Squarespace Cuts 19% of Workforce, About 300 Jobs, Amid AI Shift
Squarespace will cut about 300 jobs, or 19% of staff, as AI website builders reshape competition and the company pushes Blueprint and Forma for growth.
Summary
Squarespace confirmed on November 2, 2026, that it will eliminate around 300 roles, approximately 19% of its global workforce. Representative Jeff Seedman said the restructuring is intended to simplify operations, focus priorities and accelerate the website builder’s next growth phase.
Generative AI and vibe coding tools now create functional front ends from simple prompts with substantially less effort. Squarespace launched Blueprint in 2024 and has opened a waitlist for Forma, its upcoming AI native platform. Wix bought Base44 for $80 million in 2025, Lovable raised a $400 million Series C in August at a $13.3 billion valuation, and Google recently launched the user interface generator Stitch. Founded in 2004, Squarespace went public in 2021 at a $10 billion valuation, struggled to attract public market enthusiasm, then returned to private ownership through a $7 billion private equity deal in 2024.
Positives
- Blueprint, launched in 2024, gives Squarespace an existing product in the expanding AI website creation market.
- Forma’s open waitlist advances Squarespace’s push toward an AI native website-building platform.
- The restructuring targets simpler operations, tighter priorities and faster execution during Squarespace’s next growth phase.
- Lovable’s $400 million Series C and $13.3 billion valuation demonstrate strong investor demand for AI website-building tools.
Risks & concerns
- Around 300 employees, representing approximately 19% of Squarespace’s global workforce, will lose their jobs.
- Vibe coding tools can generate functional front ends from simple prompts, reducing the effort traditionally required to build websites.
- Wix, Lovable and Google are intensifying competition through Base44, Lovable’s platform and Stitch.
- Squarespace went public at a $10 billion valuation in 2021 but returned private through a $7 billion deal in 2024 after weak investor enthusiasm.