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Ubisoft, a company known for popular video game franchises such as Far Cry, Assassin’s Creed, and more, is currently facing financial struggles due to poor sales figures and underwhelming game releases.
Ubisoft Entertainment SA is currently shutting down its sales offices in Poland, Spain, the Netherlands, Italy, and a few Nordic countries after poor sales figures in Q4 of 2022.
The closure of these offices is said to affect 60 employees. Ubisoft currently has 20,000 employees worldwide.
Issuing a statement to Bloomberg, the company said:
“Ubisoft’s Publishing Group has reorganized its European and Canadian business subsidiaries to better prepare them for the future.”
Going forward, the company will now follow a cost-cutting plan for the next couple of years where it will cut €200 million and follow company restructures that will lay off several non-core assets.
Ubisoft also had a difficult year in 2022 with weak sales figures. The company abandoned multiple unreleased games, like Splinter Cell VR. Additionally, the company faced a 20% drop in its shares and increased write-downs amounting to 500 million Euros.
According to industry insider Jeff Grub, Ubisoft is reportedly considering a merger with a parent company, and companies like Tencent have expressed interest in Ubisoft’s portfolio in the past.
Despite suffering losses, Ubisoft has two major releases, Assassin’s Creed Mirage and Avatar: Frontiers of Pandora, scheduled for 2023, that could potentially improve the company’s fortunes. However, a recent leak claims that Assassin’s Creed Mirage may also be facing a delay until 2024.
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[News Reporter]
Shaheer is currently pursuing a Business degree while also working as a part-time Content Writer. With his deep passion for both writing and video games, he has seamlessly transitioned into a role as a Journalist. Over the past two years, Shaheer has contributed as a freelancer to various websites and landed positions on acclaimed platforms like Gamerant. Currently, his role at Tech4gamers is as a Features Writer, but he also covers News occasionally. Shaheer’s favorite gaming franchises are Assassin’s Creed and the God of War series.
Get In Touch: shaheer@tech4gamers.com
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