Hungary-based animation studio Digic has laid off 35 members of staff.
As reported by Forbes Hungary, the Embracer Group subsidiary cut approximately 10% of its workforce following an internal reorganisation earlier this year.
“Due to the market changes of the past period, economic challenges and the long-term arrangement for hybrid work, it has become necessary to review our operation,” the company said in a statement.
A spokesperson for the Embracer Group added: “Digic would like to continue to employ some of the relevant colleagues on a fixed-term contract or on a project basis as freelance subcontractors, thus increasing the flexibility of the company’s operation and the proportion of freelance experts.”
As noted by Game Developer, the studio counted over 325 employees before the layoffs, which included 40 to 50 freelancers.
Embracer Group acquired Digic alongside Perfect World Entertainment in December 2021. The animation studio is known for creating trailers and in-game cinematics, most recently for Assassin’s Creed Mirage and Lords of the Fallen.
Last week, Embracer-owned Zen Studios reportedly laid off 32 employees.
This followed terminations at Crystal Dynamics, Beamdog, and Gearbox Publishing, which are also owned by the Swedish company and have been affected by its restructuring program.