Obsidian Entertainment is reportedly set to begin work on a new Fallout game, helmed by Josh Sawyer, the director of the beloved Fallout: New Vegas. This development comes in the wake of significant layoffs across Microsoft's Xbox division, which have impacted approximately a quarter of Obsidian's staff.
According to a report from Bloomberg, plans for a sequel to Obsidian's Avowed and other unannounced projects have been shelved. Sawyer had previously been directing an RPG with structural and thematic similarities to Fallout, but it was not intended to be part of the franchise. The studio's new direction reportedly stems from a directive to concentrate on established, high-profile series.
These recent events cast a somber shadow over the prospect of a new Obsidian-developed Fallout title. While the studio's talent for creating deep RPGs with compelling worlds is well-established, the news arrives amidst a difficult period for its employees, following the dismissal of around 1600 individuals across the Xbox division. The report suggests that the decision to pivot to a new Fallout game was made under duress, rather than as a purely creative choice. Many feel the move prioritizes commercial viability over the developers' creative aspirations, especially given the circumstances under which it is happening.
Despite the challenging context, the report indicates that some staff will continue working on the Avowed sequel, with hopes for its potential revival. Nevertheless, the shift to a new Fallout project appears to be a strategic move by management, aiming to leverage Obsidian's expertise for a commercially successful title. It is expected that this new Fallout game will likely be a critical and commercial success, given the proven capabilities of Obsidian's development team. However, the circumstances of its inception are likely to remain a point of discussion.