Jam City lays off hundreds of employees as part of 'restructuring'

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Jam City laid off several staff members today. According to the company, it has laid off around 17% of the workforce. Considering the number of employees, this is between 150 and 200 employees.

Jam City is the mobile developer behind titles like Harry Potter: Hogwarts Mystery, Disney Emoji Blitz, and most recently the Champions Ascension blockchain game. Last year, he canceled plans to go public via a $1.5 billion SPAC.

A Jam City spokesperson said in a statement, "In light of the challenging global economy and its impact on the gaming industry, Jam City has made the difficult decision to downsize our team of approximately 17%.

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"Although Jam City remains profitable, we believe that in the current operating environment, this is a necessary decision to improve our financial flexibility and increase the efficiency of our operations, in order to better position Jam City for long-term growth. This also follows a broader restructuring we recently completed to realign our development teams under gender divisions focused on subject matter expertise to optimize performance. We thank those who are leaving for their many contributions and are offering severance and benefits to help ease the transition."

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This comes less than a year after Jam City raised $350 million in funding as it acquired Montreal-based studio Ludia. Jam City also has studios in Los Angeles, San Francisco, San Diego, Las Vegas, Cedar Falls and Toronto, as well as others in Bogota and Buenos Aires. It's unclear if some studios are more affected by the layoffs than others.

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