Xbox is reportedly shutting down four development studios that belong to Bethesda’s parent company, ZeniMax Media, including the studio behind Redfall.
Which studios are involved and what’s next for them? According to industry insider Jason Schreier on x.com (formerly Twitter), Xbox is closing a total of four development studios that are part of Bethesda.
- Arkane Austin – Studio is being closed, some employees are moving to other Bethesda teams
- Tango Gameworks – Studio is being closed
- Alpha Dog Studios – Studio is being closed
- Roundhouse Games – the team will move to ZeniMax Online Studios (The Elder Scrolls Online)
The information about the studio closures comes from an email from Matt Booty (Head of Xbox Game Studios) to the employees of Xbox Game Studios.
Studio Closures as a Result of Shift in Focus
What does Microsoft say about the closures? The email in which Matt Booty addresses employees of various Xbox Game Studios has been seen by the online magazine IGN. In the email, Booty states that changes to the teams are based on the decision to focus on “impressive” titles and invest in Bethesda’s portfolio of blockbuster games.
It is currently unknown how many employees from the affected development studios will lose their jobs due to the studio closures and how many will move to other teams within Xbox Game Studios.
Developers of Redfall and Hi-Fi Rush Affected
What games are the studios known for? Arkane Austin is responsible for the co-op shooter Redfall, which was released in May 2023 and struggled with a lot of negative criticism and received poor reviews. Previously, Arkane was primarily known for single-player games like Dishonored, Prey, and Bioshock.
Tango Gameworks, on the other hand, is the studio behind the rhythm-based action game Hi-Fi Rush, which was released in January 2023 and was very well received by players. Hi-Fi Rush has a 97% positive rating on Steam. They also developed The Evil Within and Ghostwire: Tokyo.
What’s next for Redfall? Redfall was planned as a live-service game with online features. The closure of the development studio consequently has direct effects on the future of the co-op shooter.
In the email to the employees, it is stated that Redfall will not receive any more updates and development on the game has been halted. However, Redfall and its servers will still be online for players, and players who purchased the Hero DLC are to receive a compensation offer.
In January 2024, Microsoft already laid off 1,900 employees. At that time, it primarily affected Bethesda’s parent company, ZeniMax Media, and Activision Blizzard: Microsoft lays off 1,900 employees in the gaming sector: “Painful decision”
