A potential buyout of French game developer Ubisoft, the studio behind Assassin’s Creed, has stalled as the Guillemot family fights to maintain control over the company.

Ubisoft has been in a bad way of late, with financial woes and a series of failed games dogging the once powerful studio. The Guillemot family, who started Ubisoft in 1986, have led their company down the path of ruin. Now they face a unenviable situation. The company needs to buy up stock and privatize if it has any hope of staving off a hostile takeover.

A screenshot from Assassin’s Creed Odyssey (2018), Ubisoft

That’s why it’s seeking partners like Chinese company Tencent, which already owns 10% of Ubisoft. However, negotiations have reportedly hit a snag with the Guillemot family fighting to maintain control of their studio following the buyout. One could instantly see the problem with such a move as the Guillemots were the ones who led the company into the dire straights it finds itself now.

According to Reuters, Tencent wants more of a say in boardroom decisions within Ubisoft, including cash flow distribution. The Guillemots have reportedly not accepted these terms and the deal is in danger of falling through. Tencent is apparently happy with its 10% stake in the company, believing it to be acceptable for gaming business cooperation.

A screenshot from Assassin’s Creed Shadows (2024), Ubisoft

However, if Tencent walks away, Ubisoft will be vulnerable to minority investors banding together to wrestle control of the company away from the Guillemots.

Industry expert and SuperData founded Joost van Dreunen, however, believes Ubisoft will go private and start selling itself off piece by piece.

“Ubisoft is headed for privatization and dismantling in 2025,” he said. “With its share price plummeting from $28.19 to $12.30 year-over-year, the company has become an attractive takeover target. Its valuable assets—particularly Rainbow Six Siege and the Assassin’s Creed franchise—could be worth more separately than together. The upcoming Assassin’s Creed: Shadows faces stiff competition from PlayStation’s Ghost of Yotei, and recent failures suggest deeper organizational issues beyond individual game performance.”

A screenshot from Assassin’s Creed Shadows (2024), Ubisoft

He goes on to note that the Guillemots have stubbornly stuck to a failing business model.

“Ubisoft’s development approach remains stubbornly outdated in an era demanding player engagement and community building,” van Dreunen said. “Without a fundamental shift in how they develop and maintain games, they risk further alienating both investors and players. The XDefiant shutdown isn’t just another failed launch. It’s a symptom of a company that insists on catering to a passive audience while failing to recognize the urgency to rethink distribution.”

Do you think the Guillemot family should maintain control over Ubisoft? Do you think the company will sell off its largest assets? Sound off in the comment section and let us know!