Ubisoft and Tencent Partner in €4B Gaming Venture

Ubisoft is forming a new subsidiary for its major game franchises—Assassin's Creed, Far Cry, and Tom Clancy's Rainbow Six—with a €1.16 billion ($1.25 billion) investment from Tencent, who will hold a 25% stake. The new entity is valued at €4 billion ($4.3 billion) and will include development teams from Ubisoft's studios in locations like Montreal, Quebec, and Barcelona. This move is seen as a strategic effort to stabilize Ubisoft's finances, following financial struggles and underperforming assets. Despite Tencent's significant investment, Ubisoft will retain majority control over the new subsidiary, which aims to enhance solo narrative experiences and expand multiplayer offerings. Ubisoft CEO Yves Guillemot emphasizes this partnership as a milestone and a foundation for long-term growth and success. The deal is expected to close by the end of the year, marking a significant shift in Ubisoft's operational model.