Back at the start of the month, it was reported that Xbox might have shown interest in acquiring one or more IP from Ubisoft, and speaking in an interview recently, former PlayStation boss Shawn Layden urged caution around this.
Layden was asked about Xbox buying Ubisoft rather than any specific IP, and he advised that although Microsoft might have a grand plan for whatever's ahead, the company also needs to be careful about how many studios it takes on.
Here's what he had to say in an interview with Destin on YouTube this week:
I look at the number [of studios] that are already under the umbrella at Microsoft...
Hey, if Microsoft feels like they can do something effective with it, good luck. But, I think there comes a time when it's just too big to manage.
Layden mentioned that he was only responsible for a maximum of 14 studios during his time with PlayStation, so he couldn't imagine how difficult it must be to juggle as many as Team Xbox does.
In an earlier segment, he also suggested that Xbox needs to focus primarily on its own studios and games rather than hardware in order to achieve success in the future.
The huge amount of development resource that they have - in my view, you have to focus your lens on that survivability, and that success metric, and how do we make those studios stronger than strong. And, if it fits whatever your hardware ambitions might still be, that's great, but not the other way around.
Of course, we don't know anything official yet about whether Xbox will be buying IP from Ubisoft, buying all of Ubisoft, or just leaving the company well alone! There's every chance that all of this will come to nothing.
It's interesting to think about though, and nothing really would surprise us at this point! Bethesda was a shock, Activision Blizzard was even more of a shock, and who knows what else might be in the pipeline over at Microsoft HQ.
What are your thoughts on this? Should Xbox buy Ubisoft? Tell us in the poll and comments below.
[source youtu.be]
Comments 24
Totally agree. Ubisoft is currently just under 20,000 devs
All Microsoft Game Studios, including Zeninmax/Bethesda and ABK is just under 20,000 devs.
If Microsoft purchased Ubisoft one of the first things would be massive job losses.
Agreed. MS should focus on what they have, they’re huge already. And like @themightyant said, all it will do is massive job cuts.
No one will buy ubisoft in their current state. I am predicting a sizable layoff for them soon.
I think acquisition is the least likely outcome for ubisoft at the moment.
I voted “No, stay away” before i read the “Maybe an ip or two” option. Acquiring a few ip’s would be fine, but fully acquiring them? I’m with Layden on this one, that would be a bad decision
A couple of IP wouldn't hurt, but we don't want Microsoft buying up all the big studios. It's been a couple of years since the ABK deal and while I appreciate new development takes time Microsoft have done very little else with it. Microsoft buying up studios then sitting on them isn't something new to the company.
I don't care much for Ubisoft these days, but we don't need to see another publisher end up in the same boat.
I dont care about acquisitions because MS does nothing with them. We even dont have full library of ABK games in GP after 1.5 yr after deal was closed.
At this point, I can only look forward to large acquisitions if the new parent company hires on enough employees to maintain (or expand upon) the franchises they're gaining. But that's not what's happening, companies are being acquired for one or two franchises while the rest — sometimes a dozen, or more — are effectively put into storage.
Just nab splinter cell, and the other tom clancy games. Maybe far cry too, but not all ip or the whole company. Ms and xbox have enough studios now.
I have to agree, which is why I think it'd be better if they just acquired the IPs. I'd love for them to snag AC and Prince of Persia.
@themightyant not only are they bloated, but the employees themselves are largely in countries with very strong employee protections. Microsoft (and Tencent) want none of that.
Apart from splinter cell and maybe rayman, i don’t really see an ip that is worth it for Microsoft.
The franchises will bite each other too much.
Ubisoft should just downsize and fours on the few IP’s they have that can make money if made well. Sure people will loose their jobs, but some of them will be picked up at other places. New studios open all the time. But Ubisoft don’t need to be this big when most of their titles just aren’t major performers. Plus once GTA 6 and other titles come out, gamers will be on GTA, COD, FIFA MADDEN and all the other games that month in month out domaint the sales charts. Ubisoft don’t have one of those games. Keep a hand full of IP, focus on making them good and launch them in open windows when other big games aren’t coming out would be my plan of building it back.
I just want Ubisoft to give in and put all their catalog on Gamepass… it would mean my one person boycott worked and it really is the most sensible idea…
Don't buy Ubisoft! They have a corporate ethos that will prevent them from making any meaningful changes and will keep doing what they are doing right now.
Instead, buy Prince of Persia and Beyond Good and Evil!! Leave the rest behind.
Before any buyout, there will be huge levels of redundancy- maybe up to 10,000 or the almost 20,000 staff before the company would be "sellable" to someone like MS or Tencent.
MS: Hold my beer!
I expect if MS bought Ubi they would make it less big to manage within 6-12 months.
If Xbox plan is game pass then no they need more ip to add … Ubisoft ip is strong
1. If PlayStation are saying it's bad, then it is probably good.
2. As part of the ABK deal, Xbox sold streaming rights to Ubisoft. Acquiring them removed that restriction.
3. Ubisoft is obviously to big to exist in it's current state, so layoffs are going to happen with or without a buyout. In fact most likely more without. Companies are buying the IP, not the people.
I say go for it.
@Astig Where did "PlayStation" say what?
And what does "go for it" mean? Does Ubisoft want to be acquired by MS?
Lol shawn who nearly destroyed playstation lets believe anything this wally says not
Lets all cheer on corporate consolidation and then moan about the state of the games industry next time we see a post saying another 5,000 people have been laid off.
No this is a terrible idea, MS have more than enough to focus on without needing more.
@themightyant
Whoever purchases Ubisoft or IPs from Ubisoft there are going to be job losses. Downsizing will either happen before or after they are taken over/divided up. That is the reality of the situation.
I also disagree with the comment from Shawn Layden. Size does not define whether companies are too big to manage. Apple, MS, Google, Amazon, and Tencent are massive companies. Personally, I don't like large companies because they can control the market, but in technology this is a norm as a industry part becomes more mature. And gaming whether gamers like it or not is becoming a more mature industry.
Gone are the days of extreme graphical leaps and new genres of games appearing because of new technology advances. We are in the days of maturing tools and incremental technology change. Until the holodeck becomes a reality, gaming is going to stay very similar to what it is today.
@NeoRatt That isn't quite what he's saying though. It's their size AND their worldwide structure AND current market conditions that makes them difficult to manage and a poor buy... unless you are just trying to siphon up IP for a cut price Embracer style and don't care about the staff.
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