Ubisoft CEO Responds to Employee Concerns

Ubisoft CEO Yves Guillemot recently responded to employee concerns about the company’s future in an internal memo that was subsequently leaked. These concerns had been gathered through the company’s latest annual employee survey.

The gaming giant has faced a difficult period in recent years, with several high-profile titles underperforming. The situation worsened in 2024, as games like Prince of Persia: The Lost Crown, Skull and Bones, and Star Wars Outlaws all fell short of sales expectations. Additionally, XDefiant, a free-to-play military shooter launched in May 2024, also failed to gain traction. The poor performance of XDefiant led to a decision to shut down the game by June 2025, which will also result in the closure of Ubisoft’s San Francisco and Osaka studios, with roughly half of their employees expected to be laid off.

Following the announcement of the XDefiant shutdown, Guillemot sent a memo to staff, which Insider Gaming later leaked. In it, he acknowledged widespread concerns about the company’s future, referencing the annual employee experience survey, which had an 86% response rate and over 55,000 comments. With a current workforce of approximately 21,000 employees, this equates to an average of 2.6 comments per employee.

Guillemot assured employees that his primary focus is on steering Ubisoft through these challenging times. He emphasized that both he and his leadership team are working tirelessly to identify solutions that will help the company maintain control of its future. He also revealed that Ubisoft would soon implement several initiatives aimed at addressing employee concerns. These measures will focus on streamlining game development and fostering a stronger emphasis on creativity, goals the company had already begun exploring through an internal review launched in September 2024.

In his memo, Guillemot described the decision to terminate XDefiant and close its associated studios as “difficult.” He admitted that despite the team’s intense efforts, Ubisoft’s attempts to compete with Call of Duty fell short. He also expressed gratitude to everyone who contributed to the project.

Ubisoft’s immediate recovery efforts now hinge on the success of Assassin’s Creed Shadows, which has been delayed and is now slated for release on February 14. The last major installment in the series, Assassin’s Creed Valhalla, generated over $1 billion in revenue, a milestone no Ubisoft title has reached since. However, Guillemot acknowledged that Valhalla benefited from the pandemic, which boosted the gaming industry overall. Replicating that success, even with a high-quality game, could be a daunting challenge for Assassin’s Creed Shadows.

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