State of Decay 3 may not launch on Xbox Game Pass, according to recent reports. As Undead Labs transitions to new ownership, the zombie survival sequel is reportedly no longer bound by prior Xbox-controlling terms, including its inclusion on the subscription service.
Xbox CEO Asha Sharma announced layoffs affecting 3,200 staff, revealing that both Ninja Theory and Undead Labs are set to join new owners with funding to complete their respective projects. While the exact identity of Undead Labs' new owner has not been officially disclosed, a report from Game File indicates that this new entity will be revealed later this summer. This new ownership arrangement will allow State of Decay 3 to continue development with funding, but without the obligation of a day-one release on Game Pass.
This marks a potential shift for the series, as State of Decay 2 was a day-one launch title on Game Pass in 2018. The original State of Decay arrived in 2013, predating the subscription service's 2017 launch. Fans have anticipated State of Decay 3 since its announcement in August 2020, and the prospect of it not being on Game Pass at launch may come as a disappointment.
Sharma also commented on Game Pass's growth, noting it has not expanded at the pace expected by Microsoft. This follows reports of subscriber numbers decreasing earlier this year, though Microsoft has since adjusted pricing for the service. The total current subscriber count for Game Pass remains unclear.