Ubisoft Closes Red Storm Entertainment Studio and Lays Off 105 Employees

Ubisoft continues a large-scale restructuring that began at the start of the year. As part of the cost-cutting program, the publisher has decided to stop game development at Red Storm Entertainment, resulting in the layoff of 105 employees. This was revealed in an internal company letter.

However, the studio will not be completely liquidated. Red Storm Entertainment will retain some functions and continue to operate as a division focused on global IT support and the development of the Snowdrop engine.

Red Storm Entertainment was founded in 1996 by writer Tom Clancy in North Carolina. The studio gained wide recognition with the release of Tom Clancy’s Rainbow Six in 1998. Ubisoft acquired the company in 2000, and in 2001 it released the successful Tom Clancy’s Ghost Recon.

In subsequent years, Red Storm participated in the development of projects such as Rocksmith, Far Cry, Tom Clancy’s The Division, and Tom Clancy’s The Division 2. Until recently, the studio was developing AAA projects in virtual reality in the Assassin’s Creed universe, but these plans were scrapped along with the cessation of game production.