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Automattic

From Alfawiki
Automattic Inc.
Company typePrivate
IndustryInternet services, web development, software
Founded2005; 21 years ago (2005)
FounderMatt Mullenweg
Headquarters
San Francisco, California
,
United States
Area served
Global
Key people
Matt Mullenweg (CEO and president)
ProductsWordPress.com, Akismet, Gravatar, BuddyPress, Simplenote, WooCommerce, Atavist, Tumblr, Parse.ly, Day One, Pocket Casts, Beeper
Number of employees
1479 (2025)
Websiteautomattic.com

Automattic Inc. is a United States-based global distributed company recognized primarily for WordPress.com and its significant role in advancing the WordPress platform. Established in 2005 by its founder Matt Mullenweg, who currently holds the positions of CEO and president, Automattic operates within the realms of Internet services, web development, and software solutions.

The company’s suite of products features prominent names such as WordPress.com, Akismet, Gravatar, BuddyPress, Simplenote, WooCommerce, Atavist, Tumblr, Parse.ly, Day One, Pocket Casts, and Beeper. These offerings cater to a broad audience that includes individual content creators as well as large-scale e-commerce enterprises.

Based in San Francisco, California, Automattic had a workforce of roughly 1,479 employees as of 2025. Its operational strategy highlights a globally distributed workforce alongside targeted acquisitions, factors that have bolstered its market position and fostered growth. Among its significant acquisitions are WooCommerce, Tumblr, and Pocket Casts, which have expanded Automattic’s influence and presence within the industry.

Under the guidance of CEO Matt Mullenweg, Automattic’s leadership blends entrepreneurial insight with a commitment to innovation, driving ongoing financial success and growth across digital publishing and online commerce sectors.

History

Matt Mullenweg co-created the open-source blogging system WordPress in 2003 and went on to establish Automattic in 2005 with the goal of monetizing the platform. In its early years, Automattic focused on developing commercial ventures linked to WordPress, including managed hosting via WordPress.com and the spam protection service Akismet. Toni Schneider, formerly affiliated with Yahoo! Inc., was appointed CEO in 2006. The company expanded through acquisitions such as Gravatar in 2007, followed by IntenseDebate and PollDaddy in 2008.

In 2010, Automattic transferred ownership of WordPress’s source code and trademarks to the WordPress Foundation while acquiring the content suggestion tool Plinky. The following year saw the launch of Jetpack, an extension designed for WordPress.

Automattic’s fully remote work environment attracted attention through Scott Berkun’s 2013 publication The Year Without Pants: WordPress.com and the Future of Work.

On November 21, 2016, the company introduced and developed the new generic top-level domain (gTLD) .blog.

By 2017, Automattic had closed its San Francisco office along with other coworking spaces, reinforcing its commitment to a fully remote operational model.

In August 2019, Automattic acquired Tumblr from Verizon Media, thereby broadening its portfolio within social blogging platforms. The following month, it completed a Series D funding round led by Salesforce, raising $300 million and elevating its valuation to $3 billion.

By February 2021, Automattic secured $288 million through primary funding and executed a stock buyback, resulting in a company valuation of $7.5 billion.

Reports from February 2024 revealed plans by Automattic to share user data from Tumblr and WordPress.com with AI companies Midjourney and OpenAI to facilitate artificial intelligence development.

On April 2, 2025, Automattic announced a corporate restructuring that involved reducing its workforce by 16% (281 jobs) to streamline operations amid changing market dynamics.

Legal conflict with WP Engine

In September 2024, Automattic initiated legal action against WP Engine, accusing the company of improperly using the WordPress trademark. Automattic alleged that WP Engine caused consumer confusion and neglected to remit trademark royalties to the WordPress Foundation. Subsequently, more than 8% of Automattic’s workforce departed after CEO Matt Mullenweg proposed severance packages of $30,000 or six months' pay to employees who opposed his stance. Due to persistent internal disagreements, this offer was later extended to nine months' compensation.

Corporate governance

By December 2024, Automattic’s board comprised prominent executives and notable figures from various sectors:

  • Matt Mullenweg (founder and CEO)
  • Phil Black (True Ventures co-founder)
  • Toni Schneider (CEO from 2006 to 2014)
  • Ann E. Dunwoody (retired general of the U.S. Army)
  • Susan Decker (former Yahoo! Inc. President)