Squarespace, the platform that lets people build and host their own websites, is laying off about 300 employees, roughly 19% of its global staff, according to TechCrunch. The Verge first reported the cuts. A company spokesperson called the move a restructuring meant to simplify operations, sharpen priorities and help Squarespace "move faster" as it heads into what the company called its "next phase of growth."

The layoffs come as generative AI changes how websites get made. Newer "vibe-coding" tools can turn a simple text prompt into a working site design, which takes much of the manual work out of a process Squarespace built its business on. Competitors are spending big to keep up. Rival Wix bought the AI builder Base44 for $80 million last year, Lovable raised $400 million in August at a $13.3 billion valuation, and Google recently rolled out Stitch, a tool that quickly generates interface designs.

Squarespace has been building out its own AI offerings. It launched an AI tool called Blueprint in 2024 and recently announced Forma, an upcoming AI-native platform that's currently waitlist-only. Founded in 2004, the company went public in 2021 at a $10 billion valuation but struggled to win over investors. It went private again in 2024 through a $7 billion private equity deal.