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Is yet another Microsoft studio, Obsidian, negotiating with Xbox to avoid closure? Conflicting reports emerge

Conflicting reports suggest that Obsidian Entertainment is negotiating with Microsoft to avoid closure, amidst a wave of layoffs affecting other Xbox studios like Arkane, Double Fine, Compulsion Games, Ninja Theory, and Undead Labs. While one report indicates internal sentiment blames poor Call of Duty performance for these decisions, another source denies Obsidian is in negotiations to shut down, stating the studio will be kept by Xbox.

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