Ubisoft Toronto has laid off 40 employees as part of a wider cost-cutting initiative across the company, but development on the Splinter Cell remake is still ongoing.

The cuts were first reported by Canadian outlet MobileSyrup. The publisher says the reductions are part of a broader restructuring plan that has already seen studio closures and project cancellations across its global operations.

Ubisoft Toronto Layoffs Confirmed As Part Of Global Restructuring

Ubisoft described the decision as difficult and emphasised that it does not reflect the performance or dedication of the affected staff.

“This decision was not taken lightly and does not in any way reflect the talent, dedication, or contributions of the individuals affected. Our priority now is to support them through this transition with comprehensive severance packages and robust career placement assistance,” the company said.

The layoffs impact 40 roles at Ubisoft Toronto, which employs roughly 500 people, making it one of Ubisoft’s largest development studios.

MobileSyrup also shared details from an internal email sent to employees, which stated that the studio will remain “a key contributor to several co-development mandates and service teams.” That includes its Alice x Junction venture with Ubisoft Montreal, a collaboration focused on in-house performance capture for cinematics across various Ubisoft projects.

Splinter Cell Remake Development Continues

For fans concerned about the future of the Splinter Cell remake, Ubisoft has confirmed that the project remains in development.

The remake of the original Tom Clancy’s Splinter Cell was first announced in December 2021. So far, no gameplay footage has been publicly shown, which has led to ongoing questions about its progress.

Ubisoft Toronto is also continuing its support work on other projects, including collaboration on Rainbow Six Siege with lead developer Ubisoft Montreal.

The studio previously led development on Splinter Cell: Blacklist in 2013 and has helmed major releases such as Watch Dogs: Legion in 2020 and Far Cry 6 in 2021. It also spearheaded the narrative work on 2024’s Star Wars Outlaws, further underlining its importance within Ubisoft’s global network.

Wider Ubisoft Closures And Cancellations

The Ubisoft Toronto layoffs come amid a broader restructuring effort announced last month.

As part of its cost-saving measures, Ubisoft has closed several studios, including Ubisoft Halifax and Ubisoft Stockholm. The company also cancelled multiple projects, including the Prince of Persia: The Sands of Time remake and three unannounced new IPs.

These changes follow a turbulent few years for the publisher, which, like many companies in the industry, expanded aggressively during the COVID-era gaming boom. Ubisoft also made a significant push into live service titles such as XDefiant, a strategy that did not deliver the long-term results the company had hoped for.

Ongoing Industry-Wide Layoffs

Ubisoft is far from alone. The games industry has seen sustained layoffs over the past two years as companies recalibrate after rapid pandemic-driven growth.

According to a recent Game Developers Conference survey cited by MobileSyrup, roughly one-third of gaming industry employees in the United States were laid off over the last two years.

For now, Ubisoft Toronto remains operational, continues its co-development work, and is still actively building the Splinter Cell remake. What remains unclear is when players will finally see gameplay from the long-awaited return of Sam Fisher.