After news of the cancellation of several projects, including the highly anticipated Prince of Persia remake, Ubisoft has now announced plans for a new round of layoffs. The French video game giant continues to restructure amid persistent financial challenges, multiple studio closures, and the cancellation of several high-profile projects. The latest proposed job cuts follow a turbulent 2025 that saw the company shut down three studios and scrap key titles, deepening investor concerns about its long-term turnaround strategy.
According to internal communications and reports from French media outlets, Ubisoft management has informed employee representatives of a proposed restructuring plan that could affect hundreds of positions across its global workforce. While the exact number of layoffs has not been publicly disclosed, sources close to the matter suggest that the figure could range from 200 to 400 roles, primarily in non-core support functions, marketing, and certain development teams.
Ubisoft plans studio closures, employee layoffs
The company has stated that the measure is part of a broader effort to “align resources with strategic priorities” and improve operational efficiency.
The proposed layoffs come on the heels of significant cost-cutting measures already implemented in 2025:
– Closure of Ubisoft Leamington (UK), Ubisoft Osaka (Japan), and Ubisoft Saint-Antoine (Montreal, Canada).
– Cancellation of high-profile projects, including The Division Resurgence, Ghost Recon Frontline, Splinter Cell VR, and Rainbow Six mobile titles.
– Delays and scaled-back scope for major releases such as Assassin’s Creed Shadows, Star Wars Outlaws, and Beyond Good & Evil 2.
Ubisoft’s CEO Yves Guillemot has repeatedly cited “challenging market conditions,” rising development costs, and intense competition from free-to-play and live-service titles as key reasons for the ongoing restructuring. The company has also faced criticism over its handling of live-service games, delayed launches, and perceived quality issues in recent releases.
Ubisoft facing financial pressure
Ubisoft’s stock has lost more than 80% of its value since its 2021 peak, reflecting investor skepticism about the company’s ability to reverse declining profitability. In response, Ubisoft has shifted focus toward:
– Fewer but higher-quality AAA releases
– Strengthening live-service franchises (Rainbow Six Siege, Brawlhalla, The Division)
– Expanding mobile and free-to-play offerings
– Exploring potential partnerships or asset sales
The company has also accelerated its adoption of AI tools for development and testing while cutting back on non-essential spending.
Ubisoft has not confirmed the exact timeline or scale of the layoffs but indicated that consultations with employee representatives are underway, as required under French labour law. The company is expected to provide more details during its upcoming earnings call in February 2026. Despite the headwinds, Ubisoft remains committed to its upcoming slate, including Assassin’s Creed Shadows (delayed to early 2026), Rainbow Six mobile revival, and new entries in the Ghost Recon and Far Cry series. Whether the latest restructuring will stabilize the company or mark the beginning of a deeper decline remains a critical question for investors, employees, and fans alike.