Ubisoft Cancels Prince of Persia: The Sands of Time Remake Amid Major 2026 Restructuring

Six years of anticipation ended in a heartbreak for fans. Ubisoft officially announced on Wednesday, January 21, 2026, that it has cancelled the Prince of Persia: The Sands of Time remake along with five other unannounced titles. The decision comes as part of a radical company-wide restructure aimed at streamlining operations and stabilizing the firm's finances.

The End of Ubisoft Prince of Persia Sands of Time Remake Development

Originally announced in 2020 and slated for a January 2021 release, the Sands of Time remake became a poster child for development hell. After shifting studios from India to Montreal in 2022, the game was most recently expected to arrive in 2026. Ubisoft stated that while the project had potential, they weren't able to reach the required quality level responsibly. Despite this blow, the company maintains that the Prince of Persia universe remains a vital part of its legacy.

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Five Creative Houses and the AI Pivot

To navigate the shifting gaming landscape, Ubisoft is implementing a new operating model centered around five specialized Creative Houses. This decentralization allows dedicated leadership teams to take full financial ownership and faster decisions for specific genres. CEO Yves Guillemot emphasized that the company will double down on open-world and live service titles while making "accelerated investments" in Generative AI to assist in production.

This financial pivot hasn't come without a human cost. Ubisoft's workforce has shrunk significantly from nearly 21,000 in 2022 to 17,097 by late 2025. With the closure of studios in Halifax and Stockholm, and more layoffs reported in Abu Dhabi this month, the company is aggressively trimming its sails to survive the stormy economic climate.