- Squarespace is laying off 19% of its employees, affecting about 300 jobs, as part of a restructuring effort to simplify operations, according to spokesperson Jeff Seedman.
- Affected employees will receive 16 weeks of base pay and healthcare benefits into May 2027.
- Squarespace was founded in 2004 and went public in 2021 at a $10 billion valuation.
- In 2024, Squarespace launched its AI tool Blueprint and was taken private by Permira in a $7 billion deal.
Squarespace is laying off 19% of its workforce, affecting approximately 300 employees, as part of a restructuring to simplify operations. According to spokesperson Jeff Seedman, the changes aim to sharpen priorities and enable faster movement towards the company's next growth phase.124
The layoffs come just over two years after Squarespace's significant push into AI, which has transformed the website-building landscape. The company launched an AI tool called Blueprint in 2024, allowing users to create websites with minimal effort through vibe-coding technology. This shift has made traditional website building methods less relevant, as generative AI tools have streamlined the process.56
Seedman expressed gratitude for the contributions of departing employees, stating, “We are grateful for the contributions of our departing colleagues and are providing comprehensive support to help them through the transition.” Affected employees will receive 16 weeks of base pay and healthcare benefits until May 2027. Squarespace, founded in 2004 and publicly traded since 2021, has seen its valuation fluctuate, recently being involved in a $7 billion private equity deal in 2024.3
As the industry evolves, Squarespace's restructuring reflects a broader trend in website building, where AI-driven solutions are becoming increasingly dominant.
“The layoffs come as AI-powered 'vibe-coding' tools that generate websites from simple prompts have disrupted the industry, reducing the need for manual site-building. Squarespace, taken private by Permira in a $7 billion deal in 2024, is providing 16 weeks of pay and healthcare benefits into May 2027 for affected staff.”
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