State of Decay
News, coverage and analysis tracking State of Decay across the outlets.
Latest coverage
Double Fine Productions suffers layoffs weeks after going independent
Double Fine Productions has laid off 23 employees, nearly 25% of its workforce, just weeks after becoming an independent studio following its separation from Xbox. The studio stated the layoffs were necessary for its survival and to adjust to its new size as an independent entity. This follows Xbox's broader restructuring efforts which have also impacted other studios.
Double Fine Announces Layoffs For 23 Employees Following Xbox Split
Double Fine Productions, developer of Psychonauts, has laid off 23 employees following its separation from Xbox. Studio founder Tim Schafer stated the move was necessary for the studio's sustainability as an independent company. Xbox confirmed the return of intellectual property and runway for future games to Double Fine and other divested studios like Compulsion Games, Ninja Theory, and Undead Labs.
Is Game Pass Still the Right Strategy for Xbox?
This article analyzes the current state and future strategy of Xbox Game Pass, questioning its sustainability and impact on game value. Despite initial excitement and acquisitions to bolster its library, internal sentiment appears negative, with reports of studios detesting the service and subscriber growth falling short of projections. While Game Pass remains a key, albeit paradoxical, component of Xbox's offerings, its future is uncertain amidst internal challenges and a need for renewed growth.
Summary: what's happening at Xbox?
Xbox announced a major restructuring involving 3,200 job cuts, with 1,600 immediate layoffs, primarily affecting ZeniMax studios like Bethesda and id Software. Several studios, including Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, are being sold off or spun out as independent entities. This move aims to refocus on high-earning franchises and improve profit margins, impacting the development of upcoming titles like The Elder Scrolls 6 and potentially State of Decay 3.
Xbox needs to make a choice, says former PlayStation leader Shawn Layden: be a publisher or a platform, but you can't be both
Former PlayStation leader Shawn Layden argues that Xbox must choose between being a major game publisher or a platform holder, stating it cannot effectively be both. He highlights the need for exclusive content to support a platform, contrasting it with the multiplatform approach required for a top publisher, a dilemma exacerbated by recent Xbox layoffs and strategic shifts.
MMO Business Roundup: Microsoft is why we can’t have nice things
Microsoft's recent wave of layoffs has significantly impacted its gaming divisions, including studios like Id Software, Bethesda Game Studios, and ZeniMax Online Studios, leading to concerns about the quality and release schedules of major franchises like The Elder Scrolls Online. The article highlights the negative consequences of these business decisions on employees, game development, and player experience, drawing criticism from industry figures and politicians alike.
After 8 years and no new releases, Undead Labs' biggest contribution to Xbox is the tech it leaves behind
Despite not releasing new games in eight years, Undead Labs, acquired by Xbox Game Studios in 2018, has made significant technological contributions. Their 'Shared Save' technology, initially developed for State of Decay 2 and later expanded, enabled Obsidian's Grounded and will support State of Decay 3's larger communities. This tech allows for shared world-data as a cloud save, reducing the need for dedicated servers.
Zenimax omorganiseras för att fokusera på sina stora varumärken
ZeniMax Media is undergoing a significant restructuring to concentrate on its major franchises like The Elder Scrolls, Fallout, Wolfenstein, Doom, and Quake. This reorganization follows recent layoffs at Xbox and involves some studios becoming independent or being sold, though ZeniMax itself retains its studios.
3 200 sägs upp och 4 studios lämnar Xbox
Xbox is undergoing significant restructuring, with 3,200 employees being laid off, 1,600 immediately, and four studios leaving the Xbox family. Compulsion Games and Double Fine Productions will become independent, while Ninja Theory and Undead Labs are being sold. The company is also streamlining management levels and appointing its first Chief Operating Officer, Helen Chiang. These changes come as Xbox faces lower profit margins and a shrinking player base, despite continued investment in Game Pass.
Xbox acquisitions have been a disaster: "In a typical year, we lost 64 cents for every dollar we invested"
Xbox CEO Asha Sharma revealed that Microsoft's aggressive acquisition strategy has resulted in significant financial losses, with the company losing 64 cents for every dollar invested in typical years since 2018. In response to this unsustainable model, Xbox is undergoing a reset, leading to layoffs and the divestment of several studios, including Compulsion Games, Double Fine, Ninja Theory, and Undead Labs, while others like Arkane Studios are reviewing strategic options.
Xbox cuts 3,200 staff as four studios to exit Microsoft – Arkane under review
Microsoft has announced significant layoffs affecting approximately 3,200 employees within its Xbox division, with 1,600 staff being let go immediately. Four studios, including Ninja Theory and Undead Labs, are becoming independent or being sold off, while Arkane Lyon's future is under review. This restructuring follows a period of rapid developer acquisitions and aims to refocus Xbox's business strategy.
Xbox are parting ways with Double Fine, Arkane, Undead Labs, Compulsion, and Ninja Theory in the course of thousands of layoffs
Microsoft has announced significant layoffs affecting 3200 employees and is parting ways with five Xbox-owned studios: Double Fine, Arkane, Undead Labs, Compulsion Games, and Ninja Theory. Some studios will become independent or find new ownership, while Arkane's future is uncertain. CEO Asha Sharma cited rising costs, underperforming acquisitions, and a challenging industry landscape as reasons for the "reset."
Rare added to the list of Xbox studios under threat
Rumors suggest that Microsoft is planning significant layoffs across several Xbox studios, including Rare, Bethesda, and Arkane, with some studios potentially facing closure or sale. This follows recent layoffs at Bungie and Microsoft pulling out of a partnership with IO Interactive. The reported motivation behind these potential cuts is a focus on profitability by new Microsoft management.
This Week In Games Was Bad, But Next Week May Be Worse
The gaming industry experienced a particularly bleak week with multiple significant layoffs, studio closures, and price increases. Microsoft's Xbox division saw widespread job cuts, while Sony announced plans to end physical disc production for PlayStation games by 2028. These events, coupled with delays and the ongoing impact of AI discussions, paint a grim picture for the industry's immediate future.
IO Interactive Layoffs: Xbox Pulls Project Fantasy Funding — Too Much Gaming | Video Games Reviews, News, & Guides
IO Interactive is continuing work on Project Fantasy despite Xbox pulling its funding, and will now seek alternative funding or self-publish. This is part of a larger "reset" at Xbox under new CEO Asha Sharma, with reports indicating several studios like Ninja Theory, Compulsion Games, Undead Labs, Arkane, and Double Fine are in talks to avoid closure. Xbox is reassessing its investment priorities to better fund its existing franchises and ensure a reliable pipeline of exclusive content.
Xbox weighs closing Arkane Studios while pulling out of IO Interactive's next project
Xbox is reportedly considering closing Arkane Studios and cancelling Marvel's Blade due to development concerns. Additionally, Xbox has withdrawn funding and publishing support for IO Interactive's new fantasy project, codenamed 'Project Fantasy,' forcing the Danish studio to seek alternative arrangements. These moves are part of a broader restructuring by Xbox to refocus investments on its highest-priority titles and IPs.
Rumor: Microsoft’s next layoffs are poised to hit Blizzard, Bethsoft, and Undead Labs
Rumors suggest Microsoft is planning significant layoffs across several of its gaming studios, including Undead Labs, Blizzard Entertainment, and Bethesda Softworks. These cuts are reportedly the largest for Xbox and come as the company evaluates its recent Activision Blizzard acquisition. Unionized workers at Xbox are reportedly organizing to negotiate over potential job losses.
State of Decay studio Undead Labs potentially up for closure, sources claim, with Bethesda and Blizzard also facing layoffs
Microsoft is reportedly planning significant layoffs across its gaming division, potentially including the closure of Undead Labs, the studio behind State of Decay. Bethesda and Blizzard Entertainment are also expected to face substantial job cuts as part of a company-wide "reset." Union workers are negotiating with management to protect jobs or secure severance packages amid these widespread reductions.
Xbox is reportedly considering closing State of Decay developer Undead Labs
Microsoft is reportedly considering closing several Xbox-owned studios, including Undead Labs, the developer of the State of Decay series. Other studios at risk include Double Fine, Compulsion Games, and Ninja Theory, as part of a broader 'reset' plan for the Xbox brand aimed at improving profitability. These potential closures could result in hundreds of job losses, with layoffs expected to begin in early July.
State of Decay 3 Gameplay Revealed, Coming to PS5 and Game Pass in 2027 — Too Much Gaming | Video Games Reviews, News, & Guides
State of Decay 3 gameplay has been revealed, showcasing a larger scale and integral multiplayer features with shared worlds for up to 4 players. The game is set to launch in 2027 for Xbox Series X|S, PC, and PlayStation 5, and will be available on Game Pass. Closed playtests for the title are currently ongoing.
