Ubisoft Lays Off 105 at Red Storm, Ends Game Development

Ubisoft has laid off 105 employees at its subsidiary Red Storm Entertainment, ending all game development at the historic studio and transitioning it to a support role focused on information technology and the Snowdrop engine. The move, announced internally this week, affects the North Carolina-based studio founded in 1996 and acquired by Ubisoft in 2000.

The layoffs represent a significant reduction in Red Storm's workforce, which stood at around 180 employees in 2022. According to company sources, the affected staff will receive severance packages and career transition assistance to aid their job search. The remaining employees, estimated at about 25 percent of the previous total, will provide global IT support, customer relations, and contributions to the Snowdrop engine, which powers several Ubisoft titles.

This decision stems from Ubisoft's broader cost-cutting initiative, unveiled in January 2026, aimed at saving 200 million euros over two years through restructuring. The plan reorganizes the company into five Creative Houses, each responsible for specific game franchises and live services. Red Storm's shift aligns with this model, as Tom Clancy's brands, including Rainbow...