Ubisoft has announced the cessation of game development at its renowned Tom Clancy studio, Red Storm Entertainment, leading to the layoffs of 105 employees. This decision marks a significant shift for the North Carolina-based studio, which was founded in 1996 by acclaimed author Tom Clancy.
Overview of Red Storm Entertainment
Red Storm gained prominence for developing the first video games based on Clancy’s literary works. The studio is best known for creating iconic titles such as:
- Rainbow Six
- Ghost Recon
In 2000, Ubisoft acquired Red Storm, which continued to expand the Rainbow Six and Ghost Recon franchises with titles like Advanced Warfighter released in 2006.
Transition to New Focus
While Red Storm originally excelled in military shooters, the studio has shifted its focus over the last decade towards virtual reality games. Notable projects include:
- Werewolves Within (2016)
- Star Trek: Bridge Crew (2017)
- Assassin’s Creed Nexus VR (2023)
However, the studio’s latest endeavor, a free-to-play game titled The Division Heartland, faced cancellation in 2024 after a series of public tests.
Shift in Development Duties
As the landscape of Tom Clancy titles evolves, the responsibility for these games has transitioned to other Ubisoft studios such as:
- Massive Entertainment (The Division)
- Ubisoft Montreal (Rainbow Six Siege)
- Ubisoft Paris (Ghost Recon Wildlands)
- Ubisoft Toronto (Splinter Cell remake)
Red Storm previously contributed to significant titles like Ghost Recon: Future Soldier (2012) and Tom Clancy’s The Division (2016), as well as various entries in the Far Cry series.
Cost-Saving Measures at Ubisoft
The decision to shut down game development at Red Storm aligns with Ubisoft’s broader cost-cutting strategy. This initiative has resulted in:
- Cancellation of six games
- Postponement of seven projects
- Closure of two studios
Ubisoft is also contemplating job cuts of up to 200 positions, or approximately 18% of its workforce, at its Paris headquarters. Additionally, layoffs have been confirmed at other locations, including Toronto.
Future Plans
In its attempt to adapt, Ubisoft aims to lower fixed costs by €200 million over the next two years. This restructuring process is part of a significant organizational overhaul, introducing autonomous creative houses to enhance the company’s flexibility and innovation.
