Redis Cuts 25% of Staff at Israeli Development Center Amid AI Shift

Israeli tech company Redis, founded in 2011 and once valued at $2 billion, is laying off approximately 25% of its 300 employees at its main development center in Israel. The reduction is part of the company's adjustment to the adoption of artificial intelligence tools, which is reshaping its workforce needs. Despite the cuts, the Israeli center is expected to remain Redis's largest and most central development hub, alongside additional centers in the United States and Bulgaria.

Redis was established by Ofir Bengal and Yiftach Shoolman and has grown into a prominent cloud database management company. In 2022, Bengal stepped down as CEO to become chairman, with an external CEO taking over, while Shoolman moved from an active role to the board of directors. Over the years, Redis has raised around $350 million in funding, including a $110 million round in 2021 led by SoftBank’s Vision Fund and Tiger Global, valuing the company at $2 billion. Although it was considered a strong candidate for a Wall Street IPO, this has not yet materialized.

The layoffs reflect broader trends in the tech sector as companies recalibrate their development teams to integrate AI technologies, impacting staffing requirements globally. Redis's decision underscores the ongoing transformation within the industry and its strategic focus on maintaining a leaner, AI-driven workforce while preserving its core development operations in Israel.