Wix, Cloudflare, ClickUp cut thousands as CEOs cite AI

Wix ↗1.05% announced its largest-ever layoff Thursday, cutting about 1,000 roles — 20% of staff — citing AI advances and a stronger shekel, according to CEO Avishai Abrahami.cnbc
Cloudflare ↘1.24% cut over 1,100 jobs despite record revenue, with CEO Matthew Prince writing in The Wall Street Journal ↘2.87% that AI has made “measurers” in middle management obsolete.economictimes
ClickUp laid off 286 employees and deployed 3,000 internal AI agents, with CEO Zeb Evans offering up to $1M salaries for staff who deliver “100x impact.”aiweekly

ClickUp, Wix, and Cloudflare Cut Thousands of Jobs as CEOs Point Directly to AI

A wave of layoffs swept through the tech industry this month as executives at three companies — ClickUp, Wix, and Cloudflare — publicly attributed workforce reductions to artificial intelligence, marking a shift from the vague “restructuring” language that has typically accompanied such cuts.

ClickUp Replaces Workers With 3,000 AI Agents

ClickUp, the project management platform valued at $4 billion, laid off roughly 286 employees — 22% of its 1,300-person workforce — and deployed approximately 3,000 internal AI agents across Slack channels, code review, customer support, and product workflows, establishing what it calls a 3:1 agent-to-employee ratio.aiweekly

CEO Zeb Evans announced the restructuring in a post on X, framing it not as cost-cutting but as a structural bet on what he termed an “AI-Native 100x Org” model. Evans said savings would flow back to remaining staff through salary bands reaching $1 million annually in cash for employees who demonstrate “100x impact” by building or managing AI systems.thenextweb

Evans told TechCrunch via email that the startup is already seeing productivity gains from the AI agents.techcrunch

Wix Announces Largest Layoff in Company History

Wix CEO Avishai Abrahami announced on Thursday that the Israel-headquartered website-building company would cut approximately 1,000 roles — about 20% of its nearly 5,300 workers — in what he called the most extensive reorganization in the company’s history.cnbc

In a message shared publicly on X, Abrahami cited “the fast evolution of AI capabilities” and said the company needed to become a “faster, leaner, and flatter organization”. He also pointed to the strengthening Israeli shekel against the U.S. dollar as imposing “structural pressure” on operations. Following the cuts, Wix’s staff is expected to stabilize at around 4,200.businessinsider

The announcement came after a nearly 50% decline in Wix’s stock price since the beginning of the year and weak earnings reports, according to Calcalist.calcalistech

Cloudflare CEO Writes Blunt Op-Ed on Replacing “Measurers”

Cloudflare CEO Matthew Prince took perhaps the most direct approach, publishing an op-ed in The Wall Street Journal titled “How I Choose Which Cloudflare Employees to Replace With AI” after the company cut more than 1,100 jobs globally — over 20% of its workforce — despite posting record revenue.economictimes

Prince wrote that “the vast majority of those we laid off were measurers” — a category he defined as middle managers and staff in audit, compliance, finance, and operations roles whose functions can now be automated. He argued that “builders and sellers” remain safe and that the company would continue hiring aggressively in those categories.thestreet

The layoffs at all three companies represent a notable departure from the euphemistic corporate communications that typically accompany job cuts, with each CEO explicitly naming AI as the driving force rather than citing broader economic conditions.