Ubisoft axes studio and announces 185 layoffs as part of “targeted restructurings”
Ubisoft confirms 185 layoffs as part of new cost-cutting measures
Ubisoft has confirmed they are closing down Ubisoft Leamington, a UK-based studio, alongside 185 total layoffs across the company. These layoffs impact Ubisoft Dusseldorf, Ubisoft Stockholm and Ubisoft Reflections.
Before Ubisoft acquired the studio from Activision in 2017, Ubisoft Leamington was known as FreeStyleGames Limited. Since its acquisition by Ubisoft, the studio has worked on games like Far Cry 5, The Division, The Division 2, Avatar: Frontiers of Pandora, Assassin’s Creed Nexus VR, Skull and Bones, and Star Wars Outlaws.
Below is what Ubisoft had to say about their layoffs.
As part of our ongoing efforts to prioritise projects and reduce costs that ensure long-term stability at Ubisoft, we have announced targeted restructurings at Ubisoft Dusseldorf, Ubisoft Stockholm and Ubisoft Reflections and the permanent closure of Ubisoft Leamington site,
Unfortunately, this should impact 185 employees overall. We are deeply grateful for their contributions and are committed to supporting them through this transition
Ubisoft’s poor financial position was caused by rampant mismanagement within the company
Last year, Ubisoft announced that its Executive Committee and Board of Directors had launched an investigation into the company’s performance. This investigation aims to reveal why Ubisoft isn’t performing well financially. While Ubisoft has not revealed the findings of this investigation, the reason behind Ubisoft’s current issues is clear. Ubisoft has been mismanaged. Ubisoft’s leadership has failed the company.
Ubisoft’s share price is at its lowest point since 2013. In fact, Ubisoft’s share price has dropped over 85% since 2018. Simply put, Ubisoft isn’t doing well. For years, Ubisoft has been spending too much money on failed projects and has spent too much time chasing trends.
Remember Hyper Scape, Ubisoft’s Battle Royale? What about their free-to-play FPS XDefiant? How about Skull and Bones, the Pirate game that took 11 years to develop? I wonder how the development of Beyond Good and Evil 2 is going; it was announced in 2008, re-revealed in 2017 and is still in development. What about Ubisoft’s Prince of Persia: The Sands of Time Remake? Ubisoft has spent a lot of money chasing the success of others and has been overspending on projects that clearly haven’t been yielding good results.
Ubisoft is in a terrible position, and the company needs Assassin’s Creed Shadows to succeed if it has any chance of turning itself around. If Shadows fails to impress at launch, Ubisoft, as we know it, may be finished.
You can join the discussion on Ubisoft closing down their Leamington Studio and other “restructurings” on the OC3D Forums.
