Xbox has confirmed that it is rolling out another round of layoffs. The layoffs are expected to lead to the studio's complete shutdown as the company tries to recover from a disastrous console generation and offset rising hardware component costs.
Now another source says the layoffs will come as a shock. According to Obsidian co-founder Chris Avellone, studios that were previously told they were “safe” from layoffs are now bracing for cuts, suggesting some beloved developers could be affected.
It sounds like no one is safe in the latest round of Xbox layoffs
“MS studios, which have been told in the past that they would not be affected by the layoffs, are apparently getting a different message after the recent announcements,” Avellone writes. “Previously 'safe' studios are now telling staff they're not sure how management changes will affect the studio. Lots of uncertainty, even for studios that have stable releases under MS.”
That last point is particularly troubling, and makes it clear that even successfully delivering games to Microsoft — and thus Game Pass — isn't enough to save the studio from this layoff.
To make matters worse, Xbox Game Studios head Craig Duncan is now reported to have resigned (according to The Game Business ). He was tasked with overseeing studios like Obsidian, Halo Studios, and Double Fine, so that doesn't bode well for any Xbox-owned studio.
Both Double Fine and Ninja Theory are rumored to be under threat of shutting down altogether, but right now it's all speculation. Whatever happens, it's clear that these layoffs are going to be big, maybe even bigger than last year, when several games were canceled, including the Perfect Dark reboot and Zenimax Online's new MMO.
Obsidian fans are also concerned, and the fact that Avellone is the one bringing this latest update will hardly reassure them. He didn't say if his former workplace was safe, but with two of Obsidian's three releases last year not looking too good, fans are fearing the worst.
- Date of establishment
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April 4, 1975
- CEO
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Satya Nadella
- Headquarters
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Redmond, Washington, United States
