Automattic Named Top-Tier Software Vendor by APPS RUN THE WORLD in the APPS TOP 500 Market Report

Automattic Strengths, Domain Expertise, and Key Differentiators

Automattic holds a commanding position in the CMS market, with WordPress powering approximately 43.4% of all websites as of April 2025. This extensive market share highlights the company’s leadership in providing accessible, versatile, and scalable tools for website creation and management. Automattic’s commitment to open-source software has cultivated a large and active community of developers and users, driving continuous improvement and innovation. The company’s diverse product portfolio, including WordPress.com, WooCommerce, Jetpack, Tumblr, and Beeper, caters to a wide range of needs, from personal blogging to enterprise e-commerce solutions. WooCommerce, for instance, powers one-third of all online shops, reinforcing Automattic’s influence in the e-commerce sector. Additionally, Automattic’s fully distributed workforce, spanning over 90 countries, offers diverse perspectives and enables 24/7 global support, enhancing its operational resilience and global reach. The company’s valuation, estimated at $7.5 billion in 2021, reflects strong investor confidence in its growth trajectory.

Automattic Recent Developments

In April 2025, Automattic announced a significant restructuring initiative, reducing its workforce by approximately 16%, or 281 positions, to enhance operational agility and responsiveness in a rapidly evolving technological landscape. This strategic move aims to break down internal silos, prioritize product quality, and ensure long-term financial viability. The restructuring reflects Automattic’s proactive approach to adapting to competitive pressures while maintaining its mission to democratize the internet. To support affected employees, the company offered comprehensive severance packages, job placement resources, and emotional well-being support through partnerships with Workplace Options. Additionally, in October 2024, Automattic granted 200 A12 shares to its employees under the A12 program, making every Automattician an owner of the company. This initiative was designed to reward employees for declining a six-month severance offer and to foster an ownership mentality, aligning the workforce with Automattic’s long-term vision of innovation and growth.

Automattic Mergers and Acquisitions (M&A) Activities

Automattic has pursued strategic acquisitions to diversify its portfolio and strengthen its position in digital communication and content management. In April 2024, the company acquired Beeper, a universal messaging app that consolidates 14 different chat networks into a single inbox, for a reported $125 million. This acquisition aligns with Automattic’s goal of simplifying online communication and builds on its earlier purchase of Texts.com in October 2023 for $50 million. Beeper’s integration into Automattic’s ecosystem enhances its ability to tap into the growing demand for unified messaging platforms. In December 2024, Automattic acquired WPAI, a startup specializing in AI solutions for WordPress, to integrate advanced AI capabilities into its products. WPAI’s tools, such as CodeWP and AgentWP, are being incorporated into Automattic’s offerings to make WordPress smarter and more user-friendly. These acquisitions underscore Automattic’s commitment to innovation and its strategy to expand across key digital domains, positioning it to capitalize on emerging trends in AI and communication.

Automattic Customers in ARTW Customer Database

Leveraging a rigorous data-centric research methodology, APPS RUN THE WORLD asks the simple question: Who’s buying Automattic applications and why? And we provide the answers – supported by decades of research – to our clients around the world. Our Customer database has over 100 data fields that detail company usage of Automattic and other enterprise apps by function, customer size, industry, location, implementation status, partner involvement, Line of Business Key Stakeholders and IT decision makers contact details. List of Verified WordPress.com, WooCommerce, Jetpack, Simplenote, Longreads, VaultPress, Akismet, Gravatar, Polldaddy, Jetpack CRM, Pocket Casts, Day One customers.

Automattic Key Enterprise and Cloud Applications

WordPress.com, WooCommerce, Jetpack, Simplenote, Longreads, VaultPress, Akismet, Gravatar, Polldaddy, Jetpack CRM, Pocket Casts, Day One

Automattic Revenues, $M:

Automattic Revenue Breakdown By Type, $M:

Automattic Enterprise Applications Revenues By Functional Markets, $M:

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Automattic Revenues By Region, $M

Automattic Direct vs Indirect sales

Automattic Customers - Breakdown by Geo, Size, Vertical and Product

List of Verified Automattic Customers

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No. of Automattic Enterprise Applications Customers: x

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Automattic’s customer base spans a diverse array of industries, reflecting its versatility and reliability as a technology provider. Notable media customers include TechCrunch, The New Yorker, BBC America, Bloomberg, MTV News, Sony Music, and Variety, which leverage Automattic’s platforms for content publishing and audience engagement. Through its WordPress VIP service, Automattic caters to enterprise clients such as Salesforce, News Corp, Al Jazeera, Capgemini, Meta, and HelloFresh. These organizations rely on WordPress VIP’s fully managed cloud platform for its unmatched scalability, security, and performance, enabling them to manage complex digital properties efficiently. For example, Salesforce pivoted 2,000 marketers to digital using WordPress VIP, while Capgemini published over 20,000 pages across 38 sites in multiple languages. The ability to serve both small-scale bloggers and large-scale enterprises underscores Automattic’s broad appeal and its capacity to meet diverse customer needs.

Automattic Market Opportunities, M&A and Geo Expansions

Automattic is well-positioned for continued growth and innovation in 2025 and beyond. The company’s recent acquisitions, including WPAI for AI solutions and Beeper for messaging, highlight its strategic focus on expanding its product portfolio and entering new digital communication domains. The integration of WPAI’s AI tools into WordPress aims to enhance the platform’s functionality, making it smarter and more intuitive for users. Similarly, Beeper’s unified messaging capabilities position Automattic to capitalize on the growing demand for streamlined communication platforms. Automattic’s restructuring efforts, announced in April 2025, aim to improve operational efficiency, break down internal silos, and prioritize product quality, enabling the company to respond swiftly to market changes. With a strong foundation in open-source technology and a global user base, Automattic is poised to drive further innovation, particularly in AI and messaging, and solidify its market leadership in the evolving tech landscape.

Automattic Risks and Challenges

Despite its strong market position, Automattic faces several inherent risks in its operations. Cybersecurity threats are a significant concern, given the vast amount of user data handled across its platforms, including WordPress.com and Tumblr. The company must continuously invest in security measures to protect against data breaches and maintain user trust, as vulnerabilities in open-source code could be exploited. Automattic operates in a highly competitive market, with alternatives like Wix, Squarespace, and Shopify vying for market share, necessitating ongoing innovation to sustain its leadership. Talent retention is another critical risk, particularly following the April 2025 restructuring, which saw 16% of the workforce laid off. The loss of key personnel could impact product development and service quality. Additionally, navigating the complex landscape of data privacy regulations, especially after reports of selling user data to AI companies in 2024, poses a regulatory risk that requires diligent compliance to avoid legal and reputational challenges.

Automattic Ecosystem, Partners, Resellers and SI

Automattic actively engages with a broad ecosystem of partners to enhance its offerings and expand its reach. The company has established partnerships with various agencies to help them leverage Automattic’s products, such as WordPress and WooCommerce, for growth and success. Through its agency partnership program, Automattic aims to empower agencies to thrive by providing access to its robust tools and support. Additionally, Automattic collaborates with technology giants like Google to improve WordPress plugins, ensuring that its platform remains at the forefront of web technology. These partnerships strengthen Automattic’s product ecosystem, foster innovation, and provide users with enhanced features and capabilities. By fostering a collaborative environment, Automattic continues to build a robust network that supports its mission of making the web a better place for all.

Research Methodology

Data used in research reports are derived from publicly available documents, continuous surveys of applications vendors, customers, resellers, Independent Software Vendors, systems integrators and other verifiable sources.

Vendor shares and market forecast results are based on a combination of existing databases as well as demand side and supply side research conducted throughout the year with validation from vendors, customers, channel partners and documentations such as earnings releases and 10Q and 10K filings, vertical industry studies, regional and country-level statistics from public and private institutions(i.e. colleges, universities, government agencies and trade associations).

For additional information on our methodologies, here's the link: