Ubisoft hits Massive Entertainment with layoffs despite The Division 3 plans

Massive Entertainment, the studio behind The Division and Avatar: Frontiers of Pandora, is undergoing a restructuring that puts dozens of roles at risk. According to a report by Video Games Chronicle, Ubisoft has announced proposed changes that could result in 55 employees losing their jobs across its Malmö and Stockholm studios.

This news comes as the studio finalises a long-term roadmap intended to clarify its capacity and structure. While The Division 3 remains a priority, the restructuring highlights the ongoing volatility in game development, mirroring the recent studio closures seen elsewhere in the industry.

Massive Entertainment Restructuring: What's Happening?

The proposed Ubisoft Massive layoffs affect 55 roles and follow a voluntary leave programme that the studio launched last year. Ubisoft describes these job cuts as a necessary step to support the studio's work sustainably over time. In an email to staff, the publisher emphasised that these changes are "structural" and "not related to individual performance".

The restructuring targets Massive's operations in Sweden, specifically the Malmö and Stockholm locations. Ubisoft stated that impacted employees are being informed directly and will be supported in line with local regulations.

Future focus: The Division and Snowdrop

Despite the reduction in staff, Massive Entertainment's core projects remain active. The studio's primary focus going forward includes:

• The Division Franchise: Leading development on The Division 3 and continuing support for The Division 2.
• Technology: Continued development of the Snowdrop engine and Ubisoft Connect services.
• New Projects: An unannounced "innovative tech project" with a refined team setup.

The Division 3, which was announced in 2023, is still in development. Executive Producer Julian Gerighty has previously claimed the sequel will have a significant impact on the franchise, comparable to the first game. There is currently no release date or confirmed pricing for the title.

Broader changes at Ubisoft

This restructuring occurs amidst wider changes for the publisher. Late last year, Ubisoft opened Vantage Studios, a subsidiary part-owned by Tencent, to oversee major franchises like Rainbow Six and Assassin's Creed. While Tencent holds a 25% stake in Vantage, creative decisions remain with the studio's co-CEOs.

Ubisoft claims these shifts are part of a move towards a less centralised operating model, theoretically giving creative teams more ownership over their brands. However, for the 55 employees at Massive, this corporate pivot comes at a high cost.

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