A video game giant also present in Romania announces that it will close two studios and abandon the development of six titles
A Ubisoft headquarters (photo Michel Bussieres, Dreamstime.com)
The French company Ubisoft, present with development studios in Romania as well, has announced an extensive restructuring plan, it will close two studios and abandon the development of six titles that were in the works.
Ubisoft shares fell 30% after the announcements. Ubisoft has over 1,000 employees in Romania, where it has been present for more than 30 years, in Bucharest (since 1992) and Craiova (a much smaller studio, opened in 2008).
The company said, quoted by CNBC, that it will close the studios in Halifax (Canada) and in Stockholm, and there will be restructuring in Abu Dhabi, Helsinki and Malmo, writes CNBC.
The group has had financial problems for several years, sales have fallen, and the market value has also decreased (by 40% in a single year). The publication Le Figaro writes that Ubisoft will make an extensive reorganization of its operations and apply a decentralization, going to operate in the form of five divisions (so-called creative houses) specialized in various genres of games.
The company will drop all development on six titles, and another seven games will be ready later than expected.
The cancellation of these games, as well as the extension of development deadlines for seven others and the postponement of some partnerships, lead to a depreciation of assets by 650 million euros, and for the current fiscal year an operating loss is expected of one billion euros.
Photo source: Dreamstime.com
