Exclusive: Squarespace layoffs fall mostly on product and engineering

Investing.com -- Squarespace’s job cuts are falling mostly on its product and engineering teams, the website builder told Investing.com, though it rejected suggestions that the layoffs are tied to a push into AI infrastructure.

The company is reducing its global workforce by about 19%, or around 300 employees, as it restructures. The cuts were first reported by The Verge.

Chatter about the layoffs began on Blind, the anonymous workplace app, where it was suggested that the cuts were driven largely by the company’s plans to expand its AI infrastructure.

“We would not characterize the restructuring as being linked to plans to increase investment in AI infrastructure,” Squarespace said in response to questions from Investing.com.

“The changes are intended to simplify how we operate, sharpen our priorities and enable the company to move faster as we position Squarespace for its next phase of growth,” the company said in an earlier statement.

Departing employees will receive a minimum of 16 weeks of base pay and continued healthcare benefits through May 2027, Squarespace said.

Squarespace, which has about 1,800 employees, was taken private by private equity firm Permira in a deal valued at about $7.2 billion that closed in October 2024. Permira declined to comment.

Squarespace launched Blueprint AI, a tool that uses AI to build websites and generate content, the same year.

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