Mobile developer Jam City has been hit by layoffs.
A representative confirmed to Polygon's Nicole Carpenter that 10% of its staff was laid off last Friday (August 2), estimating the number to be around 85 people.
Carpenter shared an email sent to staff by Jam City CEO Josh Yguado, who attributed the decision to the current market situation.
“After a difficult 2023, industry analysts predicted an upward trend for the video game sector in 2024,” Yguado wrote. “While we have seen moderate improvements in some areas, the overall upward trend has not materialized as expected.”
Carpenter also noted that the developer reported “lower-than-expected game performance across several of its key titles,” including DC Heroes & Villains, Jurassic World Alive and Harry Potter: Hogwarts Mystery.
In August 2022, Jam City laid off 17% of its workforce, affecting between 150 and 200 employees. The majority of the layoffs occurred at its subsidiary Ludia.
Jam City acquired Ludia for $165 million in September 2021.