Ubisoft recently announced significant changes to its operations, leading to the cancellation of six projects and the closure of two studios. This restructuring aims to realign the company with current market demands and enhance its focus on open-world games and live service offerings.
Cancelled Projects and Delays
The six scrapped projects include the highly anticipated remake of Prince of Persia: Sands of Time. While only one title has been publicly confirmed, the cancellations also include three new intellectual properties and one mobile game. Alongside these cancellations, Ubisoft is delaying the release of seven additional titles.
Among the delayed titles is the remaster of Assassin’s Creed: Black Flag, which was originally scheduled to launch before March 31. This title will now be released in the next financial year, expected before March 31, 2027.
Studio Closures and Workforce Changes
- Ubisoft Stockholm: Affected by the restructuring, this studio had previously worked on Avatar: Frontiers of Pandora.
- Ubisoft Halifax: Another studio facing closure, focusing on mobile game development.
The restructuring has also stirred layoffs at various Ubisoft locations including studios in Abu Dhabi and RedLynx. Employees across all studios are now required to return to in-office work five days a week, though they will retain some remote work flexibility.
Financial Repercussions
As part of the restructuring’s implications, Ubisoft has revised its financial guidance for the year. The company now anticipates net bookings around €1.5 billion (approximately $1.75 billion), reflecting a decrease of €330 million ($386 million) compared to previous forecasts. This shift is attributed to changes in the release pipeline and a reevaluation of partnership negotiations.
New Creative Structure
To better navigate the competitive gaming landscape, Ubisoft plans to reorganize into five Creative Houses. Each house will function as an independent unit focusing on specific game genres:
- Creative House 1: Focused on major brands like Assassin’s Creed, Far Cry, and Rainbow Six.
- Creative House 2: Dedicated to shooter games, including The Division and Splinter Cell.
- Creative House 3: Concentrating on live experiences such as Brawlhalla and For Honor.
- Creative House 4: Aiming at narrative and fantasy-driven titles like Rayman and Prince of Persia.
- Creative House 5: Centered on family and casual gaming, featuring Just Dance and Uno.
This strategic overhaul underscores Ubisoft’s commitment to adapting to an increasingly competitive gaming market.
