Bethesda boss Jill Braff has issued a memo to staff addressing the recent reorganization of Xbox studios, specifically regarding the integration of Obsidian Entertainment into Bethesda. Braff sought to reassure employees that Obsidian will remain a "distinct" entity despite its new placement within the company structure.
This move comes as part of a larger "reset" of Microsoft's gaming business, which has involved significant layoffs and studio realignments. Obsidian, known for titles like Grounded and The Outer Worlds, and famously for developing Fallout: New Vegas, was confirmed to be working on a Fallout game prior to this integration. This has led to some concerns that Obsidian might be relegated to a support role for the Fallout franchise.
Braff's memo aims to dispel these worries, stating that Obsidian will retain its leadership and unique identity. Concurrently, Bethesda Game Studios will continue to oversee the Fallout franchise, a role it has historically held. Bethesda Game Studios is reportedly focused on The Elder Scrolls 6, with Fallout 5 in pre-production. Additionally, remasters of Fallout 3 and Fallout: New Vegas are confirmed to be in development, though release windows for these projects and Obsidian's Fallout title have not yet been announced.
Starfield is also mentioned as continuing its development, though no official confirmation of a sequel has been made. The broader Xbox studio shakeup has seen other studios either become independent, integrated into Activision or Bethesda, or face closure. The future of other studios like The Coalition, inXile, and Playground Games within the new Xbox structure remains a subject of speculation.