Tencent will invest $1.3 billion in a new entity controlling Assassin’s Creed, Far Cry, and Tom Clancy’s Rainbow Six.

Ubisoft on Thursday announced it’s creating a new gaming subsidiary and that Chinese technology giant Tencent will invest 1.16 billion euros ($1.25 billion) into the unit.

Ubisoft management seems unsure on what exactly will happen as a result of the Tencent deal, and employees are concerned about more layoffs and cuts.

Ubisoft studios VP tells employees that uncertain times are ahead and that the org currently doesn't have all the answers regarding the Tencent deal.

Shadows is one of the top five best-selling games in the US this year. However, that's not enough to protect Ubisoft from stock market declines.

Ubsioft will spin off its most successful game franchises, including Assassin’s Creed, Far Cry, and Rainbow Six Siege, into a separate subsidiary thanks to a $1.25 billion investment from Chinese conglomerate Tencent.

Ubisoft and Tencent are working together on a new gaming subsidiary that includes Assassin's Creed, Far Cry, and Tom Clancy's Rainbow Six.

Tencent has invested $1.25 billion in a new Ubisoft operating division that includes the core games Assassin’s Creed, Far Cry and Tom Clancy’s Rainbow Six brands. Ubisoft, the French video game giant that has struggled to launch hits until its most-recent launch of Assassin’s Creed: Shadows,

Ubisoft now officially has a €1.16 billion life jacket from Tencent, but it comes with the cost of a few beloved IPs and the risk of layoffs.