Updated
Updated · Bloomberg · Jul 11
Obsidian Cancels Projects, Starts New Fallout Game After Cutting About 25% of Staff
Updated
Updated · Bloomberg · Jul 11

Obsidian Cancels Projects, Starts New Fallout Game After Cutting About 25% of Staff

3 articles · Updated · Bloomberg · Jul 11

Summary

  • Obsidian Entertainment canceled multiple projects and began work on a new Fallout title, according to people familiar with the matter.
  • About a quarter of the Irvine, California-based studio's workforce was laid off as Microsoft reshaped Xbox's gaming operations.
  • The shift follows earlier reports that roughly 50 Obsidian staff were cut and development moved away from an Avowed sequel toward Fallout.
  • The changes fit Microsoft's wider Xbox restructuring, which previously was reported to affect about 1,600 gaming-division employees and to favor major franchises such as Fallout and Halo.

Insights

Obsidian is making a new Fallout, but is the 'unsanctioned' Avowed sequel the studio's real future?
With massive layoffs and studio sales, is Microsoft admitting its Game Pass acquisition strategy has failed?