Massive Entertainment lays off employees – Ubisoft calls it a ‘voluntary career transition’

Today, Massive Entertainment announced a program titled “voluntary career transition” – effectively a layoff initiative. Many of Ubisoft’s recent titles have failed to perform well in the past few years, prompting the company to cut costs.

The focus is on Massive Entertainment, the studio behind Star Wars Outlaws and The Division. What exactly is behind this move, and what could it mean for the studio and its games? Let’s take a closer look.

Background & Causes

Massive Entertainment is a Swedish Ubisoft studio best known for the “The Division 2” series. Its latest major release was Star Wars Outlaws, which fell short of expectations. Recently, the gaming industry has been under heavy pressure: development costs are skyrocketing due to expensive personnel, while AAA expectations remain extremely high.

Ubisoft aims to improve efficiency and focus on resource and technology optimization—for instance, its in-house engine and Ubisoft Connect. The company announced that employees will be offered the chance to “take the next career step on their own terms.” Those who leave will receive a financial and career support package. The exact number of affected employees has not been disclosed. Within the community discussions, this move has been criticized as “soft layoffs.”

Massive Entertainment layoffs

Impact

For employees, this brings significant uncertainty. They can voluntarily separate from the team, but it remains unclear how many will actually leave. The staff reduction could affect capacity, morale, and upcoming projects. However, Ubisoft quickly emphasized that the The Division franchise, including “The Division 3,” is not in danger. Still, with fewer developers, timelines could slip, and quality or scope may be negatively impacted.

Analysis & Interpretation

This move by Ubisoft could be preventive rather than reactive. The company appears to be restructuring before larger losses occur or forced layoffs become necessary. Although the program is described as “voluntary,” there is still pressure on staff. The term “soft layoffs” reflects how the move is carefully worded but ultimately represents structural downsizing.

Several risks now loom for the studio: talent loss, loss of know-how, a weakened internal culture, and a negative reputation as an unstable employer. On the other hand, smaller teams can often be more efficient, allowing for better focus and potentially higher-quality results.

Massive Entertainment layoffs

Conclusion

Ubisoft’s decision to introduce a “voluntary career transition program” at Massive Entertainment is a clear sign of shifting priorities within AAA development. Despite the softened terminology, it’s essentially a round of layoffs—and it comes at a delicate moment after the underperformance of Star Wars Outlaws.

For Massive Entertainment, this presents both a chance for a fresh start with leaner operations and the risk of losing key talent. How well Ubisoft balances cost efficiency with creative stability will become evident in the coming months—especially as The Division 3 remains in development. Ultimately, this step is less a sign of crisis and more an attempt to preempt the growing financial pressures of the industry—though the price could be high if motivation and innovation suffer.


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