Ubisoft surprised everyone with the restructuring announcement on Wednesday, which meant the company is canceling multiple games, including the "Prince of Persia" project, and closing studios.
Despite the publisher's forward-looking ambitions, the market reacted negatively, sending shares tumbling.
Stock Drops Amid Investor Concerns
Ubisoft's stock fell 34% Thursday morning, according to CNBC, marking a nearly 40% decline overall. Investors are worried about the company's ability to sustain its flagship franchises and recover from repeated setbacks.
The dramatic drop reflects uncertainty over Ubisoft's financial stability and long-term strategy.
Struggles With Big-Budget Franchises
The publisher has faced mounting challenges in recent years. High-profile series like "Assassin's Creed" require massive budgets and long development timelines, while some titles have struggled to meet sales expectations.
Studio closures in Halifax and Stockholm, along with multiple project cancellations, have intensified concerns about operational efficiency and the company's ability to deliver quality titles.
'Prince of Persia' Remake Cancelation Draws Attention
Among the canceled projects, the "Prince of Persia: Sands of Time" remake attracted the most attention. First announced in 2020 with a planned 2021 release, the project remained silent for years before being officially canceled in 2026. Industry analysts view this as emblematic of broader challenges in big-budget game development.
As for some "PoP" fans, what Ubisoft did was fine. Here's what some of them said on Reddit.
"They scrapped it and started the development from scratch. The 1st one was made by a studio from India and was awful. The 2nd one was being developed by an experienced studio from Canada or France... can't remember exactly now," one Redditor wrote.
Others think that it's a bad time to be associated with the gaming companies.
"Yeah, it's a tricky time to be part of many of the industry giants, it seems. I wouldn't want to be working for Activision, Ubisoft, or Microsoft these days. Although despite that, it's probably the best realistic opportunity for many devs," another fan commented.
Ubisoft plans to lean on AI-driven development for future projects, but its immediate focus must be on stabilizing operations and regaining investor confidence.
Employees affected by studio closures and canceled projects will be seeking new opportunities, while gamers and investors will watch closely to see if Ubisoft can regain momentum.
Originally published on Player One
