Ubisoft’s Red Storm studio is facing layoffs that will halt work on 10 games currently in development. This decision is part of Ubisoft’s broader effort to cut costs. A total of 105 employees are losing their jobs, and the studio will no longer be developing games. This marks a major shift in how Red Storm operates and is part of a larger restructuring plan for the company’s game development process.
Red Storm Entertainment has a long and respected history in the video game world. Founded in North Carolina in 1996 with author Tom Clancy, the studio spent almost three decades creating popular tactical shooter games known for intense military action. After being acquired in 2000, Red Storm became a key developer behind some of gaming’s biggest stealth and combat franchises. Initially, the team focused on perfecting cooperative gameplay, leading to a period of highly successful games. More recently, however, Red Storm transitioned to a support role, providing crucial assistance to other large game projects worldwide.
A Look at the Projects Lost to Layoffs at Red Storm
Recent layoffs have revealed just how much work the studio was handling. Insider Gaming reports the team was simultaneously working on at least 10 different projects when development was halted. This wasn’t minor work either – they were actively building seasonal content for Rainbow Six Siege and developing the next Ghost Recon game, currently known as Project OVR. The workload also included the highly anticipated Beyond Good & Evil 2, as well as ongoing support for Brawlhalla. Beyond those major titles, they were also managing a smaller Rainbow Six project called Slice & Dice, brainstorming ideas for The Division 3, creating audio for The Division 2, helping with a new Watch Dogs game, and working on the Splinter Cell series. They even had one project in the very earliest stages of development, so early it didn’t have a public title yet.
Man, I was really shocked to hear Red Storm Entertainment is shutting down. It’s been a rough few years for them, especially with some big projects falling through. They already had layoffs in 2024 and 2025, and they were trying to figure things out. They’d really been pushing VR, making games like Assassin’s Creed Nexus VR, Star Trek: Bridge Crew, and Werewolves Within, which I thought were pretty cool. But a lot of their ambitious ideas just didn’t pan out. Remember that Splinter Cell VR game they were working on back in 2022? That got cancelled. And The Division Heartland? That free-to-play shooter kept getting delayed and was eventually scrapped in 2024. All those cancelled projects really put Red Storm in a tough spot, and unfortunately, it made them a target when the company started looking for ways to save money.
The studio isn’t shutting down completely, but it’s changing direction significantly. Instead of making games – especially the action-packed shooters it was known for – the team will now provide technical support and IT services. A key part of this will be maintaining the Snowdrop engine, the technology powering popular games like The Division and Star Wars Outlaws. This change is happening because Ubisoft is reorganizing into five main game development teams. Studios like the one in North Carolina will become part of a support network, helping these main teams finish their projects.
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The recent layoffs are part of a larger plan to reduce expenses by €200 million company-wide. 2026 has been a difficult year for Ubisoft employees, with job losses already occurring at Massive Entertainment and on the Splinter Cell remake team. The company recently canceled seven games, including the long-in-development Prince of Persia: The Sands of Time remake. Adding to the challenges, a new requirement for all employees to return to full-time office work led to a strike earlier this year. While departing employees will receive severance and job search assistance, morale remains low. Ubisoft is expected to announce further cost-cutting measures soon, as it prioritizes its most profitable franchises.
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2026-03-23 21:11