Israeli Software Firm Redis Plans Major Job Cuts Amid AI Shift

Israeli software company Redis is set to lay off about a quarter of its workforce at its local development center, which currently employs around 300 people. The layoffs are expected to be announced within the coming week, reducing the staff to approximately 220-230 employees. Despite the cuts, the Israeli center will remain Redis's largest and most significant development hub, alongside its other centers in the United States and Bulgaria. Globally, Redis employs around 1,300 people.

The job reductions are reportedly driven by adjustments in the development workforce due to the integration of artificial intelligence tools, which are changing staffing needs in tech companies. Founded in 2011 by Ofer Bengal and Yiftach Shoolman, Redis has grown into a leading Israeli cloud company specializing in database management. Bengal stepped down as CEO in 2022, transitioning to chairman, while Shoolman moved to a board role last year. The company has raised approximately $350 million in funding, with its last round in 2021 securing $110 million led by SoftBank Vision Fund and Tiger Global at a $2 billion valuation.

At that time, Redis was considered a strong candidate for a Wall Street IPO, but the plan did not materialize. The company’s Israeli offices are located in Tel Aviv’s Alon Towers, where it recently extended its lease for another 10 years. In response to the layoffs report, Redis stated it does not comment on rumors or speculation.