Ubisoft Announces Studio Closures and Job Losses as Cost-Cutting Measures Continue
Ubisoft is shutting down its Leamington studio while also implementing layoffs in three additional studios, resulting in significant job losses as part of ongoing financial strategies.
Ubisoft has confirmed the closure of its development studio in Leamington, alongside targeted restructurings at its studios in Düsseldorf, Stockholm, and Reflections, leading to a total of 185 job losses.
“As part of our ongoing efforts to prioritize projects and reduce costs that ensure long-term stability at Ubisoft, we have announced targeted restructurings at Ubisoft Düsseldorf, Ubisoft Stockholm and Ubisoft Reflections and the permanent closure of Ubisoft Leamington site,” a Ubisoft representative mentioned. “Unfortunately, this should impact 185 employees overall. We are deeply grateful for their contributions and are committed to supporting them through this transition.”
Ubisoft Leamington was established in 2002 as FreeStyleGames and acquired by Activision in 2008. It was known for creating the DJ Hero games and Guitar Hero Live but later faced challenges due to dwindling interest in the music game genre, resulting in layoffs and a sale to Ubisoft in 2017. After rebranding, it contributed to several projects including Hyper Scape, Watch Dogs: Legion, Avatar: Frontiers of Pandora, and Skull and Bones.
This recent closure and layoffs mark a significant shift in Ubisoft’s strategy as it aims to streamline operations and maximize efficiency, described as “decisive steps to reshape the Group.”
Amid an absolutely dire 2024 where multiple games underperformed commercially, including Star Wars Outlaws and Assassin’s Creed Shadows, Ubisoft is facing pressure and potential buyout discussions with Tencent regarding executive control.
This ongoing situation will likely be detailed further in Ubisoft’s upcoming financial report, scheduled for February 13.