Ubisoft Spins Out New Gaming Subsidiary, Tencent Invests $1.16 Billion

Ubisoft, the renowned French video game company, has announced a strategic move to enhance its focus on core franchises by spinning out a new gaming subsidiary. This new entity will concentrate on developing and expanding three of Ubisoft's top game series: Assassin's Creed, Far Cry, and Tom Clancy's Rainbow Six. The announcement marks a significant restructuring aimed at streamlining operations and boosting innovation within these key areas.

Tencent, the Chinese tech giant, has agreed to invest $1.16 billion in the newly formed subsidiary, securing a substantial stake in the venture. This investment not only underscores Tencent's confidence in Ubisoft's future but also strengthens its foothold in the global gaming industry. The partnership is expected to facilitate greater resource sharing and technological collaboration between the two companies.

The restructuring and investment come at a time when the gaming industry faces intense competition and rapid technological advancements. Ubisoft's decision to carve out these franchises into a separate entity is seen as a strategic move to better cater to the evolving demands of gamers and to leverage the expertise and resources of Tencent.

• Assassin's Creed
• Far Cry
• Tencent
• Ubisoft