Studio Closures
Ongoing coverage on Studio Closures.
Latest coverage
Microsoft hasn't marched Fable to the guillotine because it's 'vital to the DNA' of Xbox, says the…
Playground Games director Ralph Fulton stated that the upcoming Fable reboot has been protected from Microsoft's studio closures due to its vital importance to the Xbox brand's identity. He believes Fable is significant not only for Xbox but for gaming as a whole, offering a unique combination of elements.
EA’s New Owners May Be Considering An Even Bigger Gaming Empire
Saudi Arabia's Public Investment Fund (PIF) has become the majority shareholder of Electronic Arts and is reportedly considering merging it with Savvy Games Group, another PIF-owned entity. This potential consolidation, which could also involve Moonton, Scopely, and SNK, aims to improve coordination among the PIF's gaming assets. However, the move faces regulatory scrutiny due to the vast number of major franchises that would fall under one umbrella, and employees fear significant cost-cutting measures, including layoffs and studio closures, may be implemented.
Five years after acquiring Oxenfree developer Night School Studio, Netflix are shutting them down
Netflix has shut down Night School Studio, the developer behind Oxenfree and Afterparty, five years after acquiring it. The streaming giant also closed Moonloot, another owned studio, and made unspecified cuts to its internal games team. This decision comes six weeks after the release of Night School's latest game, Unhinged.
Comings and Goings
Alpha Dog Games founders have reacquired their studio from Microsoft following its closure in 2024. Additionally, Asha Sharma, who was appointed as Xbox's VP of engineering, has departed the company after only three months.
The $69 Billion Hangover: Every Xbox Layoff Since The Activision Blizzard Merger
Microsoft's acquisition of Activision Blizzard for $68.7 billion has been followed by significant layoffs and studio closures within its Xbox division. These cuts, described by Xbox CEO Asha Sharma as a "reset" due to an unhealthy business, have impacted thousands of employees and led to the cancellation of several game projects across various studios since January 2024.
Microsoft announces 3200 layoffs and four studio departures in "most significant" Xbox restructuring in history
Microsoft has announced a significant restructuring of its Xbox division, including approximately 3,200 layoffs and the departure of four studios. Compulsion Games and Double Fine Productions will become independent, while Ninja Theory and Undead Labs are seeking new ownership. Arkane Studios is also under review. Xbox CEO Asha Sharma cited business performance and industry challenges as reasons for the changes.
Xbox Layoffs, Studio Closures, And Spin-Offs: Everything Announced Today
Microsoft has announced significant layoffs and studio restructuring within its Xbox division, impacting 3,200 employees over the current financial year, with 1,600 layoffs starting immediately. Several studios, including Compulsion Games and Double Fine Productions, are transitioning back to independent management, while others like Ninja Theory and Undead Labs are seeking new ownership. The company cited financial underperformance and a need to reset its strategy, focusing investment on higher-priority games and core IPs.
Xbox is closing down studios to help fund more Halo claim insiders
Xbox is reportedly planning significant layoffs and studio closures as part of a strategy to reallocate resources towards key franchises like Halo, The Elder Scrolls, and Fallout. Insiders suggest this move aims to revitalize struggling IPs and address issues with post-launch support, particularly for Halo Infinite. Several studios, including Ninja Theory and Double Fine, are rumored to be at risk.
Marvel’s Blade is Seemingly “Pretty Far Along” With Reveal Planned for 2026 – Rumor
Rumors suggest that Arkane Studios' Marvel's Blade is far along in development, with a potential reveal planned for 2026 and release in 2027. Despite reports of delays and Xbox potentially not wanting to fund further development, the game's existence is not officially confirmed, nor is the fate of Arkane Studios or other Xbox-owned studios like Compulsion Games and Ninja Theory.
Business and Finance
Obsidian Entertainment, the developer behind Avowed and The Outer Worlds, is reportedly in negotiations with Xbox Game Studios to avoid potential closure. This news comes amid broader discussions about the future of several Xbox-owned studios.
Rumors claim Xbox wants to close Obsidian, but Jason Schreier says otherwise
Recent reports suggest Xbox is considering closing or selling several studios, including Obsidian Entertainment, due to financial pressures. However, journalist Jason Schreier has refuted claims that Obsidian is in negotiations to avoid closure, stating Xbox intends to keep the developer. The article also touches on frustrations within Xbox regarding leadership's focus on profitability and the impact of underperforming titles like Call of Duty: Black Ops 7.
Obsidian reportedly safe from Xbox studio closures despite fears the RPG powerhouse was in negotiations to avoid…
Despite earlier reports suggesting Obsidian Entertainment was negotiating to avoid closure, Bloomberg reporter Jason Schreier has confirmed the RPG developer is safe. The news comes amid widespread fears of mass layoffs and studio shutdowns within Xbox's gaming division.
The Outer Worlds, Avowed Developer “Deep in Negotiation” With Xbox to Avoid Closure – Rumor
Reports suggest that Xbox is in negotiations with Obsidian Entertainment to prevent its closure, alongside other studios like Arkane and Ninja Theory. This comes after The Outer Worlds 2 and Avowed reportedly failed to meet Xbox's sales expectations. The fate of these studios, including Obsidian, is expected to be revealed around July 6th.
Xbox reportedly wants to put a stake in Blade and sell off Arkane, even though Todd Howard says development is going…
Microsoft's Xbox division is reportedly considering closing Arkane Studios or selling it off as part of a cost-cutting strategy, despite assurances from Todd Howard and Jean-Luc Monnet regarding the development of the game Blade. The game, which was initially slated for release this year, has reportedly been delayed to late 2027 and is running over budget, fueling concerns about its future and the studio's survival.
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.
Kojima Productions’ OD Remains Safe Ahead of Xbox Reset – Rumor
Despite recent rumors of potential studio closures and layoffs at Xbox, Kojima Productions' upcoming horror title OD is reportedly safe. This comes as other studios like Ninja Theory, Undead Labs, Compulsion Games, Double Fine Productions, and Arkane Lyon face uncertain futures. OD remains Kojima Productions' primary focus for 2026.
Marvel’s Blade Could Be Cancelled as Xbox Considers Shutting Down Arkane Studios – Rumor
Reports suggest that Xbox is considering cancelling Marvel's Blade and potentially closing Arkane Studios in Lyon due to budget concerns and impending layoffs. Other studios like Double Fine, Compulsion Games, Ninja Theory, and Undead Labs are also reportedly on the chopping block, with potential layoffs extending to id Software and Blizzard Entertainment.
Rykte: State of Decay 3-utvecklaren Undead Labs riskerar också stängning
Recent reports suggest that Microsoft may be considering closing or selling Undead Labs, the developer of the highly anticipated State of Decay 3. This follows unconfirmed information that Ninja Theory, Double Fine, and Compulsion Games are also facing potential closures or sales. Microsoft is reportedly planning to make these decisions in early July.
Hideo Kojima’s OD Is Reportedly Safe From Upcoming Xbox Cuts
Hideo Kojima's upcoming Xbox console-exclusive horror game, OD, is reportedly safe from potential studio closures and game cancellations at Xbox. Despite widespread rumors of layoffs and restructuring within Xbox, a source indicates OD remains in development at Kojima Productions and will still be published by Xbox. This news comes as Xbox undergoes changes under new CEO Asha Sharma, with several other studios and games reportedly facing uncertainty.
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.
