Ubisoft’s Cost Cutting Continues With 105 Jobs Cut as Red Storm Relegated to Support Studio

Red Storm Entertainment, the long-standing game studio that previously worked on titles in the Tom Clancy, Ghost Recon, and Rainbow Six franchises, has been officially transitioned to a support-only studio by Ubisoft. Red Storm had been working on The Division Heartland until that was cancelled in 2024, even after having been through a number of playtests. According to sources who spoke to GameIndustry.biz, Ubisoft will lay off as many as 105 workers at Red Storm, while the remaining staff will be dedicated to supporting Ubisoft’s other studios in IT, customer relations, and development work on the Snowdrop engine.

The layoffs come after Ubisoft announced its recent cost-cutting measures and studio restructure, which would see the gaming giant reorganized into five “creative houses,” all individually responsible and accountable for the games and properties under their management. The ensuing changes and announced cost-cutting measures, which aimed to save €200 million over two years, have already resulted in a number of layoffs at other studios and a massive strike across Ubisoft’s international locations.