Layoffs in Israel

Pagaya, an Israeli-American fintech company, laid off 140 employees in January 2023, representing 20% of its total workforce. Approximately 110 of the affected positions were based in Israel, with the remainder in the U.S. The company stated the restructuring, expected to yield $30 million in annual savings, was a difficult but necessary decision to maintain agility and focus on growth. This move followed a dramatic decline in Pagaya's market valuation, which had peaked at around $20 billion after its SPAC merger in mid-2022 before plummeting over 95% to approximately $640 million, a stark reversal for the firm that was briefly Israel's highest-valued company.

Israeli-founded cybersecurity company Forescout Technologies laid off around 100 employees from its Israeli R&D center in January 2023, representing 60% of its local staff and about 10% of its total global workforce. This marked the company's second round of layoffs in four months, following a previous reduction of 100 employees, including 25 in Israel, in October 2022. Forescout, which provides cybersecurity automation and was acquired by private equity firm Advent International in 2020, is restructuring amid broader industry challenges.

StreamElements, a gaming and live-streaming technology startup, has laid off 40 employees, representing 20% of its workforce, in January 2023. This marks the second such reduction in seven months, following a similar 20% cut in June 2022. The company, which raised $100 million in 2021, cites a continued slowdown in the advertising market and among content creators, predicting a further drop in growth. The restructuring aims to build a path to profitability amid challenging market conditions.

Israeli predictive analytics company Pecan AI is laying off 30 employees, which represents 25% of its 120-person workforce. The layoffs were announced in early January 2023, as the company, which had raised a $66 million Series C round just a year prior, navigates the broader tech downturn. Pecan AI provides a low-code platform for business intelligence analysts to generate predictive models from transactional data.

Israeli textile technology company Twine Solutions laid off 30 employees in early January 2023, which represented about one-third of its total workforce. The company, which develops digital, waterless dyeing systems for thread and yarn, cited the need to streamline operations and preserve its activity during a challenging economic period and industry-wide recession. This restructuring followed a $28 million funding round in 2021, bringing its total raised to over $50 million.

Israeli mobile gaming company Playtika is laying off approximately 600 employees, representing 12% to 15% of its global workforce of 4,100, as part of a second round of downsizing in 2022. This includes 180 layoffs in Israel. The company, which expanded significantly during the pandemic, is now restructuring amid challenges in maintaining growth post-Covid, with its casino game revenues declining and share price dropping 54% since the start of the year. The layoffs were reported in December 2022, following an earlier round in June, as Playtika aims to streamline operations despite remaining profitable and cash-rich.

Brodmann17, an Israeli computer vision startup in the automotive technology industry, shut down in December 2022 after six years of operation. The company, which developed a lightweight, software-based computer vision system for advanced driver assistance systems (ADAS), was unable to bring its products to the mass market despite proving its technology and having customer demand. Founded by deep learning specialists, the startup aimed to compete in a market dominated by Mobileye by focusing on a "blue ocean" strategy of efficient software that could run on low-end vehicle processors. The closure resulted in the layoff of its entire workforce, as the company ceased operations.

Israeli autotech company Otonomo is laying off approximately 80 employees, representing almost 50% of its remaining workforce, as announced in December 2022. This marks the company's second major round of layoffs in 2022, following earlier cuts in August. The layoffs affect teams across Israel, the U.S., and Europe, including the entire group from the acquired startup Neura, as well as sales, marketing, and product staff. Facing severe financial challenges, Otonomo has lost over 95% of its market value since its SPAC merger at a $1.26 billion valuation. The company, which operates a data marketplace for connected vehicles, cited the need for significant restructuring to navigate difficult market conditions.

Israeli cybersecurity unicorn Perimeter 81 laid off 20 employees in December 2022, representing 8% of its then 250-person workforce. The company, which had reached a $1 billion valuation just six months earlier after raising $100 million, cited the need for business efficiency and productivity amid a broader economic downturn as the reason for the restructuring. Founded in 2018 and headquartered in Tel Aviv, the startup develops Security Service Edge and Zero Trust Network Access solutions.

DataRails, a financial planning and analysis platform, laid off 30 employees, representing 18% of its workforce, in December 2022. The company, which had 170 total employees prior to the cuts, cited a shift in market conditions toward profitability as the reason, despite reporting strong sales growth. Most of the affected roles were in sales and technical support in the U.S., while the firm continued hiring for product and tech positions in Israel. This move followed a $50 million Series B funding round earlier that year, as the company adjusted its strategy amid broader tech industry challenges.

Cognyte, an Israeli cybersecurity company, is laying off approximately 100 employees, representing about 5% of its workforce, in December 2022. This marks the company's second round of layoffs in recent months, driven by an effort to reduce salary expenses amid poor performance, a significant drop in sales, and declining revenues. The company, which primarily serves government clients, is facing challenges due to budget cuts and cancellations of potential deals, partly influenced by stricter export policies on surveillance tools. This move follows a trend in the Israeli tech sector, with another startup, Bizzabo, also announcing layoffs around the same time.

Israeli fintech company Rapyd is laying off dozens of employees in the coming months, following its acquisition and merger with Icelandic company Valitor. The downsizing comes as the Tel Aviv-based digital payments platform integrates operations after completing the delayed $100 million Valitor deal, which added about 300 employees globally. Rapyd, valued at $8.75 billion in 2021 and operating in the competitive fintech sector alongside players like Stripe and PayPal, is restructuring its workforce as part of planning for 2023-2024. The layoffs, announced in November 2022, affect various teams and management levels, reflecting post-merger consolidation in the high-growth tech industry.

Israeli startup Namogoo laid off 25 employees, representing 15% of its workforce, in November 2022. Following the cuts, the company's team totals around 140 people, primarily based in Israel with additional staff in London, Boston, and New York. CEO Chemi Katz stated the layoffs are part of a strategic refocus to target larger companies instead of smaller, more marketing-intensive clients, aiming to achieve profitability by mid-2023. The company, which provides a digital journey continuity platform to prevent customer distraction on websites, had raised $81 million in total funding, including a $15 million round six months prior to the layoffs.

Israeli cybersecurity unicorn Checkmarx laid off approximately 100 employees, representing 10% of its workforce, in November 2022. The company, which develops automated code scanning security technology and was valued at $1.15 billion, cited the need to adapt to challenging global market conditions affecting the high-tech industry. CEO Emmanuel Benzaquen stated the layoffs were a difficult but necessary step to reorganize the company's structure, refocus resources, and secure long-term growth and client success.

Israeli volunteering platform startup Vee conducted its second round of layoffs in three months during October 2022, letting go of 50% of its remaining workforce. This followed a previous cut of 30% in July. The company, which had 50 employees before the first layoff, was reduced to just 17 staff members. Founded in 2020, Vee had raised $13.5 million, including a $12 million Seed round earlier that year. The cutbacks were part of broader adjustments amid the 2022 tech downturn, though the company emphasized it would continue serving its nonprofit initiatives and clients.

In October 2022, OrCam Technologies, an Israeli artificial vision startup founded by Mobileye's Amnon Shashua and Ziv Aviram, laid off 62 employees, representing 16% of its workforce. The layoffs primarily affected staff in Israel and were part of a reorganization under new CEO Elad Serfaty, driven by a downturn in the tech market. OrCam, which develops wearable devices to assist blind and visually impaired individuals, had previously aimed for a $3 billion IPO valuation. The company, operating in the accessibility tech industry, had raised around $130 million and employed several hundred people before the cuts.

Antidote Health, a telehealth platform company targeting the U.S. market, laid off approximately a third of its workforce in October 2022. The company, which had around 60 employees prior to the cuts, reduced its Israeli R&D staff by half, leaving just 17 employees locally. This move was part of a broader effort to streamline operations and preserve cash amid financial market uncertainty. Antidote, which also employs about 100 doctors, continues to focus on its mission of providing accessible and affordable virtual health insurance to millions of uninsured Americans.

Huawei, the Chinese telecom equipment giant, has significantly reduced its workforce in India, laying off thousands of employees over the past year. From a peak of approximately 6,000 employees, including about 4,000 at its Bengaluru R&D center and 2,000 in Gurugram, the company now retains only a few hundred staff. This drastic reduction, which accelerated around August 2022, represents a layoff of over 90% of its Indian workforce. The primary reason is Huawei's exclusion from new projects, including 5G trials, due to the Indian government's national security concerns, compounded by recent tax raids on its offices. The laid-off employees, many of whom were engineers working on 4G projects, received substantial severance packages, including a year's salary. Competitors like Bharti Airtel, Ericsson, and Nokia have since hired these skilled professionals to support their own 5G rollout efforts, turning Huawei's workforce cutback into a boon for its rivals in the telecom industry.

Israeli HR tech startup Compete laid off 11 employees in September 2022, representing over a quarter of its 39-person workforce. The cuts affected HR, marketing, and sales teams across its Israeli and U.S. offices. This downsizing occurred just six months after the company secured a $15 million Series A funding round led by Tiger Global. Compete, which provides a real-time compensation and benefits benchmarking platform, cited the need to extend its financial runway due to a market slowdown and adverse macroeconomic conditions impacting the global tech industry. The move was framed as part of a plan to secure the company's long-term growth amidst challenging market dynamics.

Israeli chip startup Xsight Labs is laying off dozens of employees in September 2022, affecting staff in Israel and contractors in Eastern Europe across various departments. The company, which develops advanced chipsets for the communications market and has raised over $100 million, is making these cuts to adjust expenses and prepare for the coming years amidst broader tech industry challenges. The layoffs follow a recent CEO appointment and reflect a strategic shift to align with the current economic situation.

Cloud data warehouse unicorn Firebolt is laying off dozens of employees, the company confirmed in September 2022. While the exact number was not disclosed, the Israeli startup, which employs over 200 people across more than 20 countries, cited the global economic slowdown and new market conditions as the reason for the cuts. Despite having over $200 million in the bank and a recent $100 million funding round at a $1.4 billion valuation, CEO Eldad Farkash stated the company needed to streamline operations. Firebolt plans to continue investing in its core product, engineering, and field teams.

Lawgeex, an AI contract review startup, is laying off approximately 30 employees, representing about one-third of its total workforce. This decision follows a strategic pivot and business model shift. The company, which originally focused on selling automation technology to large corporate legal departments, recently obtained a license to provide legal consultation. This allowed it to market a new product, superlegal.ai, to smaller businesses without legal teams. To streamline operations and aim for profitability for its core enterprise product, Lawgeex is restructuring, splitting into two product lines, which necessitates workforce adjustments across its Israeli and U.S. offices. The layoffs were announced in early September 2022.

Israeli autotech company Otonomo is laying off dozens of employees, impacting its workforce of nearly 200 people. This significant reduction follows a dramatic decline in the company's market value, which has plummeted from $1.26 billion at its SPAC-led IPO in 2021 to just $62 million by August 2022. The layoffs are part of a restructuring effort amid poor business results, failure to meet revenue forecasts, and macroeconomic challenges. The company, which operates a data marketplace for connected vehicles, also faces potential delisting from Nasdaq after its stock traded below $1 for over 30 days.

Israeli offensive cyber company NSO is laying off 100 employees, representing about 15% of its 700-person workforce, as part of a reorganization announced in August 2022. Co-founder and CEO Shalev Hulio is stepping down to focus on mergers and the potential sale of the company, with COO Yaron Shohat taking over as CEO. The layoffs and leadership change come as NSO faces intense scrutiny and legal challenges from major tech firms like Apple, Microsoft, and Meta, as well as U.S. government sanctions, largely related to its Pegasus hacking tool. The company aims to restructure amid these ongoing pressures.

Israeli data center technology startup Pliops laid off 12 employees in August 2022 as part of a strategic refocusing of its business and technological activities on the U.S. market. This reduction, which affected the sales and marketing departments, followed a successful $100 million Series D funding round. The layoffs represented approximately 10% of the company's workforce, which stood at 115 people after the cuts. CEO Uri Beitler stated the move was to streamline operations and concentrate resources on the development and release of the company's next-generation product slated for 2023, aiming to drive future growth and achieve profitability.

Israeli startup Anywell, a Workspace-as-a-Service platform for hybrid work, has laid off an additional 11 employees, bringing its total workforce reduction to about 50% since March 2022. This follows a company restructuring initiated after it raised a $10 million Series A funding round. The layoffs, which include six employees in Israel, are part of a strategic shift to focus more on software-based solutions, responding to market conditions and client demands for comprehensive hybrid management tools. The company, which operates in Israel and New York and partners with over 200 local venues, provided support packages and job assistance to affected staff.

Israeli website building platform Wix is laying off 100 employees, representing about 1.7% of its global workforce of approximately 6,000. This move, reported in August 2022, is part of a broader cost-cutting initiative aimed at improving operational efficiency amid a challenging economic environment marked by high volatility and uncertainty. The company's CFO cited a difficult environment for revenue growth, prompting a focus on strict cost management. This follows a previous round of layoffs in June when the company closed its subsidiary Wix Answers. Most of the affected employees in this latest round are based outside of Israel.

Israeli volunteering platform startup Vee has laid off 16 employees, representing 30% of its 50-person workforce, as announced by CEO May Piamenta in a LinkedIn post on July 31, 2022. The company, which had raised $13.5 million in funding, including a $12 million Seed round just months prior, cited a need to ensure its long-term sustainability and commitment to its mission. Operating in the HR and social impact tech industry, Vee provides a platform for corporate volunteering. Piamenta took full responsibility for the difficult decision, emphasizing the unfairness to the team and urging other companies to hire the affected, talented individuals.

Israeli marketing technology company Skai, formerly known as Kenshoo, laid off approximately 30 employees in July 2022, representing about 4% of its workforce. The layoffs primarily affected staff from the acquired company Signals Analytics, whose product marketing was being discontinued. The company cited the global economic slowdown as the reason, stating the cost-cutting measures were necessary to sustain growth and profitability.

Fiverr, an Israeli freelancer platform, laid off 60 employees, representing 8% of its workforce, with half of the cuts occurring in Israel. The company, which had 787 employees at the end of 2021, cited a need to focus on its core business and adjust to macroeconomic changes as reasons for the layoffs. Announced in late July 2022, this move came amid a significant decline in Fiverr's share price, which had fallen 89% from its peak during the Covid pandemic. The layoffs were part of broader streamlining measures aimed at ensuring continued revenue growth and profitability in a challenging economic environment.

Soluto, the Israeli R&D center of U.S. company Asurion, is shutting down, resulting in the layoff of all 120 employees. This closure, announced in July 2022, is part of Asurion's broader internal reorganization, which includes downsizing its global workforce and shifting its business focus toward the cellular market. The decision ends Soluto's operations, which began after its acquisition by Asurion in 2013. The affected employees, who worked in the tech industry, were offered extended benefits and support to find new jobs, with about 40 staff members remaining until the end of the year to assist with the transition.

Israeli startup Zencity, a community insights and analytics platform for state and local governments, laid off 30 employees, representing about 20% of its workforce, in July 2022. The cuts affected staff in both its Israeli and North American offices. The company, which had raised over $50 million and experienced rapid growth including recent acquisitions, described the move as a painful but necessary organizational change to better serve its clients and mission. Zencity uses AI to analyze data for municipalities, serving around 300 clients including major U.S. cities.

Israeli business monitoring startup Anodot is laying off approximately 15 employees, representing 20% of its current 80-person workforce, in its second round of layoffs within a year. This follows a previous round in July 2022, when 35 employees, about 27% of the staff at that time, were let go. Founded in 2014 and having raised $62.5 million, the company, which uses AI to monitor business metrics, cites the need to achieve financial independence and profitability amid challenging global market conditions as the reason for the cuts. The layoffs were announced in May 2023.

Israeli AI-powered visual search startup Syte laid off 13 employees in early July 2022, reducing its workforce from approximately 160 people. This cut, affecting around 8% of staff, was part of a broader effort to extend the company's financial runway by two years. The move coincided with an additional cash infusion from existing investors, aimed at sustaining operations until the market recovers from its downturn.

In July 2022, Israeli social trading and investment platform eToro laid off 100 employees, representing approximately 6% of its total workforce, with half of the cuts occurring in Israel. The layoffs coincided with the company's official termination of its planned SPAC merger, a deal initially valued at $10.3 billion that had stalled due to regulatory hurdles and a downturn in tech valuations. Citing challenging market conditions, eToro pivoted to seek private funding, entering advanced negotiations for a round of $800 million to $1 billion at a reduced $5 billion valuation. The fintech company's growth had been closely tied to cryptocurrencies, a sector facing increased regulatory scrutiny at the time.

Israeli mobile app developer Lightricks, known for its Facetune selfie editing tool, laid off 80 employees on July 4, 2022, with 70 of those cuts occurring in Israel. This represents a 12% reduction of its global workforce, which totals 680 people across Israel, the US, China, and the UK. The company cited the global economic crisis and a need to ensure long-term stability as reasons for the layoffs, expressing concern that its subscription-based apps might be viewed as luxury products during a potential recession. The cuts were broad but focused on marketing and operations, as Lightricks shifts its strategy toward developing tools for content creators and influencers, moving away from reliance on general consumer app store sales. The company is assisting affected employees in finding new jobs.

Bright Machines laid off 30 employees representing approximately 8% of its workforce on 2022-06-28.

StreamElements representing approximately 20% of its workforce on 2022-06-23.

OpenWeb, an Israeli media engagement platform formerly known as Spot.IM, announced a streamlining plan on June 15, 2022, which includes laying off 14 development staff in Israel. This represents about 4.7% of its total workforce of 300 employees. The company is relocating its headquarters from Israel to New York, prompting these layoffs, with plans to hire 14 replacements in the U.S. Additionally, the plan involves reducing the work week to four days for 100 development staff in Israel, with potential salary cuts later in the year for those not meeting targets. These measures aim to prepare OpenWeb for an expected global economic slowdown and a potential IPO in 2023 or 2024. Operating in the digital media and technology industry, OpenWeb had recently raised $150 million at a valuation exceeding $1 billion, serving over 1,000 publishers with its platform.

Israeli website building tools company Elementor has laid off 60 employees, representing 15% of its workforce, in response to an expected global economic slowdown marked by rising inflation and a pending recession. The layoffs, announced on June 15, 2022, primarily affect the marketing department, while engineering and development staff remain largely unaffected. This restructuring aims to enhance business efficiency and secure long-term growth, coming shortly after the company acquired startup Strattic and integrated its 16 employees. Elementor, which develops a popular WordPress plugin, had raised $50 million the previous year, bringing total funding to $66 million.

Cybersecurity firm Deep Instinct, a New York-based AI-driven malware prevention company founded in 2015, conducted layoffs this week, affecting employees primarily in sales and business development roles. The exact number of employees let go and the percentage of the workforce impacted remain undisclosed, but the cuts occurred on Monday amid a broader trend of tech industry downsizing in 2023. Deep Instinct, which has raised over $259 million in venture funding, including a $67 million Series D in 2021, is the latest tech company to adjust its staffing in response to shifting macroeconomic conditions, following a record year for venture funding and hiring in 2022.

Israeli mobile gaming company Playtika announced layoffs of 250 employees on May 31, 2022, representing about 6% of its then 4,000-strong global workforce. The cuts are part of a restructuring to consolidate operations, leading to the closure of game development studios in Los Angeles, Montreal, and London, with some activities transferred to Israel and Poland. This move, which includes canceling new game projects, aims to streamline the company for growth and profitability amid a challenging post-pandemic market. The broader gaming industry is facing pressure as user engagement declines with the easing of lockdowns, contributing to a significant drop in Playtika's share price since its 2021 IPO. Despite remaining profitable, the company is adjusting to economic headwinds, including rising interest rates and inflation, which have prompted similar layoffs across the tech and gaming sectors.

The Israeli-American startup Getta (formerly Gettacar) laid off 30 employees in May 2022 after closing its R&D center in Rehovot. The company, which operated a used car sales platform in the U.S., faced significant difficulties and executed a pivot, including a rebranding and extensive cuts. At its peak, Getta employed around 200 staff across Israel and Philadelphia, but now reportedly retains only a few dozen. This restructuring reflects challenges in the competitive automotive e-commerce sector, impacting a significant portion of its workforce.

BeyondMinds, an Israeli enterprise AI startup, has shut down and laid off all 65 employees after advanced acquisition talks with a tech giant collapsed. The company, which had raised $30 million and specialized in automated machine learning solutions, decided to cease operations due to shifting market conditions that derailed a potential sale. CEO Roey Mechrez confirmed the closure on May 23, 2022, noting that the entire workforce, primarily in R&D along with finance, HR, and sales roles, was affected. This event highlights growing concerns about valuation crises impacting the broader startup ecosystem.

Israeli grocery delivery startup Avo is laying off 500 employees, which represents two-thirds of its global workforce of 750. The layoffs, announced in May 2022, include 350 employees in Israel. This drastic reduction comes after the company failed to raise $70-100 million in funding due to shifting market conditions. Originally focused on delivering groceries to office buildings, Avo expanded to residential deliveries during the COVID-19 pandemic. However, after finding its operations in New York unprofitable and facing a post-pandemic market contraction, the company decided to return to its original business model. Consequently, it is cutting staff across operations and head office roles while seeking a buyer for its home delivery segment.

Israeli cybersecurity unicorn Checkmarx is laying off dozens of its approximately 700 global employees as part of a restructuring following its recent $1.15 billion acquisition by private equity firm Hellman & Friedman. The layoffs, confirmed in May 2020, come just a month after the major exit and are attributed to the company's reorganization plans, which were delayed by the acquisition process and the COVID-19 pandemic. Operating in the application security industry, the company stated the changes are aimed at building a long-term, efficient model despite the broader economic shock, emphasizing that the shift to digital solutions presents future growth opportunities for its security business.

Bringg, a Tel Aviv-based on-demand delivery management software company, has laid off approximately 10% of its workforce in Israel, affecting 10-15 employees out of its 110-person team there. This decision, communicated via a Zoom meeting on Holocaust Remembrance Day (April 21, 2020), marks a reversal from CEO Guy Bloch's earlier statement that the company was "shifting up a gear" while others cut back. The layoffs are part of the broader economic impact of the COVID-19 pandemic, though the company has not officially confirmed the reason. Founded in 2013 and serving major clients like Coca-Cola and Walmart, Bringg employs around 130 people globally and recently raised $30 million in Series D funding.

Hibob, a human resources software company, laid off approximately 20% of its workforce, affecting around 40 employees out of a total of roughly 200. The layoffs occurred in early 2023 as part of a strategic restructuring to streamline operations and improve efficiency amid broader economic pressures in the tech industry. The company, which provides HR and people management platforms, operates on a global scale, serving small to medium-sized businesses. This move reflects a trend of workforce adjustments within the SaaS and HR tech sectors during that period.

In March 2020, Israeli facial recognition company Anyvision conducted layoffs, reportedly affecting around 10% of its workforce. The company, which had raised significant venture capital, cited a strategic shift and the need to focus on core products amid the early economic uncertainties of the COVID-19 pandemic. Operating in the competitive AI and surveillance technology industry, Anyvision aimed to streamline operations and reduce costs, moving away from less profitable projects. The layoffs were part of a broader restructuring to ensure long-term sustainability and adapt to changing market demands.