Microsoft races ahead of a stumbling Ubisoft

As Microsoft accelerates into 2026 with ambitious new games like 'Forza Horizon 6', Ubisoft is hitting the brakes, cancelling projects and reshaping its studios to survive an apparently tougher industry landscape.

Microsoft has outlined an ambitious year ahead with new details revealed at 'Xbox Developer Direct 2026', led by an extended look at 'Forza Horizon 6'. It is set to launch on 19 May for Xbox Series X|S, PC, Xbox Cloud, Steam and Game Pass Ultimate, with a PlayStation 5 release planned later in 2026.

Developed by 'Playground Games', the open-world racing title is set in Japan for the first time in the series, drawing on the country's mountains, dense cities and distinctive car culture. The game places players in the role of a tourist rather than an established racing star, framing progression around the dream of earning a place at the Horizon Festival.

Design director Torben Ellert said the team focused less on recreating Japan road-for-road and more on capturing its atmosphere, from neon-lit Tokyo streets to winding rural passes. New features include a Collection Journal inspired by Japanese stamp collecting, Car Meets based on real-world gatherings such as Daikoku, and a customisable Estate rooted in the concept of akiya, abandoned rural properties. 

While Microsoft is expanding its flagship line-up, Ubisoft is moving in the opposite direction. The French publisher has cancelled six games, including the long-awaited 'Prince of Persia: The Sands of Time' remake, as part of a major restructuring effort. The decision has surprised fans, particularly given the wider success of remakes across the industry.

Ubisoft has also closed studios in Stockholm and Halifax, delayed seven projects and restructured others. Company leadership cited rising development costs, intense competition in the triple-A market and the risks of launching new intellectual property. 

Industry analysts suggest the publisher is now prioritising established franchises over experimentation. Going forward, Ubisoft plans to focus on open-world and live service titles, with the aim of turning series such as 'Assassin's Creed' and 'Rainbow Six' into consistent billion-pound brands.