Game Development
Ongoing coverage on Game Development.
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IO Interactive to lay off employees after Xbox pulls support for untitled fantasy game
IO Interactive is laying off employees after Microsoft-owned Xbox withdrew funding and publishing support for its in-development fantasy game, codenamed 'Project Fantasy.' The studio confirmed the news on X, stating they must adapt to the consequences, including staffing decisions, and are committed to supporting those affected. Xbox stated they are re-evaluating investments to focus on their highest priorities, though overall investment in games remains the same.
Microsoft Considering Cancelling Blade And Selling Arkane
Microsoft is reportedly considering cancelling the game Marvel's Blade and potentially selling Arkane Studios amidst widespread layoffs. The future of Arkane's Blade project, announced in 2023, is uncertain as the company undergoes significant restructuring.
Io Interactive Laying Off Staff After Partner Withdraws from Project Fantasy
IO Interactive has announced layoffs following the withdrawal of funding for their new intellectual property, Project Fantasy, by an external partner, rumored to be Microsoft. Despite the setback, the company remains committed to the project's completion. This decision comes amid broader shifts within Xbox's business strategy under new leadership.
Xbox could cancel Marvel's Blade and close Arkane in July bloodbath, report says, or the studio may be sold off
Xbox is reportedly considering closing or selling Arkane Studios and canceling its game Marvel's Blade due to budget and release date issues. This is part of a larger wave of layoffs expected in July as Microsoft aims to cut costs. Other studios like Arkane Austin and Compulsion Games have also faced closures or struggles.
IO Interactive look set for layoffs as their external partner for Project Fantasy pulls out
IO Interactive is facing imminent layoffs due to the termination of its relationship with an external partner for its unannounced game, Project Fantasy. While the studio remains committed to the game's development, the split necessitates staffing changes. Project Fantasy was previously revealed in documents to be intended for publishing by Xbox Game Studios.
007 First Light, Hitman Developer IO Interactive Announces Layoffs After 'Relationship With an External Partner' on Fantasy Project Ends
IO Interactive, the developer behind Hitman and the upcoming 007 First Light, has announced layoffs. This comes after a fantasy project, reportedly set to be published by Xbox, faced an unexpected setback due to a severed relationship with an external partner.
Report: Xbox considering sale or closure of Arkane, other studios, as layoffs loom
A report suggests Xbox is considering selling or closing several studios, including Arkane Studios, Double Fine, Compulsion Games, Ninja Theory, and Undead Labs, as part of a major 'reset' under new CEO Asha Sharma. The upcoming game 'Blade' is reportedly over budget and may be canceled. Mass layoffs affecting over a thousand roles are also anticipated across Xbox in early July, following the Activision Blizzard acquisition.
Open source game engine Godot will no longer accept AI-authored code contributions: 'We can't trust heavy users of AI to understand their code enough to fix it'
The Godot Foundation has announced that it will no longer accept AI-authored code contributions to the open-source game engine. This decision aims to reduce the burden on maintainers and ensure accountability for code quality. While AI assistance for minor tasks will be permitted with disclosure, AI-generated text in human communication will also be rejected as a basic principle of respect.
Microsoft Could Cancel Marvel’s Blade And Close Its Developer
Microsoft is reportedly considering cancelling the upcoming Marvel's Blade game and potentially closing its developer, Arkane Studios. The game, originally slated for 2026 but delayed to late 2027 and over budget, has not had gameplay footage released since its 2023 announcement. This potential closure is part of broader plans for studio restructuring and layoffs within Xbox, which are expected to begin in July.
Opinion: Everything hurts and no one knows when the pain will end
The article discusses the ongoing financial struggles and mass layoffs within the game industry, attributing them to a combination of economic factors, executive mismanagement, and alleged abuses of power. The author, Bryant Francis, shares personal coping mechanisms for dealing with the constant stream of bad news and emphasizes the need for the industry to learn from past mistakes.
Microsoft Reportedly Considering Canceling Marvel's Blade and Shutting Arkane Down
Microsoft is reportedly considering canceling the development of Marvel's Blade and potentially shutting down its developer, Arkane Studios. This news comes amid broader industry trends of project cancellations and studio closures.
Planescape: Torment 2 could've happened, Baldur's Gate 2 veteran says – but Wizards of the Coast didn't want to fund the RPG even though "they were really into what we were doing"
Beamdog CEO Trent Oster revealed that a sequel to the acclaimed RPG Planescape: Torment was discussed with Wizards of the Coast, but the company ultimately declined to fund external development. Despite initial interest, Wizards of the Coast cited a lack of funds for external projects, and the studio was unable to secure funding from other sources, leading to the cancellation of Planescape: Torment 2.
Banjo-Kazooie unreleased music tracks discovered
Rare's handheld version of Banjo-Kazooie for the HyperMegaTech Super Pocket Rare Edition includes over 20 previously unreleased beta music tracks. These unused compositions, some of which were later repurposed in Banjo-Tooie, can be unlocked and listened to using the original Nintendo 64 soundfont. The discovery offers a unique glimpse into the development of the classic Nintendo 64 title.
Business and Finance
Developers at Rockstar Games are reportedly pushing for official union recognition following alleged sackings in 2025. The article suggests that the union's strength has increased.
Ground Branch, a first-person tactical shooter from an original Rainbow Six dev, is finally hitting v1.0 after eight years in early access
Ground Branch, a realistic tactical shooter developed by BlackFoot Studios, is launching its version 1.0 after eight years in Early Access on July 16. The full release will include the long-awaited campaign, a new prologue, and an extraction mode. The developers plan to continue adding content post-launch, including single-player chapters and a mod kit.
Baldur's Gate 4 could've been headed by a Baldur's Gate 2 veteran, but the RPG legend "wouldn't want to compete" against Larian: "That would be insanity"
James Ohlen, director of writing and design for Baldur's Gate 2, revealed that Hasbro approached him about developing Baldur's Gate 4. However, Ohlen declined, stating he would not want to compete with the success of Larian Studios' Baldur's Gate 3 and its proprietary engine. He believes a new entry would need to be highly original to succeed, acknowledging Larian's mastery in the RPG genre.
Is GTA VI Coming to Nintendo Switch 2?
Following the release of the Grand Theft Auto VI trailer, speculation has emerged about a potential Nintendo Switch 2 version. Insider Nash Weedle has suggested that technical hurdles for a Switch 2 port have been overcome, with specialized studios optimizing the game, though it is not expected for the initial 2026 launch. Take-Two Interactive has not ruled out supporting Nintendo's next console, making a port a potentially significant business opportunity.
Quantic Dream Insists Its Star Wars Eclipse Team Has 'All the Necessary Resources to Complete Its Mission,' Despite Striking Staff Claiming Risk of Cancellation
Quantic Dream has stated that Star Wars Eclipse is proceeding as planned, despite recent studio layoffs and claims from striking employees that the project is at risk of cancellation. The studio insists the development team has all necessary resources to complete the mission.
GTA 6 developers at Rockstar Games pushing to pursue official union recognition following 2025 sackings: "The union is now stronger than ever"
Employees at Rockstar Games are actively working with the Independent Workers' Union of Great Britain to secure union recognition before the November release of Grand Theft Auto 6. This follows previous efforts to establish the Rockstar Game Workers Union and a ruling against the company's request to remove blacklisting claims from a legal process. The union hopes for voluntary recognition but is prepared to consider a strike if necessary.
"I would fail, and here's why I would fail" Why Baldur's Gate 2 co-lead turned down Hasbro's request to make Baldur's Gate 4
James Ohlen, co-lead designer of Baldur's Gate 2 and lead at Archetype Entertainment, declined Hasbro's request to develop Baldur's Gate 4. Ohlen cited the immense success of Larian Studios' Baldur's Gate 3 and the technical challenges of replicating its engine and tools as reasons for his refusal, preferring to focus on his studio's upcoming game, Exodus.
