Ubisoft has confirmed workforce reductions at its Red Storm Entertainment studio, a development team with a history stretching back to the early days of the Tom Clancy franchises. The company stated that 19 positions were eliminated as part of its ongoing restructuring and global cost-saving initiatives.
According to a statement from Ubisoft, these cuts are a direct result of aligning staffing with the current needs of projects within the studio. While acknowledging the difficulty of the decision, Ubisoft indicated it was necessary based on operational priorities.
The publisher stated that comprehensive support packages are being offered to the affected employees. This includes severance pay, extended health-care benefits, and assistance with career transition, a standard set of measures often provided in such circumstances.
Red Storm Entertainment, founded in 1996, was instrumental in creating foundational series like Rainbow Six and Ghost Recon. In more recent years, the studio`s focus has shifted towards virtual reality development, notably contributing to titles like Assassin`s Creed Nexus VR, and providing crucial support for other games within Ubisoft`s portfolio, such as the recently shut down XDefiant.
The studio`s recent trajectory also includes the cancellation of planned projects, including a Splinter Cell VR title announced in 2022 and The Division Heartland, a free-to-play spin-off that was ultimately shelved in 2024 after being in development for some time. Such project shifts often necessitate adjustments in staffing, a perhaps predictable outcome in the dynamic world of game development, where resources are frequently reallocated.
Despite these specific cuts at Red Storm, a representative for Ubisoft clarified that this action is not indicative of a wider, company-spanning layoff event affecting other teams within the publisher at this time. These layoffs occur against a backdrop of widespread workforce reductions across the video game industry, a trend that has impacted numerous developers and publishers over the past year.