In response to the postponement of Assassin’s Creed Shadows, Ubisoft has disclosed that they are exploring different strategic and financial opportunities aimed at strengthening their financial standing. To accomplish this, they have hired a consultancy group for assistance.

As a devoted follower, I’m sharing the news that Ubisoft has announced they’ll be focusing on substantial cost cuts as part of their new strategy. However, they haven’t specified whether more job reductions are imminent. What they did mention is that they will adopt a strategic investment approach during this phase. In essence, they anticipate a savings of €200 million ($206 million USD) from this plan.

In the future, Ubisoft anticipates that Q3 FY2024-25 revenues will be lower than their initial projections. This reduction is partly due to fewer game sales during the holiday season than expected, largely because Star Wars Outlaws underperformed. Additionally, the decrease in revenue is partly attributed to the cancellation of XDefiant.

During a conference call, Ubisoft’s CEO Yves Guillemot expressed multiple possible directions for the company and its brands in the future, with the aim of increasing shareholder returns. It had been previously mentioned that Ubisoft was exploring various potential options for its future, one of which involved being acquired by Tencent.

During the phone conversation, Ubisoft chose not to discuss the rumor about them possibly being sold to Tencent. However, they mentioned that they are considering various alternatives and added, “Unfortunately, we can’t reveal any further information at this time.

During the conversation, management admitted that closing XDefiant and shutting down numerous studios globally was a challenging yet appropriate choice, as they had gleaned valuable insights from XDefiant’s failure to thrive in the marketplace.

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2025-01-09 21:09