abrahami on Thursday.
Abrahami attributed the decision to two main factors: the strengthening of the shekel against the dollar and the rapid development of artificial intelligence (AI). The company had 5,277 employees at the end of the first quarter.
Operational and financial implications
A 20 percent reduction in staff is intended to deliver significant near-term cost savings for the company, but it will also affect day-to-day operations and product development capacity. The stronger shekel reduces the value of overseas revenue when measured in dollars (the company did not provide detailed financial figures), while the swift advances in AI could shift priorities for technology products and services.
The announcement was reported by Reuters; Wix.com did not provide detailed numbers on the financial impact in its statement.
