Ubisoft is planning to close several studios over the next three years as part of a sweeping restructuring of the company. The announcement came during a company financial call on Wednesday when Ubisoft executives discussed refocusing its business around five “creative houses” instead of so many independent studios.
“We will also selectively close several studios and continue restructurings throughout the group,” Ubisoft CEO Yves Guillemot said during the conference call. “While these decisions are difficult, they are necessary for us to build a more focused, efficient and sustainable organization over the long term.”
Ubisoft’s pivot also includes canceling six games in active development, including the long-awaited Prince of Persia: The Sands of Time remake. The other titles consisted of four unannounced projects which included three new IPs and a mobile game.
The announcement follows a difficult year for Ubisoft’s studios. This news comes on the heels of recent layoffs at Massive Studios, and the loss of The Division’s executive producer, Julian Gerighty, to DICE.
Prince of Persia and 5 Other Games Canceled by Ubisoft, Assassin’s Creed: Black Flag Remake Delayed
Ubisoft cancels the Prince of Persia: The Sands of Time remake, despite expectations that it would release this year.
The company also closed its Halifax mobile studio and its Stockholm studio earlier this month, and began restructuring at its Abu Dhabi and RedLynx studios as part of the company’s repositioning, Ubisoft CFO Frédérick Duguet said on the call.
Game Rant reached out to Ubisoft for clarification around the timeline of the closures and to see if we could get more information about when the impacted studios would be announced, but Ubisoft declined to comment.
What Ubisoft’s Restructuring Really Means
The company’s restructuring plans were presented alongside upbeat financial projections.
Duguet shared an indicative net bookings figure of €330 million ($385,705,650) for the company’s third quarter. Duguet attributed the performance to stronger-than-expected partnerships and what he described as a “robust back catalog,” even as the company prepares to reduce its studio footprint.
In comparison, Ubisoft reported net bookings at €301.8 million in Q3, and €784 million for the nine months ending 2024-25, down 33.8% from the previous year. That’s $352,745,349 and $916,343,120, respectively.
As a publicly-traded company, Ubisoft needs to convey strength to its investors. Still, its positive financial projections alongside the announcement of studio closures and layoffs seem to undercut the employees affected by the restructuring.
55 people lost their jobs at Massive, 60 people at RedLynx, and 29 positions were eliminated at the Abu Dhabi studio. All Ubisoft studios will also be returning to in-office work, CFO Frédérick Duguet announced on the call.
Ubisoft is canceling a total of six games in active development. “[These games] do not meet the new enhanced quality expectations under a more selective portfolio approach,” Duguet said without elaborating on game titles.
Additionally, an “important game” is being delayed from this year to next, Duguet revealed, though he said he couldn’t provide further details at this time. Seven other titles were also delayed.
Ubisoft is putting all of its eggs into this new creative house initiative, splitting its franchises into autonomous, independent studios that have full control over Ubisoft’s flagship franchises. The company intends to get back to “robust cash flow generation,” within the next three years under the new plan, Duguet said.
Each of these creative houses will cover a different genre. The genres include its flagship series, cooperative shooters, games as a service, fantasy, narrative-driven experiences, and family-friendly games.
Vantage Studios, a Ubisoft subsidiary and the studio which the Chinese conglomerate Tencent holds a 26% economic interest in, will take control of Ubisoft’s most recognized franchises, including Assassin’s Creed, Far Cry, and Rainbow Six, with the goal “to turn them into annual billionaire brands,” the company said in its press release.
The other houses will break up the remaining franchises.
Ubisoft holds its quarterly earnings call next month on February 12, where there may be new information about layoffs and specific game delays.
