Wix Deepens AI Focus By Acquiring Generative AI Startup

Wix.com Ltd. WIX on Friday announced it has acquired Hour One, a generative AI startup that specializes in automated media creation. The deal is part of Wix's broader push to strengthen its capabilities in artificial intelligence and expand its leadership in immersive web and content experiences.

Founded in 2019, Hour One developed a cloud-based platform that combines generative AI and 3D rendering to enable scalable, high-quality video production and interactive digital content. Wix said the acquisition enhances its control over core technologies while reducing dependence on external providers.

The financial terms of the deal were not disclosed.

"This move reinforces Wix's position as a leader in the new era of generative AI," said Ronny Elkayam, chief operating officer at Wix. He added that the deal brings in a highly skilled AI team that will help accelerate innovation across Wix's platform.

Also Read: Wix Analysts Stay Bullish Despite EPS Miss, Citing Strong Product Pipeline And Second-Half Growth Plans

The entire Hour One team, including co-founders Lior Hakim and Arnon Kahani, will join Wix at its headquarters. Their expertise is expected to be central to Wix's ongoing shift toward AI-native digital experiences.

Despite a recent earnings miss, analysts remain positive on Wix's outlook. They point to the company's expanding product pipeline and second-half growth strategy as key strengths, with the Hour One acquisition seen as a meaningful step toward future innovation.

WIX held cash and cash equivalents of $653.28 million as of March 31, 2025.

Investors looking for broader exposure can consider ETFs such as the Global X Artificial Intelligence & Technology ETF AIQ and the ARK Next Generation Internet ETF ARKW.

Price Action: WIX shares were trading higher by 0.45% to $155.69 at last check Friday.

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