Video Game Industry Continues String of Layoffs

Digital Bros. Entertainment and Kongregate are the latest to announce job cuts in the video game industry.

Digital Bros. Layoffs

Digital Bros., the owner of popular publishers like 505 Games, DR Studios, and Kunos Simulazioni, is set to lay off 30% of its workforce, amounting to approximately 130 employees. The company cited an “organization review” as the reason for these layoffs, which will predominantly affect its various studios.

Kongregate Job Cuts

Kongregate, known for its online gaming portal, has confirmed layoffs across multiple departments, including art, VFX, marketing, and community management. The company has not yet responded to requests for comment on the situation.

Challenges Faced by Kongregate

Kongregate has faced difficulties in recent years, especially after Adobe dropped support for Flash games in 2020. The company had to adapt and transition towards preserving its Flash games, eventually leading to internal restructuring and layoffs.

Recent Layoffs in the Industry

These announcements come in the wake of layoffs at Amazon’s gaming division and Humble Games. Amazon’s layoffs affected over 180 employees, while Humble Games also confirmed cutting staff. Overall, the video game industry has seen over 6,000 job cuts in the past year alone, according to a layoff tracking website.