Ubisoft has cancelled six video games - including its long-awaited Prince of Persia: The Sands of Time remake - as part of a major reset of its operations.
The French developer and publisher, known for popular games such as Assassin's Creed, Far Cry and Just Dance, has closed two studios and delayed seven titles as part of its changes.
Ubisoft boss Yves Guillemot said the move would create the conditions for a return to sustainable growth. The firm's shares plunged by 33% on Thursday morning following the announcement.
As studios increasingly turn to video game remakes and remasters, the cancellation of the iconic Sands of Time remake, which sold millions of copies in 2003, has left many fans puzzled. Ubisoft has not specified the other titles that have been discontinued, though it confirmed the cancellation includes four unannounced titles based on new intellectual properties and a mobile game.
Ubisoft is closing its studios in Stockholm, Sweden, and Halifax, Canada, affecting teams that were working on potential new IPs and mobile titles for the Assassin's Creed franchise. The Halifax closure follows a recent announcement where the studio formed a union.
Guillemot acknowledged the necessity of these decisions: While these decisions are difficult, they are necessary for us to build a more focused, efficient, and sustainable organization over the long term. This marks a decisive turning point for Ubisoft to reshape the Group for the long term.
Industry analysts suggest Ubisoft's move reflect efforts to mitigate risks. Maintaining investment in established franchises like Assassin's Creed and Rainbow Six may be less risky than launching entirely new IPs.
This marks the second restructuring for Ubisoft in consecutive years, with previous job cuts in response to competitive challenges within the gaming market. The company aims to focus on developing increasingly popular open-world adventure games and live service titles that seek ongoing payments from players.
Guillemot remains optimistic about the future, stating that blockbuster games could yield unprecedented financial potential. The company's subsidiary, Vantage Studios, aims to transform staples like Assassin's Creed and Far Cry into annual billion-dollar brands.
