KabamThe gaming company, which has developed mobile games in partnership with entertainment brands including Disney, Marvel and Universal, has cut about 7 percent — about 35 people — of its workforce, TechCrunch has learned from sources and confirmed with the company via email.
The Vancouver-based company informed affected employees of the move earlier this week, a person familiar with the development said.
“As we at Kabam reassessed our strategic priorities, we made the decision to adjust our resource structure in line with our goals. This means that although we will continue to hire in key areas over the next year, we are unfortunately reducing our workforce by approximately 7%. For those with whom we part, we are grateful [sic] their contributions to our success and we support them through this challenging transition,” a Kabam spokesperson said in a statement emailed to TechCrunch.
The company has over 500 employees.
Kabam has a catalog of mobile games generating hundreds of millions of downloads in total, including Marvel Contest of Champions, Disney Mirrorverse, Shop Titans, Transformers: Forged to Fight, Mini Guns, Fast & Furious 6: The Game, Fast & Furious: Legacy and Blastron . The company also has studios and offices in Montreal, San Francisco, Charlottetown, Austin and Los Angeles – along with its headquarters in Vancouver.
Founded in 2006, the gaming company operated as a startup until 2016, when it was acquired by South Korea’s Netmarble Games for a reported $700 million to $800 million.
In March of this year, Netmarble’s operations in North America united with Kabam. It aimed to bring many Netmarble game titles to Western markets.
Kabam is one of many companies in the tech world that have cut their workforce during this economic slowdown. Over the past few days, the impact of the ongoing financial crisis has largely been seen through mass layoffs announced by the Twitter and Meta. Companies included Netflix, Spotify and Tencent also let go of some of their staff. Likewise, Indian startups like Non-academy, Byju’s and Ola they also laid off hundreds and thousands of employees to ease the burden of limited funding and investment.