- Insider reveals Microsoft leadership briefly discussed shutting down Obsidian.
- Important decisions at Xbox are being made within 24 hours under Asha Sharma.
- Xbox now operates with a startup mentality, turning around important decisions instantly.
Xbox is about to undergo a grim resizing as the new leadership aims to bring the brand back on ‘the right track.’ At least five studios are at risk of closure or going independent if they can secure a buyer. So, the morale of developers is at an all-time low.
Previously, reports suggested that Xbox’s flagship studio, Obsidian Entertainment, could be a part of these closures.
Conflicting information emerged to counter the earlier claims, but insider Jeff Grubb clarifies that Microsoft leadership briefly discussed closing the studio.
Why it matters: The future of Xbox is incredibly fragile as the looming studio closures and layoffs approach. The leadership is considering shuttering even the most talented teams to focus solely on its flagship IPs moving forward.
Over on YouTube, credible industry insider Jeff Grubb says that conflicting reports emerged because these decisions to close studios are being made within 24 hours.
The new Xbox leadership is operating with a startup mentality, where important decisions get turned around instantly.
I kind of went and looked, and it’s like, ‘Yeah, that was going around inside Microsoft.’ […] It sounds like things just happened very fast with Obsidian.
-Insider, jeff Grub.
His sources confirmed that the studio was on the chopping block for a while, but the situation might have improved for now.
It seems like the team’s future can still be at risk and under consideration until the Xbox cuts inevitably happen.
[Xbox is] making decisions within like a 24-hour period. These are the kinds of decisions that previously, under the previous leadership, would have taken weeks or months, and now she’s turning these things around instantaneously.
Obsidian has produced some of the better-quality games under Xbox in recent years, including Avowed and The Outer Worlds 2. However, both these titles reportedly failed to hit their internal sales milestones, according to past reports.
Do you think Xbox closing down Obsidian would have been a wise decision over some of the other studios that are inevitably on the chopping block? Let us know your thoughts in the comments below, or join the discussion on the Tech4Gamers forum.
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Shameer Sarfaraz has previously worked for eXputer as a Senior News Writer for several years. Now with Tech4Gamers, he loves to devoutly keep up with the latest gaming and entertainment industries. He has a Bachelor’s Degree in Computer Science and years of experience reporting on games. Besides his passion for breaking news stories, Shahmeer loves spending his leisure time farming away in Stardew Valley. VGC, IGN, GameSpot, Game Rant, TheGamer, GamingBolt, The Verge, NME, Metro, Dot Esports, GameByte, Kotaku Australia, PC Gamer, and more have cited his articles.
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