Ubisoft Plans 55 Layoffs at Massive Entertainment, the Developer of Avatar: Frontiers of Pandora

Avatar: Frontiers of Pandora Developer Massive Entertainment Facing Layoffs

Ubisoft’s recent string of workforce reductions shows no signs of slowing down. Just one week after the publisher shuttered its Halifax studio—a move that eliminated 71 jobs a mere 48 hours after employees unionized—the company has set its sights on its Swedish operations. Ubisoft has announced a proposal to lay off approximately 55 employees across Massive Entertainment and Ubisoft Stockholm.

According to a statement shared with IGN, this latest restructuring is the result of a “finalized long-term roadmap” and follows a voluntary exit program initiated in late 2025. While the specific timeline for these departures remains vague, Ubisoft maintains that the “long-term direction for the studios remains unchanged.” Crucially, the company suggests that major ongoing projects, including the development of The Division 3, will proceed without interruption.

Ubisoft’s official statement regarding the situation reads:

“Earlier today, we informed all employees in our Swedish studios (Massive Entertainment and Ubisoft Stockholm) about a proposed organizational restructure that may affect approximately 55 roles across Malmö and Stockholm. This restructure follows the completion of the Voluntary Leave Program launched during the fall of 2025, a finalized long-term roadmap, and a completed staffing and appointment process, which together have provided clearer visibility into the structure and capacity required to support the two studios’ work and sustainability over time.”

“These proposed changes are forward-looking and structural; they are not related to individual performance, recent deliveries, or the quality of the work produced by the teams. The long-term direction for the studios remains unchanged, and we will continue to serve as the global home and lead for The Division franchise, move forward with an unannounced innovative tech project with a refined team setup, and play a central role in the development of Snowdrop and Ubisoft Connect.”

This news comes after a voluntary leave initiative at Massive that began last October. The program was designed to let staff members depart on their own terms ahead of potential cuts. The fact that involuntary layoffs are now being proposed suggests that the initial program did not meet Ubisoft’s targets for personnel reduction.

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Massive Entertainment has been one of Ubisoft’s most productive assets in recent years, spearheading the release of Avatar: Frontiers of Pandora in late 2023 and Star Wars Outlaws in 2024. Beyond these major titles, the studio is heavily invested in the future of the Division ecosystem, currently juggling The Division 2: Survivors, the mobile-focused The Division Resurgence, and the highly anticipated The Division 3.

These cuts reflect a broader trend of “efficiency” measures at Ubisoft. Last year, the company proposed similar reductions at RedLynx, the studio behind the Trials series. Additionally, Ubisoft recently established a new subsidiary in collaboration with Tencent to oversee its cornerstone franchises, including Assassin’s Creed and Far Cry.

[Source: IGN]

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