Ubisoft Development team Red Storm is currently undergoing a layoff that will completely eliminate the ability to work on 10 upcoming games. The decision by Ubisoft follows a series of internal changes designed to save money across the company. Specifically, 105 employees are losing their positions as the office is forced to move away from game development entirely. While Ubisoft has faced a lot of turmoil recently, this latest move marks a significant change in how the studio will operate from now on. The move appears to be part of a much larger plan to restructure how the company produces its biggest hits.
Before these recent changes, Red Storm had a long history in the games industry. It was founded in North Carolina in 1996, with noted author Tom Clancy serving as its co-founder. For nearly thirty years, the team was synonymous with tactical shooters and high-stakes military action. After being purchased by its current parent company in 2000, it became the primary engine behind some of the most successful stealth and combat franchises in gaming history. The group's early years were spent perfecting the mechanics of team-based combat, leading to a golden age of tactical experiences. Over time, however, the team's role began to change, shifting from leading their own major projects to providing essential support for other major titles around the world.
Ubisoft announced studio closures and layoffs
Ubisoft announces the closing of one of its studios and downsizing at other locations as layoffs continue to plague the gaming industry.
A look at the projects lost to layoffs at Red Storm
The true scale of the studio's involvement in the company's lineup has recently come to light following news of job cuts. According to Insider Gaming, the team was actually playing at least 10 different projects when it was told to stop games. These were not just small jobs. The studio was helping to produce seasonal content Rainbow Six Siege And another great work was being done Ghost Recon title, as presently referred to Project OVR. The list of jobs also includes a long wait Good and bad 2 and continuous development of fight. It was also holding the little one There is a rainbow called a project Slice and dice And what was in the early stages of planning Division 3 It might finally look like that. Other tasks include audio creation Division 2Assisting with the new version of Look at the dogsand working on Splinter cell series. One final project was so early in development that it wasn't even given a public name.
This sudden shutdown of game development comes after a difficult year for the North Carolina team and high-profile project failures. Red Storm had already faced previous rounds of layoffs in both 2024 and 2025 as the company tried to find its niche. Recently, the studio has been focusing a lot on creating virtual reality Assassin's Creed Nexus VR and leading the way in titles such as Star Trek: The Bridge Crew and Within werewolves. However, many of their high hopes were dashed when major projects were canned. A VR-focused one Splinter cell The game was stopped in 2022, and a free-to-play shooter Division Heartland It was officially canceled in 2024 after facing many delays and development hurdles. These cancellations left the team in a vulnerable position, making Red Storm a primary target for the company's broader “World Savings Plan”.
The studio isn't closing its doors entirely, but its new purpose will be a far cry from the days of creating legendary shooters. The rest of the staff will now act as a support hub, focusing on technical support and IT services rather than creative game design. A major part of their new work will be maintaining Ubisoft's Snowdrop engine, the powerful technology used to run games. Division and Star Wars Outlaws. The pivot is part of a major reset where the company is splitting itself into five core “creative houses” that will handle all key game-making duties. Any studio that sits outside these five core pillars, such as the North Carolina team, is now relegated to the “creative network,” a subsidiary structure that helps the core houses fulfill their roadmaps.
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9 Match the games to the grid.
These layoffs are just one piece of a financial goal to reduce costs by 200 million euros across the organization. The year 2026 has already been incredibly tough for the company's workforce, with a huge entertainment staff and backroom team. Splinter cell Remake has also lost jobs. Seven Games have recently been cancelled, incl Prince of Persia: The Sands of Time Remake, Jun It was in development for years. In addition to the studio closures, the publisher has faced internal tensions over a new policy requiring all employees to return to the office full-time, which sparked a strike among workers earlier this year. While the company has promised departing employees a generous severance package and support to help them find new roles, the environment is tense. More cost-cutting measures at Ubisoft are expected to be announced in the near future as the publisher continues to tighten its belt and focus only on its biggest, most profitable brands.
- Date of establishment
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March 28, 1986
- Headquarters
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Saint Mande, France
- CEO
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Yves Guillemot
Source: Insider Gaming
