Red Storm Entertainment Suffers 105 Layoffs, Turned Into Support Studio – Rumor

Ubisoft reportedly announced this recently, with the former Rainbow Six studio remaining open to provide support for Snowdrop and global IT.

Posted By | On 19th, Mar. 2026

The Division Heartland

Red Storm Entertainment, founded nearly 30 years ago and known for the Rainbow Six series, is no longer a game development studio. VGC reports 105 layoffs, with its game development essentially made redundant.

It’s apparently not fully shut down and will instead serve as a support studio for the Snowdrop Engine and “global IT.” Nevertheless, it’s the end of an era, given the studio’s rich history of tactical shooters. Acquired by Ubisoft in 2000, it would also work on the Ghost Recon series, including Advanced Warfighter and Future Soldier.

However, its output slowed significantly over the past decade, as it delivered VR titles like Star Trek: Bridge Crew and Assassin’s Creed Nexus VR. Two of its major projects – a VR Splinter Cell game and Tom Clancy’s The Division Heartland – were cancelled after significant development time, and it didn’t help that projects it provided support on, like XDefiant, were subsequently shut down.

While Ubisoft didn’t provide a reason for effectively axing its game development team, the move is likely part of its wider reshuffle announced earlier this year. Not only did it result in teams splitting into Creative Houses with new leadership, but it also led to the cancellation of projects like Prince of Persia: The Sands of Time Remake.


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