**Red Storm Entertainment Refocuses as Ubisoft Lays Off More Than 100 Developers**
Red Storm Entertainment, the renowned game studio established by author Tom Clancy in the 1990s, is experiencing a major shift as Ubisoft realigns its activities. Recognized for its creation of the famed *Rainbow Six* and *Ghost Recon* franchises, Red Storm will halt game development to concentrate on IT and engine support. This choice has led to the dismissal of 105 employees, signifying a crucial juncture in the studio’s timeline.
On March 19, 2023, sources from *Video Games Chronicle* disclosed that Ubisoft had internally communicated the redundancy of all game developers at its studio located in North Carolina. With this change in focus, Red Storm Entertainment will now offer IT and support for the Snowdrop engine, which is employed by Ubisoft studios globally. This tactical decision corresponds with Ubisoft’s wider cost-cutting measures and reflects ongoing transformations within the company.
Reports from *Kotaku* validated the layoffs and suggested that the impacted employees would be provided with severance and career transition support. Despite the workforce reduction and the shutdown of Red Storm’s game development division, Ubisoft continues to be devoted to generating more games under the Tom Clancy brand at its other studios.
### Ongoing Restructuring at Ubisoft
This change at Red Storm is part of a larger strategy by Ubisoft after a $1.25 billion bailout from Tencent in 2025. The agreement resulted in a reorganization of Ubisoft’s studios and franchises, leading to the cancellation of numerous projects and the layoff of many developers. Ubisoft has been under increasing pressure to enhance its financial results, prompting these significant alterations in its operational framework.
Founded in 1996, Red Storm Entertainment made a significant impact on the gaming world by creating games inspired by Clancy’s novels, including the pioneering *Ghost Recon* and *Rainbow Six*. In 2000, Ubisoft acquired Red Storm, further extending the Tom Clancy franchise to encompass games based on other literary properties. The studio’s last major release was *Ghost Recon: Future Soldier* in 2012.
In more recent years, Red Storm has largely concentrated on virtual reality (VR) games, releasing titles such as *Werewolves Within* and *Assassin’s Creed Nexus VR*. However, the studio was also developing several Tom Clancy-related projects, including a VR adaptation of *Splinter Cell* and *The Division Heartland*, both of which were ultimately shelved. *Heartland*, which was meant to be an extraction shooter set in the Midwest, was unveiled in 2021 but was put on hold in 2024. The *Splinter Cell* VR project was also announced for Meta devices in 2020 but experienced a similar outcome in 2022.
### Conclusion
The shutdown of Red Storm Entertainment’s game development division signifies a notable chapter in the heritage of a studio that has played a role in creating some of the most acclaimed titles in gaming history. As Ubisoft shifts the studio’s focus toward IT and engine support, it poses questions about the future of the Tom Clancy brand and the trajectory of Ubisoft’s gaming initiatives. With ongoing financial challenges and a changing gaming environment, the company’s strategic choices will be vital in determining its identity in the years ahead.
