Kabam consolidating LA office and making layoffs

Kabam, developer of Marvel Contest of Champions, is consolidating its Los Angeles office, resulting in an unknown number of layoffs. The company confirmed the restructuring to Game Developer but declined to specify how many positions were eliminated.

In a statement, Kabam cited “a review of strategic priorities” as the reason for the consolidation and streamlining of operations. The company emphasized the decision “wasn’t made lightly” and expressed continued commitment to its game slate and partners.

The layoffs are confirmed through employee posts on social media, with at least one person who had spent over five years at Kabam’s LA office announcing that their role had been eliminated. This suggests the cuts affected established staff with significant tenure at the studio.

Kabam’s Los Angeles presence dates back to 2015, when the company expanded into the region by acquiring two local studios—Tapzen and Magic Pixel Games—which were subsequently merged into a unified Kabam operation. This consolidation suggests the company may be retreating from its LA footprint or restructuring operations in the region nearly a decade after establishing it as a significant hub.

The move reflects broader trends in the game industry, where studios continue to adjust operations amid shifting business priorities. While Kabam did not elaborate on specific strategic reasons for the consolidation, the company’s statement indicates this was part of a deliberate reassessment of priorities rather than a reactive measure.

Sources