Ubisoft Implements Workforce Reductions at Red Storm Entertainment Amid Industry-Wide Restructuring
2025-07-10 14:39:31In a strategic move reflecting broader industry trends, Ubisoft has confirmed workforce reductions at Red Storm Entertainment, the renowned development studio behind several titles in the Tom Clancy franchise. This decision follows a series of similar restructuring measures across the gaming sector, including Ubisoft's earlier closure of its UK-based Leamington studio. While affecting a limited number of positions, these changes will allow the North Carolina-based studio to continue operations.
The gaming giant has faced increasing scrutiny regarding its business decisions, particularly after the controversial delisting of popular titles like The Crew, which sparked the grassroots Stop Killing Games movement. This player-led initiative recently achieved a significant milestone, gathering over 1 million signatures petitioning the European Parliament to address digital game preservation issues.
Official reports indicate that 19 positions at Red Storm Entertainment have been eliminated as part of Ubisoft's global cost-saving initiatives. Founded in 1996 with direct involvement from author Tom Clancy, the studio has primarily served in a support capacity for Ubisoft's other development teams in recent years. Its most recent project, The Division: Heartland, was ultimately canceled in 2024.
While these layoffs represent a relatively small reduction compared to recent mass workforce cuts at companies like Microsoft, they underscore the ongoing transformation within the gaming sector. Industry analysts note shifting consumer patterns, with recent data showing decreased spending on gaming among younger demographics in key markets.