Oh yeah, I remember reading that.
It appears we DO have Shanghai to thank for the most innovative multiplayer deathmatch game since deathmatch was created, if I'm not mistaken. So they're not total failures, unless I'm mistaken. They just need to stay away from single player campaigns.
Ubi Montreal still designed and developed PT multiplayer, though.
(reads the article) ...or maybe it was Annecy...
All I know is that Shanghai was never responsible for PT multiplayer at any point.