Compulsion Games
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Xbox is reportedly considering closing South of Midnight studio, Compulsion Games, with Double Fine and Ninja Theory also allegedly at risk
Xbox is reportedly considering closing several of its game development studios, including Compulsion Games, the developer of South of Midnight, and potentially Double Fine and Ninja Theory. Leadership at Compulsion Games is reportedly in negotiations regarding the studio's future, amidst broader reports of potential layoffs and restructuring within Microsoft's gaming division.
Double Fine, Ninja Theory & Compulsion are reportedly negotiating with Microsoft to avoid closures
Multiple Xbox Game Studios developers, including Compulsion Games, Double Fine Productions, and Ninja Theory, are reportedly negotiating with Microsoft to avoid closure and potentially gain independence. While independence could prevent full shutdowns, layoffs are still expected. This news follows an announcement from Xbox CEO about a business 'reset' and restructuring.
Report: Multiple Xbox game studio heads negotiating with Xbox to avoid closure
Multiple Xbox game studio heads are reportedly negotiating with Microsoft to spin off their studios into independent companies to avoid closure. This comes as Microsoft's gaming division undergoes a 'business reset' and considers major layoffs. Studios like Compulsion Games, developer of South of Midnight, are specifically mentioned as potentially shutting down, though leadership is in talks to preserve their future.
Rumours suggest multiple Xbox studios are to close
Rumors suggest Microsoft is planning to close multiple Xbox studios, including Compulsion Games and Arkane Studios, with potential spin-offs for Double Fine. The head of Xbox Game Studios, Craig Duncan, has also stepped down amid these reports. These potential closures follow underperforming titles like South of Midnight and Redfall, and broader industry discussions about the sustainability of day-one Game Pass releases.
Xbox is reportedly closing South of Midnight studio Compulsion Games after bragging about its award-winning developers…
Xbox is reportedly planning to close Compulsion Games, the studio behind South of Midnight and We Happy Few, just days after announcing impending layoffs. While no official statement has been made, multiple employees have indicated they are seeking new work. This comes despite recent praise from Xbox leadership, including CEO Asha Sharma and Chief Creative Officer Matt Booty, for the studio's award-winning work.
Latest Microsoft victim reportedly being closed after releasing one game since Xbox acquisition
Microsoft is reportedly closing Compulsion Games, the studio behind We Happy Few and South of Midnight, eight years after acquiring it. This move is part of a larger downsizing within Xbox, which has seen thousands of layoffs and is expected to continue. South of Midnight, Compulsion's only release since the 2018 acquisition, received critical acclaim and awards.
Xbox is reportedly planning to shut down Compulsion Games
Xbox is reportedly planning to shut down Compulsion Games, the studio behind South of Midnight and We Happy Few. The Peabody-winning studio, acquired by Xbox in 2018, has developed three games since its founding in 2009. Negotiations between Compulsion leadership and Microsoft are reportedly ongoing.
Xbox Closing We Happy Few, South Of Midnight Developer Compulsion Games – Report
Microsoft is reportedly planning to close Canadian developer Compulsion Games, known for We Happy Few and South of Midnight, as part of a broader restructuring of its Xbox division. This move could impact over 90 employees, and follows recent reports of potential closures for Arkane Studios. Xbox CEO Asha Sharma alluded to difficult changes ahead to improve economic stability.
Three Xbox Studios at Risk of Closure, in Talks to Become Independent
Reports indicate that three Xbox first-party developers, Compulsion Games, Double Fine, and Ninja Theory, are at risk of closure and are in negotiations with Microsoft to become independent studios. This news follows recent speculation about potential studio closures within Xbox Game Studios, with CEO Satya Nadella emphasizing the need for Xbox to become a sustainable business.
Several Xbox Studios at Risk of Closure, in Talks to Become Independent
Several Xbox first-party studios, including Compulsion Games, Double Fine, and Ninja Theory, are reportedly at risk of closure and are in negotiations with Microsoft to spin off as independent entities. This news follows comments from CEO Satya Nadella about Xbox needing to become a sustainable business. Compulsion Games' title 'South of Midnight' was recently released on PlayStation 5.
South of Midnight Maker Said to Be Shuttered by Xbox
Reports indicate that Xbox studio Compulsion Games, the developer behind South of Midnight, is set to be closed. This follows speculation about widespread layoffs within Microsoft's gaming division. While not officially confirmed, multiple employees have indicated they are seeking new work, and the studio's writer has also suggested its closure.
Two Xbox Studios Named As Being At Risk Of Closure
Reports indicate that Xbox studios Arkane Studios and Compulsion Games are at risk of closure amid upcoming company-wide layoffs. Employees are reportedly concerned following internal memos suggesting significant workforce reductions. Arkane Lyon is specifically mentioned as a notable studio.
Xbox reportedly shutting down South of Midnight dev Compulsion Games
Xbox is reportedly shutting down Compulsion Games, the studio behind South of Midnight and We Happy Few. This closure, which could affect over 90 employees, comes amid broader financial challenges and restructuring within Xbox's gaming division under CEO Asha Sharma. The report suggests an official announcement is imminent.
Microsoft Has Reportedly Shut Down South of Midnight Developer Compulsion Games
Microsoft is reportedly planning to shut down Compulsion Games, the studio behind South of Midnight and We Happy Few. The closure would mark the end of operations for the Canadian developer.
Xbox Closing At Least 2 Studios by 2026 End, Including One “Which Could Come as a Shock” – Rumor
Insider Gaming reports that at least two Xbox Game Studios are at risk of being shut down by the end of 2026, with one closure potentially being a surprise. While specific studios like Obsidian and Rare are reportedly safe, titles that underperformed, such as Forza Motorsport and South of Midnight, could put studios like Double Fine Productions, Compulsion Games, and Turn 10 Studios at risk.
Xbox Reportedly Planning Big Layoffs For Next Month
Microsoft's Xbox division is reportedly planning significant layoffs after June 30, following statements from new CEO Asha Sharma about the business's financial health. Sharma cited declining revenue, increased hardware component costs, and strategic overextension as reasons for the impending cuts. These layoffs come after a period of studio expansion under previous leadership.
South of Midnight wins big at the 2026 Gayming Awards
Compulsion Games' South of Midnight won Game of the Year at the 2026 Gayming Awards, an event celebrating LGBTQ+ themes and creators in gaming. Other notable winners included Date Everything! for Best LGBTQ+ Indie Game and Team Liquid for LGBTQ+ Contribution to Esports. The ceremony, hosted by Erika Ishii, also highlighted the importance of queer representation in the industry.
Date Everything wins two accolades at The Gayming Awards 2026
The Gayming Awards 2026 celebrated achievements in LGBTQ+ representation within gaming. Sassy Chap Games' 'Date Everything' won Best LGBTQ+ Indie Game and the Gayming Fan Favourite Award, while Compulsion Games' 'South of Midnight' took home Game of the Year. The ceremony recognized various categories, including voice acting, content creation, and contributions to esports, highlighting diversity and inclusivity.
Fable Has Been Rated for Release in South Korea, Australia
Fable has received ratings in South Korea and Australia, suggesting a release in late 2024, potentially September or October. These ratings indicate mature content including language, violence, and criminal acts. Playground Games is continuing to recruit staff for the title, which is expected to launch before Grand Theft Auto 6.
All The Winners From The 2026 Canadian Game Awards
The 2026 Canadian Game Awards celebrated excellence in the Canadian video game industry, with South of Midnight taking home Game of the Year and Best Art Direction. Digital Extremes was awarded Studio of the Year, while Victor Lucas received the Game Changer Award and Femme Gaming won the Community Award.
