Ubisoft has canceled the remake of Prince of Persia: The Sands of Time and announced a restructuring.

The French video game publisher is creating five autonomous "Creative Houses" and canceling several projects.

After weeks of rumors about studio closures and layoffs, Ubisoft has officially announced a major restructuring. Instead of its current centralized structure, the studio will split into five autonomous divisions—"Creative Houses"—each specializing in a specific game genre.

Cancellation of Long-Awaited Projects

As part of the restructuring, six projects have been completely canceled, including the highly anticipated remake of the cult classic game Prince of Persia: The Sands of Time, which was announced back in 2020 and had been delayed multiple times. The fate of the other canceled games has not yet been disclosed.

Ubisoft's leadership stated that the reorganization aims to accelerate development and increase the studio's financial accountability, but its impact on the future game portfolio remains uncertain.

Impact on Staff and Studios

During a teleconference, company representatives declined to specify the exact number of layoffs among its approximately 17,000 employees. Further details about workforce reductions are scheduled to be announced on February 12, 2026, alongside the quarterly financial report. It is already known that Ubisoft studios in Halifax (Canada) and Stockholm (Sweden) will be closed.

Reasons for Restructuring

The company has faced delays in key projects, a declining stock price, and increasing competition in the video game market. Splitting into "Creative Houses" will allow each team to focus on its genre, reduce bureaucracy, and create a more flexible project management system.

At the same time, it remains an open question how this structure will affect future games and the preservation of Ubisoft's recognizable franchises.