Ubisoft has announced that it will cease game development at Red Storm Entertainment, resulting in the loss of 105 jobs. This decision is part of a broader global cost-saving initiative aimed at reducing fixed costs by an additional €200 million over the next two years.
Founded in 1996 by Tom Clancy, Red Storm has been closely associated with the Tom Clancy franchise, developing notable titles such as Rainbow Six and Ghost Recon. The studio was acquired by Ubisoft in 2000 and has contributed to several successful projects, including Ghost Recon: Future Soldier and Tom Clancy’s The Division.
Despite the layoffs, Red Storm will continue to operate in a support capacity, focusing on IT and the Snowdrop engine. However, the studio’s most recent project, The Division Heartland, was cancelled in 2024, marking a significant shift in its operational focus.
Ubisoft’s restructuring plan also includes the formation of autonomous ‘creative houses’ within its creative teams, a move intended to streamline operations and enhance project development. Marie-Sophie de Waubert stated, “Each Creative House will have allocated resources, and they will have the means to define and to develop their roadmap.”
In light of the layoffs, a Ubisoft source indicated that departing employees would receive comprehensive support, including severance packages, to assist them during this transition.
These layoffs at Red Storm are not an isolated incident; the studio had previously made cuts in July 2025 and August 2024. The ongoing restructuring at Ubisoft has led to multiple game cancellations and studio closures, reflecting the company’s efforts to adapt to changing market conditions.
Red Storm’s last game in the Tom Clancy series was Future Soldier, released in 2012, highlighting a significant gap in its development of new titles based on the franchise. As the gaming industry continues to evolve, observers are left to consider the implications of these changes for both Ubisoft and its affiliated studios.
Details remain unconfirmed regarding the future direction of Red Storm and whether it will pursue new projects beyond its current support role.
