Ubisoft Entertainment SA, a leading video game developer, is facing a series of challenges following the disappointing performance of its highly anticipated open-world title, Star Wars Outlaws. Despite receiving a respectable Metacritic score of 76 and generally positive user reviews, the game’s sales fell short of expectations, causing a strategic shift for the company. This underperformance was revealed in a recent financial update, which also announced the delay of Assassin’s Creed Shadows and a significant change in Ubisoft’s release strategy for both games.
Ubisoft admitted that Star Wars Outlaws, released on August 26th, faced a rocky launch, negatively impacting the company’s stock price. The share value dropped to a near 10-year low, with one frustrated investor even suggesting that Ubisoft go private to regain control. In response to the feedback, Ubisoft’s development teams have been working diligently to implement updates aimed at improving the player experience. With the holiday season approaching, Ubisoft is aiming for a long-term revival of Star Wars Outlaws, starting with a Steam release on November 21st.
Adding to Ubisoft’s challenges, Assassin’s Creed Shadows, a major title in the company’s flagship franchise, has been delayed until February 14th, 2025. The delay places the game in direct competition with Sony Group Corp.’s upcoming Ghost of Yotei, a sequel to Ghost of Tsushima. The decision to postpone the release is intended to allow the development team to further polish the game and apply lessons learned from the Star Wars Outlaws launch. Ubisoft CEO Yves Guillemot reassured investors and fans, emphasizing the company’s commitment to delivering a refined experience with Shadows.
In a significant shift from its previous release strategy, Ubisoft confirmed that both Star Wars Outlaws and Assassin’s Creed Shadows will debut on Steam. This move follows the broader trend of major publishers returning to the platform after previously focusing on exclusivity deals with the Epic Games Store or their own platforms. Ubisoft hopes this will boost sales, particularly as Steam continues to break user records, recently surpassing 38 million concurrent players. Ubisoft’s decision to embrace Steam could also signal a broader industry acknowledgment of the platform’s dominance. The company is likely hoping to replicate the success seen by other developers, including Microsoft Corp.’s Blizzard, which brought Diablo 4 to Steam after a period of exclusivity on Battle.net.
Adding to Ubisoft’s troubles, the company is facing a strike organized by Le Syndicat des Travailleurs et Travailleuses du Jeu Vidéo (STJV), the French video game workers union. The strike, planned for October 15th to 17th, follows a return-to-office mandate requiring employees to work three days a week in the office. The union argues that this decision was made without any consultation with worker representatives and will have a significant impact on employees, potentially leading to job losses and increased psychosocial risks.
This series of setbacks highlights the challenges faced by Ubisoft as it navigates the evolving landscape of the video game industry. The company’s future success will depend on its ability to address the concerns of its players, employees, and investors. With the upcoming release of Star Wars Outlaws on Steam and the planned release of Assassin’s Creed Shadows in 2025, Ubisoft is aiming to regain momentum and deliver the high-quality gaming experiences that have made it a leading force in the industry.
