Microsoft has stated that none of its publicly announced first-party games are being canceled as a result of recent layoffs and studio sales. The company is undergoing a significant restructuring, which includes cutting approximately 3,200 jobs across Xbox and related studios.
In an Xbox Wire blog post, Microsoft clarified the status of its game development pipeline following the announcement of job reductions and the sale of certain studios, such as Ninja Theory and Undead Labs. The company explicitly stated that "none of our first-party publicly announced games or projects are being cancelled as part of these reductions." This assurance covers titles like the action-RPG Clockwork Revolution from InXile Entertainment, The Coalition's Gears of War: E-Day, Ninja Theory's upcoming installment in the Hellblade franchise, and Undead Labs' State of Decay 3.
The fate of games developed by studios that are being sold, including Ninja Theory and Undead Labs, remains uncertain. Decisions regarding these projects will ultimately rest with their new ownership. The company's statement specifically referred to "first-party" and "publicly announced" games, leaving the future of unannounced or not-yet-public projects unclear.
Microsoft also recently withdrew funding from several other projects, including 1666: Amsterdam and an untitled fantasy RPG previously in development with IO Interactive. The status of Arkane Studios' Marvel's Blade is also a point of concern, as the studio is currently undergoing consultation as part of French labor laws. While fears exist that the studio could be closed and the game canceled, Microsoft has not made any definitive announcements regarding its future.
For now, the company's focus appears to be on maintaining the development of its known, first-party Xbox titles amidst a period of significant organizational change and workforce reduction.