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Clear out junk files and repair common Windows errorsFree Scan →Fix the driver behind crashes, sound loss and screen glitchesFind Drivers →Wix announced on June 18, 2025, that it acquired Israeli AI startup Base44 for approximately $80 million in initial consideration, plus performance-based earn-out payments. That $80 million was not the full acquisition value: Wix later reported $92.158 million in total acquisition-date purchase consideration, an accounting figure that includes the fair value assigned to contingent payments—not $92 million paid in cash.
What did Wix buy?
Base44 is a platform for creating custom software and applications with natural-language prompts rather than traditional coding. Wix described it as “a platform that simplifies web and app creation with AI.” That is Wix’s characterization of the product in its June 18, 2025 announcement.
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Wix framed the deal as an expansion from website creation into application development. Its stated strategic rationale was that Base44’s app-building capabilities would complement Wix’s existing website-building ecosystem, extending the kinds of digital products its users could create.
How much did Wix pay for Base44?
The figures differ because they describe different things: Wix’s announcement gave an approximate initial-consideration figure, while its later financial statements reported acquisition-date purchase consideration under accounting rules.
| Figure | What it represents | Source and qualification |
|---|---|---|
| Approximately $80 million, plus earn-outs | Initial consideration announced by Wix; performance-based payments could be made on top. | Wix acquisition announcement, June 18, 2025. The announcement said earn-outs would be paid through 2029. |
| $92.158 million total | Acquisition-date purchase consideration in Wix’s accounting, comprising $18.058 million cash and $74.100 million fair value of contingent consideration. | Wix’s 2025 annual report filed in 2026. The $74.100 million is an acquisition-date valuation, not a statement that the full amount was paid at closing. |
The annual report also says $1 million of the cash consideration was placed in escrow for 12 months. The contingent-consideration liability is remeasured over time, and founder-related payments depend partly on future revenue metrics and service conditions. Some amounts tied to continued employment are accounted for as post-combination compensation rather than purchase consideration.
Why did Wix acquire Base44?
The deal gave Wix a route into AI-assisted application development, alongside its established website-building business. Wix’s rationale was not simply to add another website tool: Base44 focused on turning natural-language instructions into custom software and apps, complementing the company’s broader creation ecosystem.
Wix also pointed to Base44’s growth potential. In its second-quarter 2025 filing, Wix said Base44 had a few million dollars of annual recurring revenue at acquisition and forecast that it would reach $40 million to $50 million ARR by the end of 2025. Those were management’s estimates and forecast at the time, not a verified year-end result. The figures appear in Wix’s second-quarter 2025 results filing.
What is known about the earn-outs?
Wix’s announcement said earn-out payments would be based on performance metrics and paid through 2029. Its annual report provides a more specific description of the purchase agreement: the founder was eligible for earn-outs tied to revenue-related metrics for calendar years 2025 through 2028. Continued-service conditions affect the accounting treatment of some founder-related amounts, so not every possible payment should be treated as acquisition consideration.
Because the payments are contingent and subject to future measurement, the headline value, accounting value at acquisition, and any amount ultimately realized are distinct measures. The reported $92.158 million is the purchase-accounting total at the acquisition date; it does not establish the final cash paid over time.
Independent reader supportYour contribution helps us test, update, and keep practical guides available for everyone.When did the acquisition close?
Wix announced the acquisition on June 18, 2025. Its 2025 annual report says the deal closed on June 13, 2025. The announcement date and closing date therefore differ by five days.
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