Ubisoft Ends Red Storm Game Development Amid Restructuring

Ubisoft has ceased all game development at Red Storm Entertainment, a company source told GamesIndustry.biz. The move cuts 105 roles at the North Carolina-based studio as part of its broader cost-saving plan. The decision transitions the studio into a support unit focused on global IT operations and continued work on the Snowdrop engine.

Founded in 1996 by Tom Clancy, Red Storm established Ubisoft’s early presence in tactical shooters with the original Ghost Recon titles and Rainbow Six. Ubisoft acquired the studio in 2000. The studio later contributed to projects such as The Division and Ghost Recon: Future Soldier.

Development of major Tom Clancy franchises shifted to Ubisoft teams in Paris, Toronto, and Montreal, and to Massive Entertainment.

In the past decade, Red Storm focused on VR titles such as Assassin’s Creed Nexus VR, Werewolves Within, and Star Trek: Bridge Crew. Meanwhile, its latest project, The Division Heartland, was cancelled in 2024 after public testing.

Ubisoft Red Storm Layoffs Reflect Broader Restructuring Strategy

The layoffs are part of Ubisoft’s wider restructuring effort, which has led to six cancelled projects, seven delays, and two studio closures. 

The company is targeting an additional €200 million ($231.32 million USD) reduction in fixed costs over two years. It has also proposed cutting up to 200 roles in Paris and confirmed layoffs in Toronto and other studios. Earlier measures included 29 job cuts in Abu Dhabi and the closure of its Halifax studio.

Approximately 1.2K employees responded with a strike on Feb 10, 2026. Days earlier, two union representatives called for Ubisoft CEO, Yves Guillemot, to resign.

However, Ubisoft has stated it remains committed to Tom Clancy franchises, with development continuing across its global studio network.

The changes align with Ubisoft’s shift to an autonomous “Creative House” structure supported by a centralized Creative Network. Thomas Andrén, Ubisoft’s regional managing director for Sweden, Finland, and Romania, and managing director of Massive Entertainment (a Ubisoft studio), commented on the shift in structure. He stated it brings together “an incredible concentration of expertise, craftsmanship, and innovation,” highlighting closer coordination across its global studios.

The transition repositions Red Storm as part of Ubisoft’s technical infrastructure as the company consolidates development resources.