The cost-saving move is part of Ubisoft’s global restructuring efforts, following widespread industry layoffs and recent controversies.
Ubisoft has confirmed the layoff of 19 employees from its North Carolina-based studio, Red Storm Entertainment—a developer known for its foundational role in the Tom Clancy franchise. This downsizing, though relatively limited in scale, adds to the growing list of game industry job cuts in 2025.
Founded in 1996 with the help of author Tom Clancy, Red Storm gained prominence for its work on tactical shooters like Rainbow Six and Ghost Recon. More recently, the studio served a support role on larger Ubisoft projects. The most recent project associated with Red Storm, The Division: Heartland, was officially canceled in 2024.
Ubisoft’s Official Statement on the Layoffs
In a statement shared with IGN, Ubisoft explained that the layoffs were part of a “targeted global cost-saving effort.” While the move impacts only a small number of employees compared to other industry-wide layoffs, it follows the earlier closure of Ubisoft’s Leamington studio in the UK.
Despite this, Ubisoft confirmed that Red Storm will remain operational, and no additional cuts are currently planned for the studio.
“While this decision impacts 19 roles, we remain committed to supporting our teams and continuing operations at Red Storm,” Ubisoft said.
Industry Layoffs and Ubisoft’s Recent Controversies
The gaming industry in 2025 has been marred by economic pressures, with major publishers across the board—including Microsoft, EA, and Sony—announcing staff reductions. Ubisoft has mostly avoided major cuts this year, but it hasn’t escaped backlash from the gaming community.
One of the company’s most controversial decisions involved delisting popular games, including The Crew, sparking global outrage. This action helped fuel the growing Stop Killing Games movement, which recently hit a major milestone with over 1 million petition signatures calling for legal reform in Europe around digital game ownership and preservation.
What’s Next for Red Storm Entertainment?
Although the scale of this layoff is smaller than others seen across the industry, it marks another shift in direction for Red Storm, a studio that once helped shape Ubisoft’s most iconic tactical franchises. With The Division: Heartland canceled and the studio increasingly serving as support, Red Storm’s future role within Ubisoft remains uncertain.
The news raises broader concerns about the sustainability of mid-sized development studios and the importance of preserving both jobs and gaming history during turbulent times.