Layoffs will occur at Massive Entertainment and Ubisoft Stockholm studios.
Tom Clancy’s The Division 2
In a letter to employees, Ubisoft explained the layoffs as part of its cost-cutting efforts. The company emphasized that this decision is not related to the teams' performance or the quality of their work.
According to the company, both studios will continue to develop in the same direction as they are currently. Specifically, Massive Entertainment will keep working on the The Division series and some "unannounced innovative technological project." The teams will also continue contributing to the development of the Snowdrop engine and the Ubisoft Connect service.
The potential layoffs at Massive Entertainment were first reported back in late October 2025. At that time, the studio announced the launch of a so-called "voluntary career transition program," which allowed employees to voluntarily leave the company. While all details of the initiative were not disclosed, it was known that developers who agreed to leave were promised generous financial compensation and assistance in finding new employment.
Notably, this is the second round of layoffs by Ubisoft since the beginning of the year. A few days ago, the company announced the closure of Ubisoft Halifax, resulting in the loss of 71 jobs.