Arc Raiders hits 12 million sales, a wild rebuttal from Bobby Kotick, and a deluge of layoffs - Patch Notes #36
'What a year, huh?' 'Captain, it's only January.' That is very much The Vibe two weeks into 2026.
The headlines over the past 16 days have been dominated by layoffs layoffs, and you guessed it, even more layoffs.
Meta and Playtika made significant cuts this week in pursuit of efficiency, AI streamlining, and all the other reasons you've heard a million times over. Elsewhere, a group of unionized Ubisoft workers who were made redundant at the beginning of the month continued to fight for their jobs over in Halifax, Canada—filing a labor complaint against the publisher in the process.
In other (rather notable) news, we finally know how the interim relief hearing between Rockstar and the union workers it fired last year shook out, and Bobby Kotick briefly invaded our collective consciousness by way of a legal filing in which he disputes all manner of allegations related to the sale of Activision Blizzard to Microsoft (and offers a few choice theories of his own).
Yes, dear reader, it's just another week in the wholesome world of video games. Let's have at it.
Former Activision CEO Bobby Kotick says lawsuit opposing Microsoft-Activision deal was secretly meant to help The Embracer Group (Embracer, "humbled," denies involvement)via Game File // Bobby Kotick has issued an extraordinary rebuttal to a lawsuit that alleges the former Activision Blizzard boss—once branded the "most hated man in video games" by Kotaku—rushed through the sale of the Call of Duty publisher to avoid dealing with sexual misconduct allegations. Responding to the ongoing lawsuit filed by Swedish pension fund AP-Fonden, Kotick and his legal team suggested the litigation is the brainchild of none other than Embracer Group, which he claims used the suit to "pave the way for Embracer to increase its foothold in the California market at the expense of Activision." This one is a must-read.
Fired Rockstar Employees in UK Lose Bid to Receive Interim Payvia Bloomberg // A host of former Rockstar employees who claim they were fired last year for engaging in trade union activity this week failed in their attempt to secure interim pay. The ruling was described as "disappointing" by union representatives, while Rockstar welcomed the decision. The legal battle is set to continue when the case heads to a full hearing later this year.
Union files labour board complaint over closure of Ubisoft's Halifax video game studiovia CBC Canada // CWA Canada has filed a labor complaint against Ubisoft in Nova Scotia over the publisher's recent decision to shutter its studio in Halifax—announced just weeks after workers at the studio voted to unionize. The Assassin's Creed maker indicated the shut down was the result on ongoing restructuring, but CWA Canada is now claiming the termination is "directly related to the unions recent certification."
'It had nothing to offer:' Halifax union lambasts Ubisoft after first talks following studio closurevia Game Developer // Sticking with Ubisoft Halifax for a second, union reps at the studio last week demanded Ubisoft present evidence to support its claim that the closure was solely a financial decision. They also called on the company to relocate impacted employees and provide more robust financial support. Yet, during the first meeting between the two parties this week, Ubisoft allegedly turning up to negotiations with "nothing to offer."
Arc Raiders sells 12 million copies in under three monthsvia Game Developer // Arc Raiders has shifted 12 million copies in around three months. It's a hefty milestone that appears to have caught developer Embark by surprise thanks to a bumper holiday sales period.
Ubisoft Layoffs Continue With 55 Staff at The Division Studio Massive and Ubisoft Stockholm Now Impactedvia IGN // Seemingly eager to continue its hot streak of layoffs, Ubisoft followed the closure at Halifax by proposing cuts at two of its Swedish studios: Massive Entertainment and Ubisoft Stockholm. In a statement to IGN, the company said it expects to make 55 people redundant across both locations. Later in the week, Ubisoft confirmed it quietly made cuts at Ubisoft Abu Dhabi in November 2025.
What Discord's potential IPO means for its business and the video game industryvia Game Developer // In the wake of recent reports that Discord has confidentially filed for an IPO, Nicole Carpenter reached out to a senior research analyst to better understand what going public could mean for the popular video game chat platform and the wider industry. Lots to chew on.
Meta shutters three VR studios as part of Reality Labs layoffsvia Game Developer // The company formerly known as Facebook closed a whole bunch of video game studios this week and laid off around 10 percent of employees within its VR/AR-focused Reality Labs business. The ailing division has lost billions upon billions in recent years as a result of Meta trying to brute force some form of metaverse into existence, and what does the company have to show for it? Some Ray-Bans that can record videos.
