Company Restructuring
Ongoing coverage on Company Restructuring.
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Compulsion Games May Be The First Studio To Fall In Xbox’s Restructuring Plans – Rumor
Rumors suggest that Compulsion Games, the developer behind South of Midnight, may be one of two studios Xbox plans to close as part of a restructuring. This follows reports of impending layoffs, though the studio's leadership is reportedly in negotiations with its parent company. Other studios like Obsidian and Rare are believed to be safe.
XBOX reportedly shutting down South of Midnight studio as part of new CEO’s ‘reset’
Xbox is reportedly shutting down the studio behind the upcoming game South of Midnight as part of a new CEO's strategic reset. This move signals a significant shift in the company's internal development strategy.
Xbox Closing We Happy Few, South Of Midnight Developer Compulsion Games – Report
Microsoft is reportedly planning to close Canadian developer Compulsion Games, known for We Happy Few and South of Midnight, as part of a broader restructuring of its Xbox division. This move could impact over 90 employees, and follows recent reports of potential closures for Arkane Studios. Xbox CEO Asha Sharma alluded to difficult changes ahead to improve economic stability.
Xbox Games Studios loses two top execs, days after Microsoft CEO calls for company "reset"
Xbox Games Studios leader Craig Duncan and chief of staff Louise O'Connor have departed Microsoft, shortly after CEO Asha Sharma called for a business "reset." The departures follow reports of impending mass layoffs within the company. Duncan and O'Connor are veterans of Rare, having worked on titles like Sea of Thieves and the cancelled Everwild.
Xbox studios exec and former Rare boss resigns ahead of expected mass layoffs
Xbox Game Studios boss Craig Duncan and chief of staff Louise O'Connor are leaving Microsoft amidst reports of impending mass layoffs within the Xbox division. Duncan, who previously led Rare for 14 years, cited his purpose in serving studios and teams. These departures come as Xbox undergoes significant changes, including a pivot back to exclusive games and potential restructuring.
Xbox Reportedly Speeding Up New Elder Scrolls, Fallout, and Halo Games as Microsoft Leaves Spinning Off the Business on the Table
Xbox is reportedly accelerating development on new installments of The Elder Scrolls, Fallout, and Halo franchises. This comes as Microsoft considers restructuring or spinning off its gaming division, with Xbox CEO Asha Sharma reportedly pushing for faster game releases.
Morning Consolidation
Analysts suggest Xbox may implement studio shutdowns and ad-funded subscriptions following Asha Sharma's warning of a company 'reset'. Additionally, servers for Grid Legends will be shut down on PlayStation and other platforms.
"Xbox will dissolve into Windows," ex PlayStation boss says, which is Microsoft's "strength"
Former Sony Interactive Entertainment president Shuhei Yoshida speculated that Xbox will be integrated into Microsoft's Windows platform, calling it Microsoft's strength. This prediction follows reports of significant layoffs within the Xbox division under new CEO Asha Sharma, amidst declining hardware sales and an increasing trend of Xbox titles releasing on PlayStation 5.
Ubisoft are reportedly laying off up to 380 staff, as the Assassin's Creed publisher closes two studios and restructures another
Ubisoft is reportedly laying off up to 380 employees as it closes its Winnipeg and Belgrade studios and restructures its Barcelona studio to focus solely on Rainbow Six games. These cuts are part of a broader cost-slashing initiative and company reorganization into creative houses for specific game series.
Xbox Reportedly Preparing Major Layoffs as Gaming Division Faces Restructure | Invision Game Community
Xbox is reportedly preparing for significant layoffs and a wider restructuring within Microsoft's gaming division. This move is expected to occur after the company's financial year ends and may involve streamlining teams and shifting resources towards subscription services and cloud gaming.
Ubisoft is reportedly closing two studios and restructuring another, with around 380 people expected to be laid off
Ubisoft is reportedly closing its Winnipeg and Belgrade studios, impacting around 380 employees. Ubisoft Barcelona will now focus solely on Rainbow Six projects, and other departments, including Global Publishing and Ubisoft Montreal, are also affected by restructuring and layoffs. This marks the third round of job cuts at Ubisoft this year, following earlier reductions at Red Storm Entertainment and other studios.
Ubisoft’s Restructuring Might Affect Around 380 Employees – Rumor
Ubisoft is reportedly planning a significant restructuring that could impact around 380 employees, according to a rumor from Insider Gaming. The company cited a need to simplify operations, reduce costs, and ensure long-term success as reasons for these changes, which include studio closures and reorganizations within its global Publishing division. These measures follow a period of substantial financial losses for Ubisoft, with forecasts predicting continued losses before a return to profitability in fiscal year 2028.
Yet more layoffs reported at Ubisoft, this time in San Francisco
Ubisoft has reportedly laid off dozens of employees from its San Francisco studio as part of an ongoing restructuring, following studio closures in Winnipeg and Belgrade. Meanwhile, Xbox is also reportedly planning significant layoffs and budget cuts across marketing and other areas as new CEO Asha Sharma initiates a "reset" for the business, aiming to improve efficiency and player value.
Xbox CEO Asha Sharma issues statement on restructuring following leaked email regarding layoffs
Xbox CEO Asha Sharma has issued a statement confirming a restructuring and potential layoffs by the end of June, following a leaked internal email. Sharma cited overspending and the need to "reset" the business, emphasizing that the company has "over extended" in areas like live-service demands. The move comes as Xbox aims to re-evaluate its investment priorities for the next five years.
"We walked away from years of work" – The long and troubled journey of The Wolf Among Us 2
Telltale Games CEO Jamie Ottilie discusses the challenging development of The Wolf Among Us 2, including a technical reset and a move to Unreal Engine 5, which resulted in years of work being discarded. The company is also releasing a remaster of the original The Wolf Among Us in Holiday 2026, while The Wolf Among Us 2 is slated for a 2027 release. Ottilie emphasizes a more measured approach to growth and development for the relaunched Telltale Games, focusing on a sequential release slate of one to two premiere games every two to three years.
Merge Mansion dev Metacore lays off 159 employees, closes studios in Germany and Sweden
Mobile game studio Metacore has laid off 159 employees in Finland and closed its studios in Germany and Sweden as part of a restructuring effort. CEO Mika Tammenkoski cited that the game Merge Mansion has plateaued and recent investments have not yielded new launches. Supercell is acquiring Metacore and will add Merge Mansion to its portfolio.
Team17 confirms new layoffs following internal restructuring
Publisher Team17 has confirmed layoffs impacting its marketing and communications departments following an internal restructuring. This follows a larger restructuring effort in 2023 and highlights ongoing challenges within the video game industry.
3 years after a $2 billion implosion, studio closures, and cancellations, Embracer's new CEO hopes 'trust is…
Embracer Group CEO Phil Rogers expressed hope for improving trust in the company despite a period of significant restructuring, studio closures, and cancellations. The company has undergone multiple reorganizations and asset sales, including the sale of Gearbox and the closure of Arc Games and Cryptic Studios. Rogers acknowledged the industry's challenges and stated that Embracer is focused on resetting and improving its position, with potential for future mergers and acquisitions guided by past learnings.
Ubisoft Reports €1.3 Billion in Losses For FY26, Projects More Losses Next Year, Profits in FY28
Ubisoft reported a loss of €1.3 billion for the fiscal year ending March 31, 2026, with net bookings down 17.4 percent. The company forecasts further losses in FY27 but expects profitability to return in FY28, driven by upcoming titles in major franchises like Assassin's Creed, Far Cry, and Ghost Recon. This financial outlook follows a significant restructuring, game cancellations including Prince of Persia: The Sands of Time Remake, and recent layoffs, which have led to criticism from employee unions regarding leadership and diversity.
Ubisoft's net bookings are down 54% year-on-year
Ubisoft reported a 54% year-on-year decrease in net bookings, despite exceeding Q4 guidance. CEO Yves Guillemot described the past fiscal year as one of "decisive action" and "ambitious transformation," involving restructuring, cost-cutting, and project cancellations. The company anticipates FY2026-27 to be a low point for free cash flow, with a focus on key titles like Rainbow Six Siege and Assassin's Creed Black Flag Resynced, aiming for positive free cash flow by FY2027-28.
