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Ubisoft is continuing its efforts to course-correct after several challenging years. Today, the video game company announced that it will launch a subsidiary centered around three of its most familiar franchises: Assassin's Creed, Far Cry and Tom Clancy's Rainbow Six. The as-yet-unnamed subsidiary will fold in the teams working on those three series, including Ubisoft studios in Montréal, Quebec, Sherbrooke, Saguenay, Barcelona and Sofia.
This new business will receive an investment of €1.16 billion (roughly $1.25 billion) from its longstanding partner Tencent, granting the conglomerate a minority ownership stake. Following the transaction, Ubisoft will narrow focus to its other franchises, such as The Division and Tom Clancy's Ghost Recon.
"Today Ubisoft is opening a new chapter in its history," CEO and Co-Founder Yves Guillemot said. "As we accelerate the company’s transformation, this is a foundational step in changing Ubisoft’s operating model that will enable us to be both agile and ambitious."
Ubisoft has been cutting costs and jobs over the past several months after several of its new projects flopped. There have been hints for a while that the company's leaders were interested in either finding a buyer or exploring a joint venture with Tencent to help reverse its fortunes. It's encouraging that the recent Assassin's Creed: Shadows has already reached 3 million players, but Ubisoft will probably need a few more wins to fully stabilize.
There is some extra good news in the announcement. The description of the new subsidiary does specify that "it will drive further increases in quality of narrative solo experiences." So while we can expect to also see multiplayer and free-to-play offerings from the Ubisoft umbrella, they aren't giving up on single-player games.
This article originally appeared on Engadget at https://www.engadget.com/gaming/ubi...nvestment-from-tencent-183516992.html?src=rss
This new business will receive an investment of €1.16 billion (roughly $1.25 billion) from its longstanding partner Tencent, granting the conglomerate a minority ownership stake. Following the transaction, Ubisoft will narrow focus to its other franchises, such as The Division and Tom Clancy's Ghost Recon.
"Today Ubisoft is opening a new chapter in its history," CEO and Co-Founder Yves Guillemot said. "As we accelerate the company’s transformation, this is a foundational step in changing Ubisoft’s operating model that will enable us to be both agile and ambitious."
Ubisoft has been cutting costs and jobs over the past several months after several of its new projects flopped. There have been hints for a while that the company's leaders were interested in either finding a buyer or exploring a joint venture with Tencent to help reverse its fortunes. It's encouraging that the recent Assassin's Creed: Shadows has already reached 3 million players, but Ubisoft will probably need a few more wins to fully stabilize.
There is some extra good news in the announcement. The description of the new subsidiary does specify that "it will drive further increases in quality of narrative solo experiences." So while we can expect to also see multiplayer and free-to-play offerings from the Ubisoft umbrella, they aren't giving up on single-player games.
This article originally appeared on Engadget at https://www.engadget.com/gaming/ubi...nvestment-from-tencent-183516992.html?src=rss
