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Ubisoft Entertainment is reeling from internal chaos as employees brace for a fresh round of layoffs and react furiously to the abrupt firing of a 13-year veteran developer who publicly challenged the company’s return-to-office mandate. David Michaud-Cromp, a lead level designer at Ubisoft Montreal who contributed to multiple Assassin’s Creed titles, was terminated effective immediately on February 2, just days after a three-day unpaid suspension for his LinkedIn criticisms. The incident has amplified widespread discontent, with staff flooding internal channels with rebukes of management, planning strikes, and voicing “anger and despair” following a recent town hall that failed to quell fears.
Michaud-Cromp’s saga began on January 23, when he posted on LinkedIn questioning Ubisoft’s shift to a mandatory five-day in-office policy, announced alongside a sweeping January 21 “reset.” “So… Ubisoft wanna bring back 5 days in the office… because they ‘believe in collaboration’… but c’mon, we’re not completely stupid… we very well know why you want to go back to 5 days in the office,” he wrote, linking a video suggesting motives tied to real estate values and oversight rather than productivity. By January 27, he revealed a three-day unpaid suspension, citing a “breach of the duty of loyalty.” On February 2, he announced his termination: “Today, I was terminated by Ubisoft, effective immediately. This was not my decision. I won’t be discussing internal details or circumstances.”
A Ubisoft spokesperson defended the actions: “Sharing feedback or opinions respectfully does not lead to a dismissal. We have a clear Code of Conduct that outlines our shared expectations for working together safely and respectfully, which employees review and sign each year. When that is breached, our established procedures apply, including an escalation of measures depending on the nature, severity, and repetition of the breach.” Michaud-Cromp, in comments to outlets, stressed he wasn’t opposed to in-person work but advocated for thoughtful implementation amid rising costs and talent retention risks in game development.
The firing coincides with Ubisoft’s dire restructuring, unveiled January 21: Six games axed—including the Prince of Persia: The Sands of Time remake—seven delayed, studios in Halifax and Stockholm shuttered, and operations restructured at Abu Dhabi, RedLynx, and Massive Entertainment. Fiscal year 2026 guidance slashed net bookings to €1.5 billion (down 20%), projecting a €1 billion operating loss from writedowns. Cost savings target €500 million since FY23, with fixed costs dropping to €1.25 billion run-rate by March 2028. Shares plunged 33-39% post-announcement, trading near €4 and a sub-€1 billion market cap.
Layoffs have accelerated: 55 roles cut at Massive (The Division) and Stockholm in January; up to 200 voluntary exits proposed at Paris HQ. More are imminent, with Q3 sales due February 12 potentially triggering further reductions. Headcount, at 17,097 in September 2025, is set to shrink significantly by March 2026. Insiders predict a “bloodbath,” with talent exodus already underway.
Layoff/Restructuring Event
Date
Impact
Details
Massive/Stockholm Cuts
Jan 2026
55 jobs
The Division devs hit amid cost savings
Paris HQ Voluntary Exits
Jan 2026
Up to 200
18% of staff; union pushback
Studio Closures
Jan 21, 2026
Halifax, Stockholm
Mobile, other projects ended
Impending Wave
Mid-Feb 2026 (post-Q3)
2,000+ speculated
Restructuring continuation
Total Since FY23
Ongoing
€500M savings
Fixed costs slashed
A February 4 town hall with CEO Yves Guillemot, CFO Frederik Duguet, and others drew over 300 questions but dodged specifics on layoffs and RTO flexibility. Executives touted in-office benefits for “efficiency and innovation,” rejecting a four-day week. Employees called it an “expert class in dodging,” with morale in freefall: “anger and despair” prevalent. Internal Slack channels overflow with management shaming, per leaker Tom Henderson. Paris staff eye strikes during Guillemot’s visit; unions demand his resignation.
Social media erupts: X users decry “silencing dissent,” with @Pirat_Nation noting “the company is rotting from the inside.” YouTube creators amplify strike buzz, questioning leverage amid flops like Star Wars Outlaws and Assassin’s Creed Shadows (4M units vs. Valhalla’s 25M). Reddit threads and LinkedIn pile on, tying woes to “mismanagement” and GaaS pivots.
Ubisoft maintains the reset positions it for FY27 growth via five “Creative Houses” (e.g., Vantage for Assassin’s Creed). Tencent’s €1.16B stake stabilizes debt at €150-250M, with cash at €1.25-1.35B. Yet analysts warn of “value trap” risks if pipeline falters. Guillemot family control persists, with buyout options eyed for 2028.
Michaud-Cromp’s exit—after credits on AC Unity to Shadows—symbolizes tensions. As one anonymous dev lamented: Employees face relocations or quits, eroding expertise. With Q3 looming, Ubisoft’s survival hinges on hits, not edicts. In gaming’s cutthroat arena, revolt brews—will it force change, or accelerate collapse?
