Ubisoft Considers Tencent Acquisition After Challenging 2024
Solomon Thompson / 2 days ago
Ubisoft is still struggling after a difficult 2024, a year marked by the closure of certain services and the removal of games, including single-player titles, due to poor public participation and low sales. These ongoing issues have prompted Ubisoft to consider selling a portion of the company to the Chinese gaming giant, Tencent.
A Potential Sale of Shares to Tencent
The sale would involve Ubisoft founder Yves Guillemot’s family selling a portion of their shares, which would grant Tencent a stake in the company’s board of directors. According to Reuters, the Guillemot family intends to maintain control of Ubisoft, holding onto a stake that would allow them to share power with Tencent. Currently, Tencent holds a 10% stake in Ubisoft but is reportedly seeking a more substantial role in the company, hoping for a deal that would give it greater influence.
Struggling Titles and Workforce Cuts
Ubisoft’s struggles have been evident in the commercial failure of Prince of Persia: The Lost Crown, which was abruptly shut down due to poor sales, leading to layoffs. Similarly, its FPS title XDefiant also underperformed, resulting in its closure and the dismissal of 250 developers. With Tencent potentially offering additional support, Ubisoft might find a path to recovery in 2025, aiming to return to the success of its past iconic titles.
