Ubisoft is going through a difficult interval in its historical past. In an effort to guarantee monetary stability, the French writer has introduced drastic measures, together with the closure of a studio and layoffs in a number of European branches. These restructurings mark a big turning level – and lift questions in regards to the firm’s future.
The tip of a standard studio
One of the crucial drastic selections issues the Ubisoft Leamington studio in Leamington Spa, UK. The studio, previously referred to as FreeStyleGames, was acquired in 2017 and had loved success with the acclaimed “DJ Hero” sequence. Lately, nonetheless, the crew has centered on supporting work for main Ubisoft titles equivalent to “Far Cry 5,” “Avatar” and “Star Wars Outlaws.”
With the closure of the studio, not solely 185 workers will lose their jobs, however the British gaming business may even lose one other vital participant. As well as, different Ubisoft places are additionally affected, together with Düsseldorf, Stockholm and Reflections. Ubisoft has emphasised that it’ll provide assist to the affected workers throughout this transition interval – however uncertainty stays.
The explanations for these measures lie within the monetary challenges of latest years. A number of recreation releases, together with the formidable “Cranium and Bones” and the shooter “XDefiant”, fell nicely wanting expectations. Even the hype surrounding “Star Wars Outlaws” couldn’t be transformed into financial success.
A brand new plan for the longer term
The restructuring is a part of a broader plan to strengthen Ubisoft’s market place. The corporate plans to streamline its undertaking panorama, scale back prices and realign itself in a focused method. The seek for strategic partnerships performs a central position on this.
As Bloomberg reviews, Tencent and the founding Guillemot household, who collectively maintain nearly 25 p.c of the shares, might work extra carefully collectively sooner or later. A joint firm incorporating Ubisoft property is likely one of the choices below dialogue. As early as fall 2024, there have been rumors {that a} takeover of the writer by the 2 events was being thought of.
Whether or not these measures will clear up Ubisoft’s disaster stays to be seen. One factor is for certain: in an business that’s altering quickly, the corporate should be revolutionary and daring as a way to keep away from falling behind. The approaching months might be decisive for the gaming big’s future.
