Don’t Worry Racists, It’s Not Tencent

Ubisoft, which is already facing a major setback with the delay of Assassin’s Creed Shadows, has been named in a class action lawsuit. As per the lawsuit, the company unlawfully collected and shared customer data with Facebook owner Meta Platforms.

This comes shortly after rumors about Tencent and Guillemot Brothers Limited planning a potential buyout went viral. Thanks to the rumor, Ubisoft’s shares surged over 30%. Ubisoft’s not exactly doing well financially and multiple options are being explored to make sure that the company stays afloat. However, this lawsuit will certainly drop the price of its shares.

Ubisoft Has Been Named In A Class Action Lawsuit

GameRant has reported that French video game publisher Ubisoft has been named in a class action lawsuit, which has accused the company of sharing user’s data with Facebook owner Meta Platforms without the consent of the users.

The lawsuit claims that using Pixel, Meta’s analytics tool, Ubisoft collected personally identifiable information from users, however, the company doesn’t mention that the collected data would be shared with Meta. The court filing says,

The Defendant does not disclose on the Website that users’ personally identifying information (“PII”) would be captured by the Meta Platforms, Inc. (“Meta” or “Facebook”) tracking Pixel (the “Pixel”) utilized by Defendant, and then transferred to Meta, thereby exposing the subscribers’ PII to any person of ordinary technical skill who received that data.

The class action seeks monetary damages and injunctive relief, which means that Ubisoft should be barred from using Pixel on its website and also asks the users if they would like to share their data with Meta.

This Lawsuit Has Been Added To Ubisoft’s Long List Of Woes

This setback will certainly damage Ubisoft’s market value and the price of its stock, which skyrocketed recently and even set a one-day record. Ubisoft lost more than half its market value this year and that why’s Guillemot Brothers Limited and Tencent are considering options that might save Ubisoft from a financial slowdown, which includes a potential buyout of the company.

Some investors have also suggested the idea of selling the company to a third party or to team up to take the company private. It’s clear that Ubisoft needs some sort of financial aid right now. Even one of its most anticipated games of 2024, Star Wars Outlaws, failed to meet sales expectations, proving to be another financial setback for Ubisoft. With Assassin’s Creed Shadows delayed, things have just become much more difficult for the studio.

On top of this, Cameron Lee, Vice President of the Rainbow Six franchise, has left Ubisoft. Rainbow Six Siege is a strong pillar that is keeping the studio steady but without Lee, things will definitely change.

Do you think a buyout will save Ubisoft? Share your views in the comments!