#ninjatheory — Public Fediverse posts
Live and recent posts from across the Fediverse tagged #ninjatheory, aggregated by home.social.
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Xbox dropped a bombshell on their brand reset and we're here to discuss how these changes affect Nintendo.
On this week’s Nintendo Pow Block, Edward Varnell, Stephanie Klimov, and I react to Xbox CEO Asha Sharma confirming a major restructuring that cuts 3,200 jobs across Xbox’s gaming divisions.
#NintendoPowBlock #BossRushLive #NPB502 #Xbox #XboxNews #AshaSharma #GamingNews #DoubleFine #NinjaTheory #VideoGames #GamingCommunity #IndustryNews
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Xbox dropped a bombshell on their brand reset and we're here to discuss how these changes affect Nintendo.
On this week’s Nintendo Pow Block, Edward Varnell, Stephanie Klimov, and I react to Xbox CEO Asha Sharma confirming a major restructuring that cuts 3,200 jobs across Xbox’s gaming divisions.
#NintendoPowBlock #BossRushLive #NPB502 #Xbox #XboxNews #AshaSharma #GamingNews #DoubleFine #NinjaTheory #VideoGames #GamingCommunity #IndustryNews
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Xbox dropped a bombshell on their brand reset and we're here to discuss how these changes affect Nintendo.
On this week’s Nintendo Pow Block, Edward Varnell, Stephanie Klimov, and I react to Xbox CEO Asha Sharma confirming a major restructuring that cuts 3,200 jobs across Xbox’s gaming divisions.
#NintendoPowBlock #BossRushLive #NPB502 #Xbox #XboxNews #AshaSharma #GamingNews #DoubleFine #NinjaTheory #VideoGames #GamingCommunity #IndustryNews
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Xbox dropped a bombshell on their brand reset and we're here to discuss how these changes affect Nintendo.
On this week’s Nintendo Pow Block, Edward Varnell, Stephanie Klimov, and I react to Xbox CEO Asha Sharma confirming a major restructuring that cuts 3,200 jobs across Xbox’s gaming divisions.
#NintendoPowBlock #BossRushLive #NPB502 #Xbox #XboxNews #AshaSharma #GamingNews #DoubleFine #NinjaTheory #VideoGames #GamingCommunity #IndustryNews
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Xbox is making some of its biggest cuts ever, and I think it shows just how much the company needs a hard reset to survive under Microsoft. 🎮 ❎ 🎙️
On this episode of the Boss Rush Podcast, Edward, LeRon, and I discuss how Xbox CEO Asha Sharma confirmed more than 3,200 layoffs and a major shift in strategy.
#BossRushPodcast #BossRushClip #Xbox #GamingNews #AshaSharma #XboxLayoffs #DoubleFine #NinjaTheory #GamePass #VideoGames
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Xbox is making some of its biggest cuts ever, and I think it shows just how much the company needs a hard reset to survive under Microsoft. 🎮 ❎ 🎙️
On this episode of the Boss Rush Podcast, Edward, LeRon, and I discuss how Xbox CEO Asha Sharma confirmed more than 3,200 layoffs and a major shift in strategy.
#BossRushPodcast #BossRushClip #Xbox #GamingNews #AshaSharma #XboxLayoffs #DoubleFine #NinjaTheory #GamePass #VideoGames
-
Xbox is making some of its biggest cuts ever, and I think it shows just how much the company needs a hard reset to survive under Microsoft. 🎮 ❎ 🎙️
On this episode of the Boss Rush Podcast, Edward, LeRon, and I discuss how Xbox CEO Asha Sharma confirmed more than 3,200 layoffs and a major shift in strategy.
#BossRushPodcast #BossRushClip #Xbox #GamingNews #AshaSharma #XboxLayoffs #DoubleFine #NinjaTheory #GamePass #VideoGames
-
Xbox is making some of its biggest cuts ever, and I think it shows just how much the company needs a hard reset to survive under Microsoft. 🎮 ❎ 🎙️
On this episode of the Boss Rush Podcast, Edward, LeRon, and I discuss how Xbox CEO Asha Sharma confirmed more than 3,200 layoffs and a major shift in strategy.
#BossRushPodcast #BossRushClip #Xbox #GamingNews #AshaSharma #XboxLayoffs #DoubleFine #NinjaTheory #GamePass #VideoGames
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Xbox Reset Is Very Painful But Absolutely Necessary
Welcome back Xbox fans and fellow geeks!
As a long-time Xbox fan and owner of three Xbox game consoles, I can say that this current console generation has been disappointing and the current state of Xbox gaming is a huge letdown.
With the approval of Microsoft’s leadership, Team Xbox acquired a lot of game companies that include the giants Activision-Blizzard-King (ABK) and Bethesda, going right down to the smaller game studios. Those were acquired with the promise of new and exciting games that would make Xbox gaming really great in the form of exclusive games, new content for Game Pass subscribers and more.
Sadly, things turned out really disappointing and now the new Xbox head Asha Sharma has the tremendous challenge of making drastic reforms, downsizing and correcting the cases of mismanagement by the previous leadership. That said, she declared a hard reset of the Xbox business and the changes are being implemented already.
To put things in perspective, posted below is an excerpt from the Xbox announcement focused on Asha Sharma’s message to the entire team. Some parts in boldface…
We are beginning the most significant restructure in XBOX history. After careful consideration, I’ve made the difficult decision to reduce our team by approximately 3,200 throughout FY27. This will include approximately 1,600 role eliminations today, and in addition, four studios will leave XBOX to new management. I recognize that a year-long restructuring creates additional challenges. Unfortunately, it is not possible to make all the necessary changes in a single day, and I wanted to be direct about the scale.
I know this is painful. These changes will directly affect people who have poured their creativity into building XBOX. Many joined us through acquisitions, while others were recruited here, or sought us out because they loved this industry and loved XBOX. Today’s decisions do not reflect their talent or dedication.
Our business today is not healthy. We are operating at margins that are 3-10x lower than comparable platform and publishing businesses. We entered Gen 9 with a smaller install base and a higher cost structure. To grow, we bet on Game Pass, multi-platform, and a broader portfolio of content. While those businesses have created meaningful value, they did not grow at the pace we expected. As that happened, our core business weakened, and we added more teams, more investment, and more time, hoping for a better outcome. And now the industry is facing the most severe hardware crisis in its history. We must reset XBOX.
First, we will reset our content portfolio.
Since 2018, we have aggressively expanded our studio portfolio while the number of games created each month across the industry now outpaces the last ten years combined. We now find ourselves competing not only with the largest publishers, but also with smaller independent studios. It is neither possible nor desirable to own every great independent studio. We have also learned that we are not the best home for every type of studio; in a typical year, we lost 64 cents for every dollar we invested. As we reset XBOX, we will help independent creators succeed by providing open development tools and audiences to realize their vision.
Compulsion Games and Double Fine Productions will return to management and transition to independent studios with their IP, catalog, and runway for their next games. Ninja Theory and Undead Labs have entered terms to join new ownership with funding to complete and grow Senua and State of Decay 3. In France, Arkane’s management is beginning required consultation with its Works Council to review potential strategic options.
We are also making reductions across other units, and in some cases, shifting investment to focus on higher priority projects. These changes vary in size across Activision, Bethesda/ZeniMax, Blizzard, King, Mojang, and XBOX Game Studios. None of our first party publicly announced games or projects are being cancelled as part of these reductions.
In addition, Mojang and King will now report directly to me. These two studios have increasingly become platforms and are our largest by monthly active players. They bring critical geographic, demographic, and differentiation to XBOX.
Second, we will reset our platform.
We know that great technology gets better when it gets simpler, not bigger. Today, in some parts of the company, work passes through as many as 14 layers of management. Our platform teams are 40% larger than they were at the start of this generation, even as our player base and playtime have declined. That complexity has slowed decisions, blurred accountability, and made it harder to deliver for players. As we reset XBOX, we will simplify.
We will reduce management layers to no more than 5, and where possible, 3. We will deliver success through a flatter organization that is built around makers (individual contributors focused on building), player-coaches (leaders who remain deeply involved in the work while developing their teams), and directly responsible individuals (DRIs) who own key decisions and outcomes. And we will streamline how we work across our tools, with a cleaner code base, shared services, and 50% reduced vendor spend.
Third, we are resetting how we operate.
As XBOX grew our headcount, we became more fragmented. Teams, studios, and functions often operate independently, and it became harder to work towards a shared goal, make the right tradeoffs, and get things done.
For the first time, we are establishing a Chief Operating Officer with end-to-end P&L responsibility across content, hardware, platform, and services. Helen Chiang has been promoted to this role and will report directly to me. Over nearly two decades at XBOX, Helen has helped build some of our most important businesses, from XBOX Live to leading Mojang and the Minecraft franchise. She will bring our businesses together under one operating model, making sure we make clear investment decisions, learn from our successes and failures, and hold ourselves accountable for results.
Thank you, Dave McCarthy, who is retiring after 17 years with XBOX. Dave has played a defining role in building the platform that millions of players rely on every day and has been a trusted partner through many of the biggest moments in XBOX’s history. We wish him all the best.
These changes are about a bigger future for XBOX, not a smaller one. The next decade of gaming will be larger, more global, and more creative than anything we’ve seen before. This year, we’ll invest as much in XBOX as we ever have, but we’ll invest with greater focus, greater discipline, and greater clarity, all in service of making XBOX where the world plays and creates.
I want XBOX to be one of the few companies that entertains more than a billion people each day and gives everyone the opportunity to create and connect.
To see the full message, click https://news.xbox.com/en-us/2026/07/06/resetting-xbox/
Indeed, the Xbox business model deteriorated financially and became much harder to manage. The billions of Dollars spent on Xbox gaming over the past several years did not result in the great gaming experiences for fans and gamers, nor did it compel the Xbox game studios to become productive and disciplined.
First-party games of Xbox in the generation of Xbox Series X and Xbox Series S have been lackluster in quality and enjoyment overall. I played Starfield a lot on my Xbox Series X via Xbox Game Pass and my enjoyment of it has been limited compared with other games of Bethesda. Senua’s Saga: Hellblade II was fun at first but it ended up being hollow. As the said Ninja Theory-developed game lacked depth with its gameplay and game design, I never bothered to replay it after finishing it. Obsidian Entertainment, a company that specialized in making role-playing games (RPGs), produced new RPGs under the Xbox umbrella but none of them were great. In fact, Avowed and The Outer Worlds 2 ended up as commercial failures.
Going back to Asha Sharma’s message, I can say that letting go of Compulsion Games and Double Fine Productions was the right move as the huge amount of money Team Xbox spent of them did not result in great games. Compulsion Games’ South of Midnight was a $100,000,000 production that ended up with sales of way below one million copies. More notably, Compulsion Games has a discriminating woke and hateful community manager who goes by the handle @PikaChulita. Look at the captured evidence below.
The community manager of Compulsion Games openly hates gamers. Look at the details very closely.Speaking of wokeness and discrimination, the controversial Matt Hansen has been laid off from Obsidian Entertainment. Hansen was heavily involved in the huge disappointment called Avowed. That being said, Team Xbox should really REMOVE all the untalented woke activists among its many game developers. Those activists – the feminists, the LGBTQ mob, the Islamists, the Black Lives Matter zealots and others – do not care about making great games at all and they have been misusing Microsoft’s money to turn new Xbox games into vehicles of Leftist/woke/socialist propaganda. Xbox should also cut off any ties with the super woke Sweet Baby Inc.
When it comes to the larger entities like Activision, Bethesda/ZeniMax, Blizzard, King and Mojang, the layoffs are painful but it makes sense to shift investment to focus on higher priority projects. Activision should regain focus on ensuring quality and great fun with its continued productions of Call of Duty (COD) games. Bethesda has to deliver new Fallout and The Elder Scrolls games faster and with the highest quality possible.
With the way things are right now, I am not certain if I will pursue the next-generation Xbox console called “Project Helix”. Memory has gotten much more expensive in recent times due to extremely high demand from artificial intelligence (AI) data centers and the memory manufacturers’ deals with AI companies. How much memory could the next-generation Xbox have and could its retail price exceed $1,000 at launch?
Indeed, the future of Xbox gaming is really clouded and I can only hope that the hard reset of the Xbox business under Asha Sharma will create positive changes and results. To say the least, the reforms have started and only time will tell what will happen next.
In ending this blog post, posted below are selected YouTube videos about the state of Xbox for your enlightenment.
https://youtu.be/2BZBoBAZGsc?si=aL2iNzIiW6It6zvF
https://youtu.be/G7gFcdPmUeM?si=RjfV62K2TEgK4W4c
https://youtu.be/B8jITSU6IfM?si=npeGI3VDmYPRoX4n
https://youtu.be/qWFSICcym9c?si=OVgz7K77aGsISa2N
https://youtu.be/DeUV3IqEZRU?si=U4mZnmOQGY2V6CKO
https://youtu.be/O_1YpnEKkxA?si=yKa24vue7V60KilE
https://youtu.be/FGFD1W415FE?si=NI380YIxmaw2CNBg
+++++
Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco
#amusement #AshaSharma #Avowed #Bethesda #BlackLivesMatter #CallOfDutyCOD #CarloCarrasco #ChatGPT #Communist #CompulsionGames #console #consoleGames #consoleGaming #consoles #diversity #DoubleFine #entertainment #entertainmentBlog #Facebook #Fallout #Fallout5 #FalloutNewVegas #feminism #feminist #feministGarbage #feminists #fun #gameConsoles #GamePass #gamers #gamingConsole #geek #Google #GoogleSearch #Inclusion #Instagram #Islam #IslamicTerrorists #Islamist #IslamoLeft #LGBT #LGBTQ #LGBTQ #LGBTQIA #liberal #Marxist #MattHansen #Microsoft #NinjaTheory #Nintendo #NOToWoke #NOToWokeness #ObsidianEntertainment #originalXboxConsole #PalestinianTerrorists #Palestinians #PikaChulita #PlayStation #PlayStation5PS5 #politicalCorrectness #rabidFeminists #racism #racist #RejectBlackLivesMatter #rejectWoke #rejectWokeness #rolePlayingGameRPG #rolePlayingGamesRPGs #RPG #RPGs #SenuaSSagaHellbladeII #socialMedia #socialist #Sony #SouthOfMidnight #Starfield #SweetBabyInc #TeamXbox #technology #terrorism #terrorists #TheElderScrolls #TheElderScrollsVI #TheOuterWorlds2 #ToddHoward #Tumblr #Twitter #videoGames #WeHappyFew #woke #wokeActivists #wokeFeminists #wokeNuts #wokeness #wokenessIsFoolishness #WordPress #WordPressCom #Xbox #XboxBlog #XboxGamePass #XboxGamePassXGP #XboxReset #XboxSeriesS #XboxSeriesS1TB #XboxSeriesX #XboxSeriesXS #XboxStore #XboxExclusive #YouTube -
Xbox Reset Is Very Painful But Absolutely Necessary
Welcome back Xbox fans and fellow geeks!
As a long-time Xbox fan and owner of three Xbox game consoles, I can say that this current console generation has been disappointing and the current state of Xbox gaming is a huge letdown.
With the approval of Microsoft’s leadership, Team Xbox acquired a lot of game companies that include the giants Activision-Blizzard-King (ABK) and Bethesda, going right down to the smaller game studios. Those were acquired with the promise of new and exciting games that would make Xbox gaming really great in the form of exclusive games, new content for Game Pass subscribers and more.
Sadly, things turned out really disappointing and now the new Xbox head Asha Sharma has the tremendous challenge of making drastic reforms, downsizing and correcting the cases of mismanagement by the previous leadership. That said, she declared a hard reset of the Xbox business and the changes are being implemented already.
To put things in perspective, posted below is an excerpt from the Xbox announcement focused on Asha Sharma’s message to the entire team. Some parts in boldface…
We are beginning the most significant restructure in XBOX history. After careful consideration, I’ve made the difficult decision to reduce our team by approximately 3,200 throughout FY27. This will include approximately 1,600 role eliminations today, and in addition, four studios will leave XBOX to new management. I recognize that a year-long restructuring creates additional challenges. Unfortunately, it is not possible to make all the necessary changes in a single day, and I wanted to be direct about the scale.
I know this is painful. These changes will directly affect people who have poured their creativity into building XBOX. Many joined us through acquisitions, while others were recruited here, or sought us out because they loved this industry and loved XBOX. Today’s decisions do not reflect their talent or dedication.
Our business today is not healthy. We are operating at margins that are 3-10x lower than comparable platform and publishing businesses. We entered Gen 9 with a smaller install base and a higher cost structure. To grow, we bet on Game Pass, multi-platform, and a broader portfolio of content. While those businesses have created meaningful value, they did not grow at the pace we expected. As that happened, our core business weakened, and we added more teams, more investment, and more time, hoping for a better outcome. And now the industry is facing the most severe hardware crisis in its history. We must reset XBOX.
First, we will reset our content portfolio.
Since 2018, we have aggressively expanded our studio portfolio while the number of games created each month across the industry now outpaces the last ten years combined. We now find ourselves competing not only with the largest publishers, but also with smaller independent studios. It is neither possible nor desirable to own every great independent studio. We have also learned that we are not the best home for every type of studio; in a typical year, we lost 64 cents for every dollar we invested. As we reset XBOX, we will help independent creators succeed by providing open development tools and audiences to realize their vision.
Compulsion Games and Double Fine Productions will return to management and transition to independent studios with their IP, catalog, and runway for their next games. Ninja Theory and Undead Labs have entered terms to join new ownership with funding to complete and grow Senua and State of Decay 3. In France, Arkane’s management is beginning required consultation with its Works Council to review potential strategic options.
We are also making reductions across other units, and in some cases, shifting investment to focus on higher priority projects. These changes vary in size across Activision, Bethesda/ZeniMax, Blizzard, King, Mojang, and XBOX Game Studios. None of our first party publicly announced games or projects are being cancelled as part of these reductions.
In addition, Mojang and King will now report directly to me. These two studios have increasingly become platforms and are our largest by monthly active players. They bring critical geographic, demographic, and differentiation to XBOX.
Second, we will reset our platform.
We know that great technology gets better when it gets simpler, not bigger. Today, in some parts of the company, work passes through as many as 14 layers of management. Our platform teams are 40% larger than they were at the start of this generation, even as our player base and playtime have declined. That complexity has slowed decisions, blurred accountability, and made it harder to deliver for players. As we reset XBOX, we will simplify.
We will reduce management layers to no more than 5, and where possible, 3. We will deliver success through a flatter organization that is built around makers (individual contributors focused on building), player-coaches (leaders who remain deeply involved in the work while developing their teams), and directly responsible individuals (DRIs) who own key decisions and outcomes. And we will streamline how we work across our tools, with a cleaner code base, shared services, and 50% reduced vendor spend.
Third, we are resetting how we operate.
As XBOX grew our headcount, we became more fragmented. Teams, studios, and functions often operate independently, and it became harder to work towards a shared goal, make the right tradeoffs, and get things done.
For the first time, we are establishing a Chief Operating Officer with end-to-end P&L responsibility across content, hardware, platform, and services. Helen Chiang has been promoted to this role and will report directly to me. Over nearly two decades at XBOX, Helen has helped build some of our most important businesses, from XBOX Live to leading Mojang and the Minecraft franchise. She will bring our businesses together under one operating model, making sure we make clear investment decisions, learn from our successes and failures, and hold ourselves accountable for results.
Thank you, Dave McCarthy, who is retiring after 17 years with XBOX. Dave has played a defining role in building the platform that millions of players rely on every day and has been a trusted partner through many of the biggest moments in XBOX’s history. We wish him all the best.
These changes are about a bigger future for XBOX, not a smaller one. The next decade of gaming will be larger, more global, and more creative than anything we’ve seen before. This year, we’ll invest as much in XBOX as we ever have, but we’ll invest with greater focus, greater discipline, and greater clarity, all in service of making XBOX where the world plays and creates.
I want XBOX to be one of the few companies that entertains more than a billion people each day and gives everyone the opportunity to create and connect.
To see the full message, click https://news.xbox.com/en-us/2026/07/06/resetting-xbox/
Indeed, the Xbox business model deteriorated financially and became much harder to manage. The billions of Dollars spent on Xbox gaming over the past several years did not result in the great gaming experiences for fans and gamers, nor did it compel the Xbox game studios to become productive and disciplined.
First-party games of Xbox in the generation of Xbox Series X and Xbox Series S have been lackluster in quality and enjoyment overall. I played Starfield a lot on my Xbox Series X via Xbox Game Pass and my enjoyment of it has been limited compared with other games of Bethesda. Senua’s Saga: Hellblade II was fun at first but it ended up being hollow. As the said Ninja Theory-developed game lacked depth with its gameplay and game design, I never bothered to replay it after finishing it. Obsidian Entertainment, a company that specialized in making role-playing games (RPGs), produced new RPGs under the Xbox umbrella but none of them were great. In fact, Avowed and The Outer Worlds 2 ended up as commercial failures.
Going back to Asha Sharma’s message, I can say that letting go of Compulsion Games and Double Fine Productions was the right move as the huge amount of money Team Xbox spent of them did not result in great games. Compulsion Games’ South of Midnight was a $100,000,000 production that ended up with sales of way below one million copies. More notably, Compulsion Games has a discriminating woke and hateful community manager who goes by the handle @PikaChulita. Look at the captured evidence below.
The community manager of Compulsion Games openly hates gamers. Look at the details very closely.Speaking of wokeness and discrimination, the controversial Matt Hansen has been laid off from Obsidian Entertainment. Hansen was heavily involved in the huge disappointment called Avowed. That being said, Team Xbox should really REMOVE all the untalented woke activists among its many game developers. Those activists – the feminists, the LGBTQ mob, the Islamists, the Black Lives Matter zealots and others – do not care about making great games at all and they have been misusing Microsoft’s money to turn new Xbox games into vehicles of Leftist/woke/socialist propaganda. Xbox should also cut off any ties with the super woke Sweet Baby Inc.
When it comes to the larger entities like Activision, Bethesda/ZeniMax, Blizzard, King and Mojang, the layoffs are painful but it makes sense to shift investment to focus on higher priority projects. Activision should regain focus on ensuring quality and great fun with its continued productions of Call of Duty (COD) games. Bethesda has to deliver new Fallout and The Elder Scrolls games faster and with the highest quality possible.
With the way things are right now, I am not certain if I will pursue the next-generation Xbox console called “Project Helix”. Memory has gotten much more expensive in recent times due to extremely high demand from artificial intelligence (AI) data centers and the memory manufacturers’ deals with AI companies. How much memory could the next-generation Xbox have and could its retail price exceed $1,000 at launch?
Indeed, the future of Xbox gaming is really clouded and I can only hope that the hard reset of the Xbox business under Asha Sharma will create positive changes and results. To say the least, the reforms have started and only time will tell what will happen next.
In ending this blog post, posted below are selected YouTube videos about the state of Xbox for your enlightenment.
https://youtu.be/2BZBoBAZGsc?si=aL2iNzIiW6It6zvF
https://youtu.be/G7gFcdPmUeM?si=RjfV62K2TEgK4W4c
https://youtu.be/B8jITSU6IfM?si=npeGI3VDmYPRoX4n
https://youtu.be/qWFSICcym9c?si=OVgz7K77aGsISa2N
https://youtu.be/DeUV3IqEZRU?si=U4mZnmOQGY2V6CKO
https://youtu.be/O_1YpnEKkxA?si=yKa24vue7V60KilE
https://youtu.be/FGFD1W415FE?si=NI380YIxmaw2CNBg
+++++
Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco
#amusement #AshaSharma #Avowed #Bethesda #BlackLivesMatter #CallOfDutyCOD #CarloCarrasco #ChatGPT #Communist #CompulsionGames #console #consoleGames #consoleGaming #consoles #diversity #DoubleFine #entertainment #entertainmentBlog #Facebook #Fallout #Fallout5 #FalloutNewVegas #feminism #feminist #feministGarbage #feminists #fun #gameConsoles #GamePass #gamers #gamingConsole #geek #Google #GoogleSearch #Inclusion #Instagram #Islam #IslamicTerrorists #Islamist #IslamoLeft #LGBT #LGBTQ #LGBTQ #LGBTQIA #liberal #Marxist #MattHansen #Microsoft #NinjaTheory #Nintendo #NOToWoke #NOToWokeness #ObsidianEntertainment #originalXboxConsole #PalestinianTerrorists #Palestinians #PikaChulita #PlayStation #PlayStation5PS5 #politicalCorrectness #rabidFeminists #racism #racist #RejectBlackLivesMatter #rejectWoke #rejectWokeness #rolePlayingGameRPG #rolePlayingGamesRPGs #RPG #RPGs #SenuaSSagaHellbladeII #socialMedia #socialist #Sony #SouthOfMidnight #Starfield #SweetBabyInc #TeamXbox #technology #terrorism #terrorists #TheElderScrolls #TheElderScrollsVI #TheOuterWorlds2 #ToddHoward #Tumblr #Twitter #videoGames #WeHappyFew #woke #wokeActivists #wokeFeminists #wokeNuts #wokeness #wokenessIsFoolishness #WordPress #WordPressCom #Xbox #XboxBlog #XboxGamePass #XboxGamePassXGP #XboxReset #XboxSeriesS #XboxSeriesS1TB #XboxSeriesX #XboxSeriesXS #XboxStore #XboxExclusive #YouTube -
Xbox Reset Is Very Painful But Absolutely Necessary
Welcome back Xbox fans and fellow geeks!
As a long-time Xbox fan and owner of three Xbox game consoles, I can say that this current console generation has been disappointing and the current state of Xbox gaming is a huge letdown.
With the approval of Microsoft’s leadership, Team Xbox acquired a lot of game companies that include the giants Activision-Blizzard-King (ABK) and Bethesda, going right down to the smaller game studios. Those were acquired with the promise of new and exciting games that would make Xbox gaming really great in the form of exclusive games, new content for Game Pass subscribers and more.
Sadly, things turned out really disappointing and now the new Xbox head Asha Sharma has the tremendous challenge of making drastic reforms, downsizing and correcting the cases of mismanagement by the previous leadership. That said, she declared a hard reset of the Xbox business and the changes are being implemented already.
To put things in perspective, posted below is an excerpt from the Xbox announcement focused on Asha Sharma’s message to the entire team. Some parts in boldface…
We are beginning the most significant restructure in XBOX history. After careful consideration, I’ve made the difficult decision to reduce our team by approximately 3,200 throughout FY27. This will include approximately 1,600 role eliminations today, and in addition, four studios will leave XBOX to new management. I recognize that a year-long restructuring creates additional challenges. Unfortunately, it is not possible to make all the necessary changes in a single day, and I wanted to be direct about the scale.
I know this is painful. These changes will directly affect people who have poured their creativity into building XBOX. Many joined us through acquisitions, while others were recruited here, or sought us out because they loved this industry and loved XBOX. Today’s decisions do not reflect their talent or dedication.
Our business today is not healthy. We are operating at margins that are 3-10x lower than comparable platform and publishing businesses. We entered Gen 9 with a smaller install base and a higher cost structure. To grow, we bet on Game Pass, multi-platform, and a broader portfolio of content. While those businesses have created meaningful value, they did not grow at the pace we expected. As that happened, our core business weakened, and we added more teams, more investment, and more time, hoping for a better outcome. And now the industry is facing the most severe hardware crisis in its history. We must reset XBOX.
First, we will reset our content portfolio.
Since 2018, we have aggressively expanded our studio portfolio while the number of games created each month across the industry now outpaces the last ten years combined. We now find ourselves competing not only with the largest publishers, but also with smaller independent studios. It is neither possible nor desirable to own every great independent studio. We have also learned that we are not the best home for every type of studio; in a typical year, we lost 64 cents for every dollar we invested. As we reset XBOX, we will help independent creators succeed by providing open development tools and audiences to realize their vision.
Compulsion Games and Double Fine Productions will return to management and transition to independent studios with their IP, catalog, and runway for their next games. Ninja Theory and Undead Labs have entered terms to join new ownership with funding to complete and grow Senua and State of Decay 3. In France, Arkane’s management is beginning required consultation with its Works Council to review potential strategic options.
We are also making reductions across other units, and in some cases, shifting investment to focus on higher priority projects. These changes vary in size across Activision, Bethesda/ZeniMax, Blizzard, King, Mojang, and XBOX Game Studios. None of our first party publicly announced games or projects are being cancelled as part of these reductions.
In addition, Mojang and King will now report directly to me. These two studios have increasingly become platforms and are our largest by monthly active players. They bring critical geographic, demographic, and differentiation to XBOX.
Second, we will reset our platform.
We know that great technology gets better when it gets simpler, not bigger. Today, in some parts of the company, work passes through as many as 14 layers of management. Our platform teams are 40% larger than they were at the start of this generation, even as our player base and playtime have declined. That complexity has slowed decisions, blurred accountability, and made it harder to deliver for players. As we reset XBOX, we will simplify.
We will reduce management layers to no more than 5, and where possible, 3. We will deliver success through a flatter organization that is built around makers (individual contributors focused on building), player-coaches (leaders who remain deeply involved in the work while developing their teams), and directly responsible individuals (DRIs) who own key decisions and outcomes. And we will streamline how we work across our tools, with a cleaner code base, shared services, and 50% reduced vendor spend.
Third, we are resetting how we operate.
As XBOX grew our headcount, we became more fragmented. Teams, studios, and functions often operate independently, and it became harder to work towards a shared goal, make the right tradeoffs, and get things done.
For the first time, we are establishing a Chief Operating Officer with end-to-end P&L responsibility across content, hardware, platform, and services. Helen Chiang has been promoted to this role and will report directly to me. Over nearly two decades at XBOX, Helen has helped build some of our most important businesses, from XBOX Live to leading Mojang and the Minecraft franchise. She will bring our businesses together under one operating model, making sure we make clear investment decisions, learn from our successes and failures, and hold ourselves accountable for results.
Thank you, Dave McCarthy, who is retiring after 17 years with XBOX. Dave has played a defining role in building the platform that millions of players rely on every day and has been a trusted partner through many of the biggest moments in XBOX’s history. We wish him all the best.
These changes are about a bigger future for XBOX, not a smaller one. The next decade of gaming will be larger, more global, and more creative than anything we’ve seen before. This year, we’ll invest as much in XBOX as we ever have, but we’ll invest with greater focus, greater discipline, and greater clarity, all in service of making XBOX where the world plays and creates.
I want XBOX to be one of the few companies that entertains more than a billion people each day and gives everyone the opportunity to create and connect.
To see the full message, click https://news.xbox.com/en-us/2026/07/06/resetting-xbox/
Indeed, the Xbox business model deteriorated financially and became much harder to manage. The billions of Dollars spent on Xbox gaming over the past several years did not result in the great gaming experiences for fans and gamers, nor did it compel the Xbox game studios to become productive and disciplined.
First-party games of Xbox in the generation of Xbox Series X and Xbox Series S have been lackluster in quality and enjoyment overall. I played Starfield a lot on my Xbox Series X via Xbox Game Pass and my enjoyment of it has been limited compared with other games of Bethesda. Senua’s Saga: Hellblade II was fun at first but it ended up being hollow. As the said Ninja Theory-developed game lacked depth with its gameplay and game design, I never bothered to replay it after finishing it. Obsidian Entertainment, a company that specialized in making role-playing games (RPGs), produced new RPGs under the Xbox umbrella but none of them were great. In fact, Avowed and The Outer Worlds 2 ended up as commercial failures.
Going back to Asha Sharma’s message, I can say that letting go of Compulsion Games and Double Fine Productions was the right move as the huge amount of money Team Xbox spent of them did not result in great games. Compulsion Games’ South of Midnight was a $100,000,000 production that ended up with sales of way below one million copies. More notably, Compulsion Games has a discriminating woke and hateful community manager who goes by the handle @PikaChulita. Look at the captured evidence below.
The community manager of Compulsion Games openly hates gamers. Look at the details very closely.Speaking of wokeness and discrimination, the controversial Matt Hansen has been laid off from Obsidian Entertainment. Hansen was heavily involved in the huge disappointment called Avowed. That being said, Team Xbox should really REMOVE all the untalented woke activists among its many game developers. Those activists – the feminists, the LGBTQ mob, the Islamists, the Black Lives Matter zealots and others – do not care about making great games at all and they have been misusing Microsoft’s money to turn new Xbox games into vehicles of Leftist/woke/socialist propaganda. Xbox should also cut off any ties with the super woke Sweet Baby Inc.
When it comes to the larger entities like Activision, Bethesda/ZeniMax, Blizzard, King and Mojang, the layoffs are painful but it makes sense to shift investment to focus on higher priority projects. Activision should regain focus on ensuring quality and great fun with its continued productions of Call of Duty (COD) games. Bethesda has to deliver new Fallout and The Elder Scrolls games faster and with the highest quality possible.
With the way things are right now, I am not certain if I will pursue the next-generation Xbox console called “Project Helix”. Memory has gotten much more expensive in recent times due to extremely high demand from artificial intelligence (AI) data centers and the memory manufacturers’ deals with AI companies. How much memory could the next-generation Xbox have and could its retail price exceed $1,000 at launch?
Indeed, the future of Xbox gaming is really clouded and I can only hope that the hard reset of the Xbox business under Asha Sharma will create positive changes and results. To say the least, the reforms have started and only time will tell what will happen next.
In ending this blog post, posted below are selected YouTube videos about the state of Xbox for your enlightenment.
https://youtu.be/2BZBoBAZGsc?si=aL2iNzIiW6It6zvF
https://youtu.be/G7gFcdPmUeM?si=RjfV62K2TEgK4W4c
https://youtu.be/B8jITSU6IfM?si=npeGI3VDmYPRoX4n
https://youtu.be/qWFSICcym9c?si=OVgz7K77aGsISa2N
https://youtu.be/DeUV3IqEZRU?si=U4mZnmOQGY2V6CKO
https://youtu.be/O_1YpnEKkxA?si=yKa24vue7V60KilE
https://youtu.be/FGFD1W415FE?si=NI380YIxmaw2CNBg
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Thank you for reading. If you find this article engaging, please click the like button below, share this article to others and also please consider making a donation to support my publishing. If you are looking for a copywriter to create content for your special project or business, check out my services and my portfolio. Feel free to contact me with a private message. Also please feel free to visit my Facebook page Author Carlo Carrasco and follow me on Twitter at @CarloCarrascoPH as well as on Tumblr at https://carlocarrasco.tumblr.com/ and on Instagram athttps://www.instagram.com/authorcarlocarrasco
#amusement #AshaSharma #Avowed #Bethesda #BlackLivesMatter #CallOfDutyCOD #CarloCarrasco #ChatGPT #Communist #CompulsionGames #console #consoleGames #consoleGaming #consoles #diversity #DoubleFine #entertainment #entertainmentBlog #Facebook #Fallout #Fallout5 #FalloutNewVegas #feminism #feminist #feministGarbage #feminists #fun #gameConsoles #GamePass #gamers #gamingConsole #geek #Google #GoogleSearch #Inclusion #Instagram #Islam #IslamicTerrorists #Islamist #IslamoLeft #LGBT #LGBTQ #LGBTQ #LGBTQIA #liberal #Marxist #MattHansen #Microsoft #NinjaTheory #Nintendo #NOToWoke #NOToWokeness #ObsidianEntertainment #originalXboxConsole #PalestinianTerrorists #Palestinians #PikaChulita #PlayStation #PlayStation5PS5 #politicalCorrectness #rabidFeminists #racism #racist #RejectBlackLivesMatter #rejectWoke #rejectWokeness #rolePlayingGameRPG #rolePlayingGamesRPGs #RPG #RPGs #SenuaSSagaHellbladeII #socialMedia #socialist #Sony #SouthOfMidnight #Starfield #SweetBabyInc #TeamXbox #technology #terrorism #terrorists #TheElderScrolls #TheElderScrollsVI #TheOuterWorlds2 #ToddHoward #Tumblr #Twitter #videoGames #WeHappyFew #woke #wokeActivists #wokeFeminists #wokeNuts #wokeness #wokenessIsFoolishness #WordPress #WordPressCom #Xbox #XboxBlog #XboxGamePass #XboxGamePassXGP #XboxReset #XboxSeriesS #XboxSeriesS1TB #XboxSeriesX #XboxSeriesXS #XboxStore #XboxExclusive #YouTube -
Xbox Announces Major Restructuring and Significant Layoffs
A New Direction for Xbox
Xbox is set to undergo a major corporate shift as new CEO Asha Sharma announced what is being described as the most significant restructure in the history of the Microsoft-owned gaming division. The plan involves a reduction in workforce that will impact thousands of employees over the coming year.... -
إشاعة: تأثير تسريحات Xbox على Blizzard كان محدودًا مقارنة ببقية الاستوديوهات وتبدو في وضع أكثر أمانًا نسبيًا. #games #ألعاب # #Blizzard #Blizzcon #Diablo #DoubleFine #DoubleFineProductions #Microsoft #NinjaTheory #RaphaelColantonio #StarCraft #UndeadLabs #Warcraft #Xbox https://www.saudigamer.com/xbox-layoffs-effects-on-blizzard-have-been-comparatively-minimal-rumor/
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Xbox Announces Major Restructuring and Significant Layoffs
A New Direction for Xbox
Xbox is set to undergo a major corporate shift as new CEO Asha Sharma announced what is being described as the most significant restructure in the history of the Microsoft-owned gaming division. The plan involves a reduction in workforce that will impact thousands of employees over the coming year.... -
It’s Independence from Xbox Day
Hey, at least Xbox isn’t outright closing studios here, but this is clearly only a beginning.
https://www.dcgameblog.com/2026/07/its-independence-from-xbox-day/
#ArkaneStudios #AshaSharma #CompulsionGames #DoubleFine #Microsoft #NinjaTheory #Psychonauts2 #Senuagame #UndeadLabs #XboxGameStudios -
It’s Independence from Xbox Day
Hey, at least Xbox isn’t outright closing studios here, but this is clearly only a beginning.
https://www.dcgameblog.com/2026/07/its-independence-from-xbox-day/
#ArkaneStudios #AshaSharma #CompulsionGames #DoubleFine #Microsoft #NinjaTheory #Psychonauts2 #Senuagame #UndeadLabs #XboxGameStudios -
It’s Independence from Xbox Day
Hey, at least Xbox isn’t outright closing studios here, but this is clearly only a beginning.
https://www.dcgameblog.com/2026/07/its-independence-from-xbox-day/
#ArkaneStudios #AshaSharma #CompulsionGames #DoubleFine #Microsoft #NinjaTheory #Psychonauts2 #Senuagame #UndeadLabs #XboxGameStudios -
It’s Independence from Xbox Day
Hey, at least Xbox isn’t outright closing studios here, but this is clearly only a beginning.
https://www.dcgameblog.com/2026/07/its-independence-from-xbox-day/
#ArkaneStudios #AshaSharma #CompulsionGames #DoubleFine #Microsoft #NinjaTheory #Psychonauts2 #Senuagame #UndeadLabs #XboxGameStudios -
It’s Independence from Xbox Day
Hey, at least Xbox isn’t outright closing studios here, but this is clearly only a beginning.
https://www.dcgameblog.com/2026/07/its-independence-from-xbox-day/
#ArkaneStudios #AshaSharma #CompulsionGames #DoubleFine #Microsoft #NinjaTheory #Psychonauts2 #Senuagame #UndeadLabs #XboxGameStudios -
https://www.europesays.com/pl/539243/ Microsoft zwalnia prawie 5000 pracowników. Poznaliśmy losy łącznie czterech zespołów od Xbox Game Studios #arkane #bethesda #CompulsionGames #DoubleFineProductions #microsoft #Nauka #NaukaITechnika #NaukaTechnika #NinjaTheory #PL #Poland #Polish #Polska #Polski #Rozrywka #Science #ScienceAndTechnology #ScienceTechnology #Technika #Technology #UndeadLabs #Xbox #XboxGameStudios #zenimax
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Xbox تؤكد التخلي عن 5 استوديوهات وتسريح آلاف الموظفين وDouble FineوCompulsionتشكران الشركة بعد العودة للاستقلال. #games #ألعاب # #DoubleFine #Microsoft #NinjaTheory #Psychonauts #Xbox https://www.saudigamer.com/xbox-confirms-plans-to-cut-5-studios-and-thousands-of-jobs-2/
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XBOX bestätigt über 3.200 Entlassungen und Trennung von vier Studios
Microsoft hat angekündigt, im Rahmen eines umfassenden „Resets" von XBOX 3.200 Mitarbeiter zu entlassen. 1.600 Stellen werden sofort abgebaut, weitere 1.600 innerhalb der nächsten zwölf Monate. Betroffen sind mehrere Unternehmensbereiche, darunter Activision, Bethesda/ZeniMax, Blizzard, King, Mojang und XBOX Game Studios. Die vier betroffenen Studios Keines der Studios wird vollständig geschlossen, jedoch trennt sich XBOX von vier Entwicklern: Double Fine (Psychonauts 2, Keeper) und […] -
XBOX bestätigt über 3.200 Entlassungen und Trennung von vier Studios
Microsoft hat angekündigt, im Rahmen eines umfassenden „Resets" von XBOX 3.200 Mitarbeiter zu entlassen. 1.600 Stellen werden sofort abgebaut, weitere 1.600 innerhalb der nächsten zwölf Monate. Betroffen sind mehrere Unternehmensbereiche, darunter Activision, Bethesda/ZeniMax, Blizzard, King, Mojang und XBOX Game Studios. Die vier betroffenen Studios Keines der Studios wird vollständig geschlossen, jedoch trennt sich XBOX von vier Entwicklern: Double Fine (Psychonauts 2, Keeper) und […] -
"Gaming division CEO Asha Sharma has announced that they will lay off 3200 people over their next financial year, beginning today with around 1600 redundancies. In addition, Microsoft are parting ways with five of their best-known studios: Psychonauts developers Double Fine, State of Decay developers Undead Labs, Senua developers Ninja Theory, South of Midnight developers Compulsion, and Dishonored developers Arkane."
Not unexpected, but still heartbreaking news indicating how the industry continues to be in a such a big, unstable mess.
Anyways, support your fave small studios and indie devs.
#Xbox #Microsoft #Gaming #Games #VideoGames #Layoffs #IndieGame #DoubleFine #CompulsionGames #NinjaTheory #UndeadLabs
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"Gaming division CEO Asha Sharma has announced that they will lay off 3200 people over their next financial year, beginning today with around 1600 redundancies. In addition, Microsoft are parting ways with five of their best-known studios: Psychonauts developers Double Fine, State of Decay developers Undead Labs, Senua developers Ninja Theory, South of Midnight developers Compulsion, and Dishonored developers Arkane."
Not unexpected, but still heartbreaking news indicating how the industry continues to be in a such a big, unstable mess.
Anyways, support your fave small studios and indie devs.
#Xbox #Microsoft #Gaming #Games #VideoGames #Layoffs #IndieGame #DoubleFine #CompulsionGames #NinjaTheory #UndeadLabs
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"Gaming division CEO Asha Sharma has announced that they will lay off 3200 people over their next financial year, beginning today with around 1600 redundancies. In addition, Microsoft are parting ways with five of their best-known studios: Psychonauts developers Double Fine, State of Decay developers Undead Labs, Senua developers Ninja Theory, South of Midnight developers Compulsion, and Dishonored developers Arkane."
Not unexpected, but still heartbreaking news indicating how the industry continues to be in a such a big, unstable mess.
Anyways, support your fave small studios and indie devs.
#Xbox #Microsoft #Gaming #Games #VideoGames #Layoffs #IndieGame #DoubleFine #CompulsionGames #NinjaTheory #UndeadLabs
-
"Gaming division CEO Asha Sharma has announced that they will lay off 3200 people over their next financial year, beginning today with around 1600 redundancies. In addition, Microsoft are parting ways with five of their best-known studios: Psychonauts developers Double Fine, State of Decay developers Undead Labs, Senua developers Ninja Theory, South of Midnight developers Compulsion, and Dishonored developers Arkane."
Not unexpected, but still heartbreaking news indicating how the industry continues to be in a such a big, unstable mess.
Anyways, support your fave small studios and indie devs.
#Xbox #Microsoft #Gaming #Games #VideoGames #Layoffs #IndieGame #DoubleFine #CompulsionGames #NinjaTheory #UndeadLabs
-
"Gaming division CEO Asha Sharma has announced that they will lay off 3200 people over their next financial year, beginning today with around 1600 redundancies. In addition, Microsoft are parting ways with five of their best-known studios: Psychonauts developers Double Fine, State of Decay developers Undead Labs, Senua developers Ninja Theory, South of Midnight developers Compulsion, and Dishonored developers Arkane."
Not unexpected, but still heartbreaking news indicating how the industry continues to be in a such a big, unstable mess.
Anyways, support your fave small studios and indie devs.
#Xbox #Microsoft #Gaming #Games #VideoGames #Layoffs #IndieGame #DoubleFine #CompulsionGames #NinjaTheory #UndeadLabs
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Four Xbox Studios Are Leaving Microsoft As Arkane Lyon Faces Uncertain Future
Following weeks of rumours, reports and ominous hints from Xbox CEO Asha Sharma, the bloodbath has finally begun.
A lot is happening today, and reporting is still coming out. Xbox has not officially announced every single detail itself, but the reporting we’re going to discuss here comes from extremely reliable sources, including Jason Schreier and Brody Ford at Bloomberg, Tom Warren at The Verge, and Christopher Dring at The Game Business.
AdvertisementsThis article is going to focus purely on the studios themselves, which is what I suspect most people will be interested in. Five studios are, at the moment, reportedly being affected: Double Fine, Compulsion Games, Ninja Theory, Undead Labs and Arkane Lyon.
This is not just about job cuts. Sharma has repeatedly said that Microsoft is planning to “reset” Xbox, and that appears to be exactly what we are seeing: huge layoffs, studios being sold or spun out, and a much leaner Xbox focused more heavily on its biggest franchises.
Importantly, though, this does not appear to be a straightforward studio closure story. According to The Game Business, no studios are being closed today. Instead, four studios are leaving Xbox, while a fifth, Arkane Lyon, is entering a formal process to determine its future.
Double Fine Productions
Jumping into the studios, we begin with Double Fine, which is set to regain its independence.
CEO Tim Schafer will reportedly be taking the reins back from Microsoft, and Double Fine will apparently keep all of its IP, back catalogue, and future revenue from that back catalogue. Even more surprisingly, it will also apparently receive runway funding from Microsoft to begin its next project while it seeks further financing.
My gut instinct here is that there may be some sort of deal on the table where Double Fine continues to produce games for Microsoft in one form or another, a bit like Toys for Bob after it gained its independence. That studio has gone on to work on the new Spyro game which made its debut at the Xbox Showcase this summer. The returning purple dragon will be published across Xbox, PlayStation, Switch and PC by Xbox themselves.
The bigger question is whether Double Fine can survive on its own. The studio is beloved, but it is based in San Francisco, which is not exactly the cheapest place in the world to run a game studio, and Double Fine is not known for turning out massive financial hits. Most likely, I would expect to see cuts at Double Fine as well, but at least the studio has a chance to continue.
Compulsion Games
Much the same can be said for Compulsion Games, which is also returning to independent status.
Like Double Fine, Compulsion will reportedly be allowed to keep its IP and back catalogue, and The Game Business says it will also receive some runway funding from Microsoft.
I previously covered that many Compulsion Games employees were already seeking new work on LinkedIn, so this outcome is not exactly coming out of nowhere. Like Double Fine, though, this is probably about the best outcome Compulsion could have hoped for under the circumstances. There is at least a chance the studio can survive and perhaps even thrive. That is much better than simply being closed outright.
Much like Double Fine, I suspect there might be some sort of deal for future Xbox games. Perhaps some contract regarding any future games being put onto Game Pass? Maybe a publishing deal?
Compulsion’s last game, South of Midnight, didn’t do great financially, but it did snag the studio a Peabody Award.
AdvertisementsNinja Theory
Now things get even more interesting, because Ninja Theory is reportedly being sold to an undisclosed buyer.
According to The Game Business, Ninja Theory has “entered terms” with a new owner, although that owner has not yet been announced and the deal has not closed. The Game Business also reports that the new owner will get Ninja Theory’s IP and back catalogue.
Meanwhile, the new Hellblade game, Senua, which was recently announced at the Xbox Games Showcase, is still expected to continue development. According to The Game Business, the game is currently due in 2027 and has passed 100,000 Steam wishlists since its reveal, citing GameDiscover data, so there’s at least some interest in a new, more action-focused Senua game.
Previously, it was odd for Xbox to show debut Senua trailer at its summer showcase while Ninja Theory’s future was reportedly uncertain. Later reporting suggested Microsoft may have shown the trailer partly to help Ninja Theory attract a buyer.
Based on today’s report, it seems that may have worked.
Undead Labs
Much the same can be said of State of Decay 3. It was also shown at the Xbox Showcase, again likely in a bid to encourage…well, a bid.
Undead Labs is also reportedly being sold to an undisclosed buyer. Like Ninja Theory, the deal has not yet closed, and the new buyer will apparently receive the studio’s IP and back catalogue.
The current project, State of Decay 3, is still expected to continue. The Game Business reports that the game is due next year and has nearly 930,000 Steam wishlists, although it is worth noting that the Steam page has been live since June 2024.
Based on the reporting from Bloomberg and The Verge, both State of Decay 3 and Ninja Theory’s Senua are expected to continue with Xbox still involved in some capacity. Exactly what the final publishing arrangements look like after these deals close is not entirely clear, but the important point for now is that neither project appears to have been cancelled.
There’s a strong chance both State of Decay 3 and Senua will be published under the Xbox name.
AdvertisementsArkane Lyon
The final studio to discuss is Arkane Lyon, the surviving piece of Arkane, and easily the most uncertain case being reported today.
Arkane Lyon is seemingly not being sold immediately. Instead, Microsoft is beginning the required consultation process in France to review “strategic options.” Because Arkane Lyon is based in France, this process is more complicated and could take months.
The Game Business reports that Xbox is hoping it can avoid closure for Arkane as well, but right now the studio’s future is clearly uncertain.
Arkane Lyon is currently working on Marvel’s Blade, which Microsoft says remains in development. Tom Warren reports that Blade has been delayed and is running over budget, but at least for now, the game has not been cancelled.
It was also reported just the other day that MachineGames boss Jerk Gustafsson had reportedly been running, or at least helping run, Arkane Lyon since summer 2025. At the time, some people theorised that this could mean a merger between MachineGames and Arkane Lyon, but based on today’s reporting, that does not appear to be what is happening.
So, to be very clear: Blade is still alive, but Arkane Lyon is now officially in limbo.
The Best Possible Outcome Can Still Suck
Undeniably, what is happening at Xbox today is horrifying, especially given the number of people reportedly being laid off, which may amount to around 3,200 over the next year. I’ll discuss the job losses in a separate article, because they deserve their own space.
Focusing purely on the studios for a moment, though, this is probably about the best possible outcome we could have hoped for. Which sounds horrible to say.
Yes, it absolutely sucks that Xbox is getting rid of them at all. It also sucks that Microsoft bought these studios, folded them into the Xbox machine, and has now decided several of them no longer fit the future of the business. But in practical terms, Microsoft does appear to be handling the studio side of this better than it could have.
Double Fine and Compulsion are not just being cut loose. They are reportedly being allowed to go independent with their IP, their back catalogues, future revenue from those catalogues, and some runway funding from Microsoft to help them begin their next projects while they seek further financing.
That last part is important. Xbox almost certainly could have retained those IPs and catalogues if it wanted to. Instead, at least according to today’s reporting, it is letting the studios take them. In that sense, Microsoft is being about as generous as you could realistically expect any giant corporation to be in this situation.
Well, if you ignore the fact that it bought these studios and is now getting rid of them in the first place.
Ninja Theory and Undead Labs are in a slightly different position, as they are reportedly being sold to undisclosed buyers, but even there, the goal seems to be keeping the studios alive and getting Senua and State of Decay 3 over the finish line. They get to live and fight another day, with the support of their new owners behind them, assuming the deals go through.
Arkane Lyon remains the big unresolved case. Xbox is beginning the required consultation process in France to review “strategic options,” and The Game Business reports that Microsoft hopes it can avoid closure for that team as well.
Again, this is probably the best we could have hoped for. But the best you can hope for can still suck. And this news does still suck.
Double Fine, Compulsion, Ninja Theory, Undead Labs and Arkane were all purchased during the era when Xbox was aggressively expanding its first-party portfolio. At the time, the strategy was to feed Game Pass, broaden Xbox’s output, and compete more aggressively with both PlayStation and Nintendo.
Now, under Asha Sharma, Xbox is saying it cannot and should not own every great independent studio. Instead, the company appears to be paring everything back, focusing more heavily on its biggest IPs such as Halo, Fallout and, if recent reporting is to be believed, even Wolfenstein.
The studios being sold, spun out, or, in the case of Arkane Lyon, left in limbo, are at least being given a chance to fight for their futures. That is better than being thrown out on the street with nothing.
But that future is still uncertain. Can studios like Double Fine and Compulsion survive independently in 2026? They did previously, but it is a very different world now.
Let’s hope they can. Let’s hope they keep making weird, unique, interesting and fun games.
Because Xbox clearly does not want to be that kind of home anymore.
#Arkane #ArkaneLyon #CompulsionGames #DoubleFine #News #NinjaTheory #PC #PlayStation #UndeadLabs #xbo -
#CompulsionGames and #DoubleFine are free. Great!
#NinjaTheory and #ArkaneStudios maybe too. Cautious optimism.
Of course, people losing jobs is bad, but I don’t care if a couple of those companies disintegrate completely. You can look up the rest of the bad things yourself.
P.S. Is that what you call a “new” logo? Effin ell!
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Xbox Announces Major Restructuring and Significant Layoffs
A New Direction for Xbox
Xbox is set to undergo a major corporate shift as new CEO Asha Sharma announced what is being described as the most significant restructure in the history of the Microsoft-owned gaming division. The plan involves a reduction in workforce that will impact thousands of employees over the coming year.... -
Xbox to Cut 3,200 Jobs as Major Restructure Sends Four Studios Out of Microsoft
https://fed.brid.gy/r/https://noisypixel.net/xbox-asha-sharma-3200-job-cuts-studio-restructuring/
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Microsoft announces 3200 layoffs and four studio departures in "most significant" Xbox restructuring in history
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It find funny that #XBOX is imploding.
I still maintain the theory that it went downhill since Xbox One catastrophe and PlayStation 4 bashing. That was game over.
It's a shame that the only people who lose are both gamers and employees.
If God exists, #Nintendo will grab #DoubleFine and #NinjaTheory will go to #PlayStationStudios. Is that too much to ask?
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It find funny that #XBOX is imploding.
I still maintain the theory that it went downhill since Xbox One catastrophe and PlayStation 4 bashing. That was game over.
It's a shame that the only people who lose are both gamers and employees.
If God exists, #Nintendo will grab #DoubleFine and #NinjaTheory will go to #PlayStationStudios. Is that too much to ask?
-
It find funny that #XBOX is imploding.
I still maintain the theory that it went downhill since Xbox One catastrophe and PlayStation 4 bashing. That was game over.
It's a shame that the only people who lose are both gamers and employees.
If God exists, #Nintendo will grab #DoubleFine and #NinjaTheory will go to #PlayStationStudios. Is that too much to ask?
-
It find funny that #XBOX is imploding.
I still maintain the theory that it went downhill since Xbox One catastrophe and PlayStation 4 bashing. That was game over.
It's a shame that the only people who lose are both gamers and employees.
If God exists, #Nintendo will grab #DoubleFine and #NinjaTheory will go to #PlayStationStudios. Is that too much to ask?
-
It find funny that #XBOX is imploding.
I still maintain the theory that it went downhill since Xbox One catastrophe and PlayStation 4 bashing. That was game over.
It's a shame that the only people who lose are both gamers and employees.
If God exists, #Nintendo will grab #DoubleFine and #NinjaTheory will go to #PlayStationStudios. Is that too much to ask?
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جيسون شراير يصحح شائعات إغلاق Ninja Theory.. وتسريحات Xbox لم تبدأ بعد VGA4A - أخبار العاب الفيديو
أكد الصحفي جيسون شراير من Bloomberg أن التقارير التي تحدثت عن إغلاق استوديو Ninja Theory بشكل نهائي ليست دقيقة في الوقت الحالي، موضحًا أن مايكروسوفت لم تبدأ بعد تنفيذ موجة التسريحات المنتظرة داخل قسم Xbox. وأوضح شراير، وفقًا لما نُقل عن تعليقاته، أن عمليات إعادة الهيكلة الواسعة لن تبدأ قبل أوائل شهر يوليو، وذلك بعد … #Games #ألعاب # #NinjaTheory #OmpulsionGameshttps://www.vga4a.com/archives/325478 -
https://www.europesays.com/es/612319/ La Unión Europea tumba la propuesta de Stop Killing Games y la sustituye con un código voluntario de buena conducta #Ciencia #CienciaYTecnología #CienciaYtecnología #DON’TNOD #ES #España #NinjaTheory #Science #ScienceAndTechnology #ScienceAndTechnology #Senua #Spain #StopKillingGames #Technology #Tecnología
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So, you make something to get people to invest, but were planning on closing the studio anyway?
I want Microsoft and Xbox to just die now!
Microsoft Apparently Already Knew It Would Be Closing Ninja Theory When It Announced Senua
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So, you make something to get people to invest, but were planning on closing the studio anyway?
I want Microsoft and Xbox to just die now!
Microsoft Apparently Already Knew It Would Be Closing Ninja Theory When It Announced Senua
-
So, you make something to get people to invest, but were planning on closing the studio anyway?
I want Microsoft and Xbox to just die now!
Microsoft Apparently Already Knew It Would Be Closing Ninja Theory When It Announced Senua
-
So, you make something to get people to invest, but were planning on closing the studio anyway?
I want Microsoft and Xbox to just die now!
Microsoft Apparently Already Knew It Would Be Closing Ninja Theory When It Announced Senua
-
So, you make something to get people to invest, but were planning on closing the studio anyway?
I want Microsoft and Xbox to just die now!
Microsoft Apparently Already Knew It Would Be Closing Ninja Theory When It Announced Senua
-
Microsoft Was Reportedly Already Planning Ninja Theory Split When It Announced Senua at the Xbox Games Showcase, With the Reveal Intended to Draw in Investors
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Microsoft Was Reportedly Already Planning Ninja Theory Split When It Announced Senua at the Xbox Games Showcase, With the Reveal Intended to Draw in Investors
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Microsoft Was Reportedly Already Planning Ninja Theory Split When It Announced Senua at the Xbox Games Showcase, With the Reveal Intended to Draw in Investors