Ubisoft is set to open a new development studio in Toronto which is expected to result in the creation of 800 jobs.

The studio has been invested in by the government of Ontario, which will put CAD 263 million into the project over a ten year time frame – that’s on top of the half a billion CAD Ubisoft expects to invest. Operations within the studio, which will work on triple-A Ubisoft titles, are expected to begin in late 2009.

“Today’s announcement marks a strategic move for Ubisoft as we continue to expand our internal development force,” said Yves Guillemot, president and chief executive officer at Ubisoft.

“We are in an excellent position to grow and after extensive analysis we are thrilled to have reached an agreement with the government of Ontario to found our new studio in Toronto. The city is one of North America’s economic and cultural epicenters and our expectations are high. We’re excited to be able to count on the exceptional local talent, who will contribute to our accelerated growth and will have a profound impact on the video game industry with the excellence of their creativity.”

Overseeing the new Ubisoft Toronto will be Yannis Mallat, chief executive officer at Ubisoft Montreal and producer of the Prince of Persia series. He will lead a team focused on furthering Ubisoft’s plan of extending its brands to complement mediums such as books, comics, short films and other products. The new Toronto arm of the business will also collaborate with the local film industry to enhance its creations, according to Mallat.

“We are incredibly excited to finally tap into the remarkable talent Ontario has been developing over the years,” said Mallat. “Toronto’s unique pool of experience video game industry and film industry talent will allow us to develop a team with exceptional ability to help us realise our goals for creating brands with universal appeal that extend beyond the world of videogames.”

The studio will be the fourth for Ubisoft in Canada, joining Montreal, Quebec City and Vancouver – studios which employ more than 2,300 creative staff in total.