Under the guise of the big ones Xbox reset, Asha SharmaThe big scissors had a big impact on the internal studios. While none of the studios that were threatened with closure are actually closing, which is amazing news indeed, some of the most successful teams remain at Xbox and Bethesda are severely affected by layoffsAccording to reports.
Obsidian Entertainmentfor example. The California studio has been one of the most prolific since joining Xbox with its release in 2018 The Outer Worlds 1 and 2, Grounded 1 and 2, penetrationAnd Explained. Granted, none of these were resounding successes (except to some extent the first Grounded), but the games were still well received. And yet, according to Kotaku, the team loses 25% of staffwith cuts affecting all departments, including quality assurance, artists, writers, programmers and producers. The report adds that work continues on Grounded 2, which is still in Early Access, and the promised DLC for The Outer Worlds 2. Still an insider at Obsidian questioned how the studio can continue to pursue its ambitious slate of projects when a quarter of its staff is gone.
The future of another historic studio is in doubt. id software (DOOM, Quake) is not closing, but Jason Schreier said they have been forced to cut a significant portion of their staff. Scott Millerone of the founders of Apogee/3D Realms, added that most, if not all, of the studio’s programmers have reportedly disappeared. The fear in this case is that id Software could become a support studio for MachineGamesto help them develop new DOOM, Quake and Wolfenstein games, which are apparently still part of Sharma’s new Xbox plan. Nevertheless, this is a big blow for a legendary team that has also published successful games with the last three DOOM games. By the way, Revelationsthe DLC for DOOM: The Dark Ages, releases today and could be your farewell as lead developer.
Finally there is ZeniMax Online Studioswhich was already affected by the cancellation of its promising event last year Project Blackbird game and the subsequent layoffs that impacted the team. The studio was hit hard again this year, which the team says will impact the previously announced 2026 roadmap The Elder Scrolls Online:
As we prepare to launch Season 1 this week, we wanted to reaffirm our commitment to The Elder Scrolls Online. Our team’s immediate focus is on launching the first season, and we’re all excited for you to be a part of it.
As we look beyond Season 1, the roadmaps we previously shared will change. We want to take the time to assess the work ahead and then establish an updated schedule. While we would like to share specific details today, taking a step back to clarify our plans will allow us to come back to you with a clear timeline.
The Elder Scrolls Online has always been like this one of the most successful live service games in the Xbox portfolio. Furthermore, Sharma is said to be betting heavily on the Elder Scrolls IP, and yet even that wasn’t enough to prevent this unfortunate situation.
About the author: With over two decades of experience in gaming journalism, Alessio Palumbo has led the gaming industry at Wccftech since August 2015. He began working at a young age for Italian websites such as Everyeye.it, Gamestar.it, Nextgame.it and Multiplayer.it, before launching the English-language indie publication Worlds Factory as founder and editor-in-chief. Over the last decade, he has coordinated the overall performance of Wccftech’s gaming section, managing PR relationships, assigning reviews, producing daily reporting, editing gaming content as needed, and providing game reviews. Its hallmark is arguably the long series of exclusive developer interviews cited by Wikipedia and major news media and gaming publications. His passion for technology also makes him an expert when it comes to gaming hardware and technology. His favorite genres include RPGs, MMORPGs and action/adventure games.
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