Marvel Contest of Champions creator Kabam has laid off 12% of its staff

The Disney Mirrorverse publisher and developer have confirmed that "current economics and the industry’s market realities" led to the decision.

The details:

• The company confirmed in a statement to Kotaku reporter Ethan Gach that it has made the "difficult decision to reduce its workforce by 12 percent," citing "current economics and the industry's market realities" as the reason for the job cuts after reviewing its "strategic priorities." According to sources, approximately 90 employees were directly impacted, with the company currently employing 501–1,000 people, according to its LinkedIn page.
• The decision to restructure, according to the company, gives it "greater financial flexibility to invest in new growth areas while also streamlining [its] existing development team," and it has also stated that it will continue to support those affected as they search for employment elsewhere.
• This is Kabam's second round of layoffs in a span of just over six months, following an announcement that approximately 7% of its workforce would be let go in November 2022, amounting to approximately 35 employees losing their jobs. Both decisions were made for similar reasons, with Kabam opting to go through restructuring in order to cut costs as the industry continues to struggle with the world's current economic situation.

Other industry layoffs:

• Sega has announced the layoff of 121 Relic Entertainment employees as part of a studio-wide restructuring. The studio cites "external factors [that] are challenging our industry more than ever" as the reason for the restructuring.
• Brace Yourself Games, the developer behind Crypt of the NecroDancer, has confirmed that layoffs have taken place at the studio. According to a former team member, senior management made an "incredibly difficult" decision that led to the dismissal of up to half of the team.