Wix Acquires Hour One to Boost Generative AI and Drive Innovation

Core Insights - Wix.com Ltd. has acquired Hour One, enhancing its capabilities in generative AI media creation and positioning itself at the forefront of AI-driven digital experiences [1][2][3] Group 1: Acquisition and Technology - The acquisition of Hour One allows Wix to integrate scalable production of studio-quality content, enabling users to create personalized videos and interactive media [2] - Hour One's technology combines generative AI inference with advanced 3D rendering, making it a valuable asset for Wix [2] - This move significantly expands Wix's AI expertise and aligns with its vision of faster, smarter, and more immersive web creation [3] Group 2: AI Innovations and Product Launches - Wix is focusing on generative AI as a key business growth driver, embedding AI assistants across its platform to improve operational efficiency and customer conversion rates [4] - The launch of Wixel, an AI-driven visual design platform, aims to make professional-grade design accessible to all users [4] - The Model Context Protocol (MCP) Server was introduced to enable developers to create production-ready Wix solutions through AI coding assistants [5] Group 3: Financial Performance - In Q1 2025, Wix reported non-GAAP earnings per share of $1.55, up from $1.29 year-over-year, with revenues increasing 13% to $473.7 million [8] - The revenue exceeded management's guidance, driven by strong performance from new users and healthy engagement from existing users [8] - Wix expects revenues to grow 12-14% in 2025, projecting a range of $1.97-$2 billion [8]